In April 2026, GAC Honda’s sales plummeted to just 5,100 units, down 72.42% year-over-year, marking its lowest level on record. Over the previous five years, Honda’s sales in China had declined consecutively, with full-year 2025 sales totaling 645,300 units—sharply down from a peak of over 1.6 million units annually five years earlier. In the first quarter of 2026, Honda’s China sales fell by 34.34% year-over-year. On the product front, multiple GAC Honda models sold fewer than 1,000 units per month, with the all-electric P7 and the CR-V Plug-in Hybrid (PHEV) each selling only around 100 units monthly. Due to persistently weak sales, Honda’s capacity utilization rate in China has dropped below 50%, prompting the company to announce the closure of two plants and a 40% reduction in internal combustion engine vehicle production capacity. Some dealer showrooms have begun sitting vacant. Nissan Motor’s China sales totaled 653,000 units in 2025, marking its seventh consecutive annual decline. However, in the first quarter of 2026, its China sales rose by 7.2% year-over-year, driven by strong demand for its newly launched all-electric N7 model, which exceeded 5,000 units per month, along with another new model surpassing 10,000 units monthly. For Toyota, China sales in April 2026 increased by 20% year-over-year. However, its new energy vehicle (NEV) strategy has progressed slowly, with Lexus sales stagnating for years. During the same period, GAC Toyota’s sales declined nearly 10% year-over-year, though its bZ brand accounted for 27% of its total sales volume.