Passenger Vehicle Inventory Drops to 3.33 Million in February 2026, Easing Stock Pressure

Cui Dongshu, Secretary-General of the Passenger Car Association (PCA), revealed that as of the end of February 2026, nationwide passenger vehicle inventory stood at 3.33 million units—down 240,000 units month-over-month but up 250,000 units year-over-year—showing a "controlled decline." Current inventory levels can support approximately 60 days of future sales, an improvement compared to 64 days in February 2025 and 62 days in February 2023, and only slightly higher than the 50 days recorded in February 2024. Although market sentiment at the beginning of the year was relatively conservative—with optimism at just 5%—actual satisfaction rose to 40% in February, and optimism rebounded to 23%. Regarding new energy vehicle (NEV) manufacturers, industry inventory edged up slightly from 620,000 units in September 2025 to 680,000 units in February 2026. While this remains below the peak seen in November of last year, weaker-than-expected retail demand continues to exert pressure on channel inventories. The PCA hopes for enhanced local government subsidies to further stimulate the market.