(Yicai Global) June 28 -- China’s automobile imports plunged in the first five months as demand for imported fossil fuel-powered autos slides amid the transition to new energy vehicles, according to the latest data.

China’s car imports slumped 28 percent from January to May from a year earlier to 280,000 units, according to a report released by the China Passenger Car Association on June 26. And they tumbled 18 percent in May to 58,400 vehicles.

There is a clear drop in the imports of fossil fuel-powered cars which plunged 29 percent over the period while that of new energy vehicles soared 81 percent.

The transition to electrification has reduced demand for gasoline-powered vehicles, and this has had a big impact on imports, said Cui Dongshu, secretary-general of the CPCA.

Vehicle imports from Japan are faring particularly badly mainly due to a lack of competitiveness in the electric car market, Cui said. China’s auto imports from Japan plunged 53 percent in the five months ended May 31 year-on-year, those from North America slumped 33 percent and those from Europe tumbled 16 percent.

The upgrading of passenger vehicles remains the main driver of growth in the car import market, and there is more demand for luxury autos than ordinary ones, Cui said.

Imports of Mercedes-Benz, BMW, Audi, Porsche and Land Rover all climbed in the first five months, driven by strong sales of high-end models such as the BMW X5, Audi Q7 and Mercedes-Benz GLB. But Lexus imports sank 24 percent due to a drop in sales of its flagship model Lexus ES.

Editor: Kim Taylor