I. Core Data Insights
• New Energy Vehicle Penetration Reaches a Milestone: In October, new energy vehicle sales reached 1.715 million units, with a penetration rate exceeding 50% (51.6%) for the first time, marking the official entry of the Chinese automotive market into an era dominated by electrification. In the same month, automobile production and sales reached 3.359 million and 3.322 million units respectively, representing year-on-year increases of 12.1% and 8.8%, setting a new record for the same period; new energy vehicle production and sales increased by 21.1% and 20% year-on-year, with Chinese brands accounting for over 70% of the market share. BYD (441,700 units) and Xpeng (42,013 units) showed outstanding sales performance.
• Used Car Market Undergoes Structural Adjustment: In October, national used car transactions totaled 1.7579 million units (a 2.03% decrease month-on-month, a 2.71% increase year-on-year), with a transaction value of 110.954 billion yuan; cumulative transactions from January to October reached 16.4907 million units (a 3.53% increase year-on-year). The market showed a pattern of “surge and decline,” with the average price rising to 63,100 yuan, and the out-of-province transfer rate reaching a three-year high of 33%. Model differentiation was significant, with MPVs and commercial vehicles showing significant year-on-year growth. Vehicles aged 3-6 years accounted for 42.83%, while vehicles aged 7 years and older increased to 30%.
II. Company Dynamics and Strategic Cooperation
1. Aftermarket Channel Expansion and Model Innovation
• JD Auto Service Deepens its Presence in Shenzhen Market: The number of operating stores in Shenzhen has exceeded 100, covering all major administrative districts of the city. Leveraging the concepts of “genuine products, professionalism, and convenience” and an integrated online and offline model, it has strategically partnered with CATL to develop the new energy vehicle aftermarket. Simultaneously, it has upgraded its franchise policies, with some areas offering zero-cost franchising, sharing in the growth dividends of the automotive aftermarket.
• Xinruili’s “State-owned Enterprise + Private Enterprise” Model Accelerates Replication: Within one week, it signed agreements with five state-owned enterprises: Xinxiang Bus Group, Nanchong Bus Company, Ziyang Urban Construction Group, Yingkou Transportation Group, and Shanxi Automobile Transportation Group. The total number of cooperating bus companies nationwide has reached 99 across 24 provinces. The two parties will establish a joint venture company, integrating the operational network of state-owned enterprises with the supply chain capabilities of private enterprises, focusing on the automotive parts service ecosystem in Henan, Sichuan-Chongqing, and Northeast China.
2. Supply Chain Collaboration and Cost Optimization
• Jiafuli achieves localized supply chain upgrade: Signed a contract with Jinhua Jiayi Packaging for the annual purchase of 1 million cartons, saving over 15% in costs through “local” supply chain cooperation. The saved costs will be invested in R&D and quality upgrades, supporting deeper development in the brake fluid field.
• Dick Chemical partners with SGS to standardize testing standards: Focusing on three core products—coolant, brake fluid, and windshield washer fluid—the partnership will conduct six services including standard compliance testing and third-party certification, promoting the standardization of testing for automotive fine chemicals and strengthening product quality stability.
III. Policies and Industry Trends
1. Industrial Governance and Ecosystem Construction
• The “Haikou Consensus” establishes four development directions: The China Automobile Dealers Association annual meeting reached a consensus, including improving supply chain collaboration efficiency, increasing the transparency of rebate policies, maintaining market price order, and promoting value co-creation, aiming to address “internal competition” and build a symbiotic ecosystem between OEMs and dealers.
• C8 Summit focuses on commercial vehicle policy hotspots: The China Commercial Vehicle Manufacturers Association discussed issues such as National VII standards, new blue license plate policies, and battery swapping for heavy-duty trucks, calling for regulatory coordination and industry self-regulation. The China Association of Automobile Manufacturers stated that it will continue to strengthen the government-enterprise communication mechanism.
2. Technological Transformation and Green Development
• Hybrid technology becomes a core carrier for “dual carbon” goals: Fu Yuwu, Honorary Chairman of the China Society of Automotive Engineers, pointed out that by 2035, traditional energy passenger cars will be fully hybridized. Yihejie’s plug-in/extended-range hybrid turbocharging products have received high recognition, and its digital R&D and production system has become an industry benchmark.
• Repair economy drives aftermarket transformation: Gubert, with its modular intelligent equipment, digitized processes, and replicable operational system, upgrades repair business from “individual experience” to “system capabilities,” achieving a gross profit margin of 75% for wheel hub repair and over 90% for headlight refurbishment, helping the industry move away from the “parts handling” model. IV. Exhibition and Event Announcements
• AAPEX Show Concludes Successfully: The Grale team participated in the AAPEX Show in Las Vegas, USA, connecting with global industry peers and gaining a deeper understanding of the North American market needs, laying the foundation for overseas business expansion.
• China Automotive Software Conference Coming Soon: A conference themed “Software Builds a New Ecosystem, AI启未来 (AI Empowers the Future)” will be held in Jiading, Shanghai on December 15-16, featuring multiple forums and presentations, focusing on cutting-edge automotive software technologies and standards.
• New Energy Vehicle Modification Conference Preview: The China New Energy Vehicle Modification Industry Summit Forum will be held in Beijing in March 2026, releasing the “2026 Three Major Growth Engines of the Modification Industry” report and discussing profitable business models for new energy vehicles, MPVs, and pickup truck modifications.
V. This Week’s Hot Events
• KuaiZhun Auto Service Double Eleven Promotion: From November 1-30, purchase 17-inch and larger Yingnuo tires (excluding special offer models) and receive a 10 RMB scratch-off ticket for every tire purchased. Buy two tires and receive an additional storage box. Discounts on engine oil, batteries, and other categories are also available.
• CheXiangJia Skills Competition Concludes: 21 contestants competed in the “Maintenance and Inspection” and “Live Streaming Sales” categories, showcasing standardized service and marketing capabilities, highlighting the trend of professionalization in after-sales service.
• Uni-Carbon Selected as Green Case Study: Successfully selected as a 2025 green development case study, providing the industry with replicable green transformation experiences and promoting the implementation of ESG concepts in the automotive aftermarket.
Post time: Dec-31-2025
