February Data & News | February sales both year-on-year and month-on-month decline, new energy penetration rate drops to 38.5%

(Source: Chongqing Automobile Business Association)

As expected last month, as the effect of the 2026 “Old for New” policy weakens, terminal market demand remains sluggish. At the same time, the double impact of the Spring Festival holiday has contributed to the overall downturn in the national car market in February, leading the market into an adjustment period.

1. National Passenger Car Data

According to the latest sales data from the Passenger Car Market Information Joint Branch of the China Automobile Circulation Association, retail sales of narrow-sense passenger cars in China reached 1.03M units in February 2026, down 25.4% year-on-year and down 33.1% month-on-month.

Looking at sub-markets: in February, sedan sales were 422k units, down 36.1% year-on-year and down 32.2% month-on-month; SUV sales were 559k units, down 15.5% year-on-year and down 33.7% month-on-month; MPV sales were 53k units, down 16.4% year-on-year and down 32.7% month-on-month.

In February, new energy passenger vehicle retail sales totaled 464k units, down 32% year-on-year. Among them, new energy vehicles accounted for 44.9% of the overall retail penetration rate of passenger cars domestically, a decrease of 4 percentage points compared to the same period last year.

2. Chongqing Passenger Car Sales

In February, Chongqing’s broad passenger car sales totaled 27.9k units, down 3.3% year-on-year and down 16.7% month-on-month. Among them, new energy vehicles sold 10.7k units, down 28.4% year-on-year and down 6.5% month-on-month, with a market penetration rate of 38.5%.

Specifically: in February, sedan sales in Chongqing were 10.3k units, down 18.2% year-on-year and down 15.9% month-on-month; SUV sales were 16.8k units, up 15.6% year-on-year but down 17.2% month-on-month; MPV sales were 500 units, down 39.5% year-on-year and down 25.8% month-on-month.

From the manufacturer perspective: Chinese brands sold over 19k units in February, down 12.3% year-on-year and down 17.6% month-on-month, accounting for 69.3% of the market, slightly lower than last month; German brands sold 4k units, up 18% year-on-year but down 23.3% month-on-month, accounting for 14.5%; American brands sold 1.5k units, up 43.9% year-on-year and up 18.2% month-on-month, accounting for 5.4%; Japanese brands sold 2.5k units, up 35.3% year-on-year but down 16.6% month-on-month, accounting for 9%; Korean, European, and French brands together accounted for 1.8%.

In February, aside from domestic brands experiencing a year-on-year decline, German, American, Japanese, and Korean brands all showed positive year-on-year growth. Notably, American and Korean brands achieved both month-on-month and year-on-year increases, becoming a highlight in Chongqing’s market in February.

Regarding fuel types of vehicles sold in February, fuel-powered cars accounted for 61.5% (traditional fuel 59.4% + hybrid 2.1%). New energy vehicles made up 38.5%, with pure electric models accounting for 59.5% of the new energy sales. The fuel type distribution in February clearly reflects the Spring Festival market characteristics, indicating an increase in consumers purchasing fuel-powered cars.

Top 15 Chongqing Car Brands by Sales

In February, the top three brands in Chongqing by sales were Changan, Geely, and Chery, with sales of 2,579, 2,496, and 1,275 units respectively, representing year-on-year increases of 4.3%, 37.1%, and 37.8%. Notably, SAIC Volkswagen, which has long ranked third, sold 1,254 units, falling behind Chery and now ranking fourth.

In February, overall brand sales in Chongqing showed positive growth, with FAW-Volkswagen up 53.2%, Haval up 36.7%, Nissan up 108.8%, Tesla up 46.6%, Changan Qiyuan up 43.7%, Hongqi up 79.4%, and AITO up 58.9%.

However, among these brands with significant year-on-year growth, two brands performed poorly: BYD declined 67%, and Changan Deep Blue fell 7.9%, forming a stark contrast with their more vigorous peers.

Top 20 Popular Sedans in Chongqing

In February, the top three popular sedans in Chongqing were the Yidong, Xingrui, and Emgrand, with sales of 543, 498, and 405 units respectively. The previous month’s top seller, the Oushang 520 Electric, failed to enter the top 20, indicating that as a major client for taxis, its sales remain unstable.

Despite the overall market downturn in February, some sedan sales increased significantly compared to the same period last year. Notable examples include: Yidong up 168.8%, Emgrand three-box up 77.6%, Arrizo 8 up 134%, Hongqi H5 up 141.1%, Sylphy Classic up 86.7%, Passat up 129.9%, BMW 3 Series Li up 170%, Mercedes-Benz E-Class up 90.2%, Elantra up 755.6%, and Teana up 105.7%.

From the trend of the top 20 popular sedans in Chongqing, it’s clear that the terminal market is diverse. Changes in seasonal factors, terminal policies, dealer strategies, and marketing tactics all influence sales, leading to some models experiencing large year-on-year growth.

Top 20 Popular SUVs in Chongqing

In February, the top 20 popular SUVs were led by the Changan CS75 PLUS with 903 units sold, followed by the Boyue L with 511 units, and the Xingyue L with 475 units. The previous month’s second-place Xiaomi YU7 dropped to ninth place in February.

Similar to the sedan market, some SUV models saw dramatic year-on-year increases in February. Examples include: Boyue L up 221.4%, Xingyue L up 107.4%, Haval Big Dog up 113.5%, Model Y up 104.1%, Qiyuan Q05 Electric up 111.7%, Tiggo 8 up 151%, Changan X5 PLUS up 197.4%, Fenglandar up 103.3%.

Overall, February’s Chongqing SUV market has two main features: first, new energy SUVs performed modestly, with only the Li Auto i6 entering the top five; second, the year-on-year growth of new energy SUVs was relatively small, with some models even declining. In contrast, fuel-powered SUVs remained active, outperforming new energy vehicles with strong momentum.

Top 10 Popular MPVs in Chongqing

Looking at the top 10 popular MPVs, the market remains relatively stable. The market is characterized by small sales per model, making it incomparable to sedans and SUVs. For example, GAC Trumpchi M6 sold 47 units, up 213.3% year-on-year, ranking first; Gaoshan DHT sold 44 units, up 175%, ranking second; Denza D9 Plug-in sold 44 units, down 62.1%, ranking third.

Overall, the Chongqing MPV market is small in scale, and individual model sales lack stability. For instance, the top-ranked Senna last month dropped to seventh place in February with halved sales; the Lantu Dreamer Plug-in, which was third last month, fell to sixth place with significant decline.

Thus, the Chongqing MPV market shows a lack of consistent patterns in sales trends. No model maintains a stable position; a model at the bottom this month might jump into the top three next month. The differences between models are only a few dozen units, making it relatively easy to catch up.

3. Automotive Dealer Market Research and Analysis

Automotive Consumption Index

Data shows that the automotive consumption index in February was 72.9, a significant increase from the previous month. The store entry index was 74, also rising sharply. In March, the market is entering a recovery and warming period after the Spring Festival, with expected sales to significantly rebound compared to February.

Inventory Index

According to the China Passenger Car Association, the dealer inventory warning index in February was 56.2%, down 0.7 percentage points year-on-year and down 3.2 percentage points month-on-month, remaining above the critical line.

Regional index data shows: the national overall index was 56.2%, with the North region at 51.8%, East at 58.9%, West at 54.1%, and South at 52.4%. Regional differences remain pronounced, indicating ongoing market segmentation.

Overall, in February, influenced by the Spring Festival holiday, prior demand depletion, and consumers’ cautious attitude toward post-holiday promotions and new model launches, the market entered a phased adjustment period, and low terminal sales are understandable.

Looking ahead to March, as the overall market environment recovers and brands release new vehicles, consumer confidence is expected to rise, and Chongqing’s market will likely warm up, with month-on-month growth anticipated. However, due to the high baseline caused by last year’s effective “Old for New” policy, year-on-year comparisons may show a decline. (Note: The Chongqing auto sales index report is jointly compiled by the Chongqing Automobile Business Association, “Car Enthusiast” website, and “Car Circle.”)