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Tractor-trailer sales in January totaled 12,500 units, down 74%. How many did each of Jiefang, Sinotruk, and Dongfeng sell? Who is bucking the trend?

In the second half of 2021, China’s heavy-truck market experienced a string of consecutive declines, driven by the dual pressures of the transition to China VI emission standards for heavy-duty diesel vehicles and weak demand. Among the most closely watched segments, the tractor‑trailer market ultimately closed the year with six straight monthly drops.

Release Date:

2022-02-18

In the second half of 2021, China’s heavy-truck market experienced a series of consecutive declines, driven by the dual pressures of the transition to China VI emission standards for heavy-duty diesel vehicles and weak demand. Among the most closely watched segments, the tractor‑truck market ultimately closed the year with six straight monthly drops.

In the new year, market demand has shown little improvement. Decline has become the defining theme for both the heavy-truck and tractor‑truck markets in January 2022. However, downturn is not the sole narrative shaping the January tractor‑truck sector; there’s more to the story than meets the eye. Read on for an analysis from First Commercial Vehicle Network.

According to the latest terminal sales data compiled by First Commercial Vehicle Network, in January 2022, domestic tractor‑truck sales totaled 12,500 units (based on compulsory traffic insurance registrations, excluding exports and military vehicles; the same applies hereafter), down 74% year over year and roughly 36,000 units fewer than in the same period last year, falling short of a strong start to the year. In fact, the decline in the tractor‑truck market in January was hardly surprising: on the one hand, last year’s base was relatively high at 48,600 units; on the other hand—and this is the primary factor—demand has remained weak. With road freight rates persisting at low levels, resource‑intensive logistics sectors such as coal and steel, which rely heavily on tractors, have been sluggish, making it difficult to stimulate demand in the tractor‑truck market.

In January 2022, tractor‑trailer sales of 12,500 units accounted for roughly 41% of total heavy‑truck retail sales, making the performance of the tractor‑trailer segment a strong indicator of the broader heavy‑truck market. From a purely numerical standpoint, monthly sales of 12,500 units represent a notably weak showing. As the chart illustrates, the red bar representing January 2022 sits at a markedly low level when compared with the monthly retail sales of tractors over the past three years—higher only than February 2020—and less than half the levels recorded in January of the two preceding years.

As a fiercely contested niche within the heavy-truck sector, competition in the tractor‑trailer market becomes even more intense during industry downturns.