The total losses of 5 4S dealers exceeded 4.3 billion, and only the top two made profits

Interface News Reporter | Wei Yongmeng

In the past 2024, China's automobile production and sales exceeded 30 million vehicles, and continued to make rapid progress. As a key link in the automobile circulation market, under the dual influence of the intensified price war and the channel changes brought about by the transformation of new energy, there has been a serious inversion of terminal prices. The profit margin has been greatly compressed, and the more dealers sell, the more they lose. The burst and the wave of network withdrawals run throughout the year. Leading regional dealers such as Guangdong Yongao and Senfeng Group are also difficult to escape. Guanghui Automobile, once the largest automobile dealer group in China, also completed its delisting last year. The hard days for car dealers have continued this year.

According to the "China Automobile Distribution Industry Development Report (2024-2025)" released by the China Automobile Distribution Association, data shows that as of the end of 2024, the national automobile 4S store network size was 32,878, a decrease of 2.7% compared with the previous year. The volume has shrunk for the first time in the past four years, and 4,419 4S stores chose to withdraw from the network last year.

Lang Xuehong, deputy secretary-general of the China Automobile Dealers Association, said that the price war in the automobile market was fierce last year, and competition among the ...
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