JAC Motors has released its production and sales figures for October 2023, reporting a total of 32,296 vehicles sold. This represents a modest year-on-year increase of 2.48%.
New Energy Vehicle Sales Decline
However, the company’s new energy passenger vehicle segment experienced a significant downturn. In October, JAC Motors sold 1,663 new energy passenger vehicles, marking a substantial year-on-year decrease of 53.56%. Further analysis of sales data reveals a month-on-month decline as well. Following 2,932 units sold in September, the October sales figure represents a 43.28% drop compared to the previous month.
Recall and Investigation Impact
The dip in new energy vehicle sales comes in the wake of a highly publicized incident involving the JAC Junjie V800. A video released in October by Dongchedi detailed tests where the brake pedal bracket of three Junjie V800 models reportedly broke during an emergency stop from 100 km/h. This event sparked considerable online discussion and concern.
Following the widespread attention, JAC Motors’ stock price reportedly experienced consecutive daily limit-downs for two days. In response to the serious allegations, China’s Ministry of Industry and Information Technology, Cyberspace Administration of China, and the State Administration for Market Regulation announced on the evening of October 15th that they had established a joint investigation team. This team is tasked with conducting a thorough verification of the incident and will handle the matter according to laws and regulations. The authorities have stated that relevant information will be announced in a timely manner.
The ongoing investigation and the negative publicity surrounding the Junjie V800 incident are likely contributing factors to the decline in JAC Motors’ new energy vehicle sales for October. The company’s response and the outcome of the official investigation will be closely watched by consumers and the industry.
