Archive · 10 Jun 2025
China's EV Makers Face Scrutiny Over 'Zero-Mileage' Sales Tactics
Imagine car companies selling brand-new electric cars at a discount to special dealers.
These cars get resold as if they've never been driven, even though they're technically used.
This helps the car companies make their sales numbers look better, even if the cars aren't really being bought by customers.
However, this is causing problems.
The government's newspaper is not happy, and it is warning companies to stop this practice.
The newspaper says that this messes up the market and could lead to more problems for both car companies and the people who buy the cars.
The main reason companies do this is because of a price war among electric vehicle makers.
Chinese EV makers are selling 'zero-mileage' used cars to boost sales figures.
These cars are sold at discounted rates to second-hand dealers and financing companies.
The practice involves claiming sales for cars not in the hands of consumers.
The People's Daily newspaper criticized the practice, urging regulatory action.
The practice is linked to price wars and overproduction in the EV market.
- Who
- Chinese EV manufacturers, second-hand dealers, the People's Daily newspaper, and car buyers.
- What
- Chinese EV makers are selling 'zero-mileage' used cars to inflate sales numbers.
- When
- The practice was highlighted in an interview last month and the People's Daily newspaper commented in the current month.
- Where
- China.
- Why
- To meet sales targets amidst a price war and excess inventory.
People's Daily Newspaper
Chinese EV Makers
Market Impact
People's Daily Newspaper
The practice disrupts normal market order and harms sustainable development.
Chinese EV Makers
Selling 'zero-mileage' cars helps reduce inventory and meet sales targets in the short term.
Business Strategy
People's Daily Newspaper
Focus on quality products and technological innovation, moving past 'data worship'.
Chinese EV Makers
Reduce inventory and cut losses.
- Main Issue
- Sale of 'zero-mileage' used EVs
- Involved Parties
- Chinese EV makers, second-hand dealers
- Motivation
- Boost sales figures, clear excess inventory
- Criticism Source
- People's Daily newspaper
- Price Cuts
- BYD cut prices by up to 34%