SHANGHAI -- New-auto sales in China increased 24.2% on the year in August, a sixth straight month of growth, thanks to a continued boost from tax breaks for compact vehicles.
August sales totaled 2.07 million units, the China Association of Automobile Manufacturers said Friday. Consumer spending has been solid in the country despite the lackluster steel and construction industries.
Sales of passenger vehicles rose 26.3% to 1.79 million units, with sport utility vehicles performing well along with vehicles eligible for the tax breaks. Commercial vehicles including trucks had languished amid the sluggish economy but climbed 12% last month to 276,000 units. A slowdown a year earlier due to the Shanghai stock plunge contributed to last month's gain.
Cumulative sales for 2016 reached 16.75 million units, up 11.4% on the year. The tally is based on shipments from factories, so it includes exports.