New-vehicle sales in China are forecast to contract 15 to 25 percent this year despite a rebound in April, which was driven by sharply higher demand for commercial vehicles, the China Association of Automobile Manufacturers said Monday.
April new-vehicle sales rose 4.4 percent to 2.07 million as the country eased virus-related curbs on travel and commerce, ending 21 consecutive months of declines, according to the industry trade group.
"The sales rebound in April fell short of expectations but ... will increase in the next two months" due to the release of pent-up demand as lockdown measures are further eased, CAAM official Xu Haidong said.
The rebound last month reflected strong demand for commercial vehicles as the Chinese government boosted investment in construction and infrastructure projects such as highways and power grids.
Last month, sales of new commercial vehicles including trucks and buses surged 32 percent to roughly 534,000. Among co…