China's Used Car Market Unlocks a Sourcing Bonanza for International Buyers

Landmark Growth in China’s Used Vehicle Market

China's used vehicle market has reached a historic turning point, with annual transaction volume exceeding 20 million units for the first time in 2025. According to data released by the China Automobile Dealers Association (CADA), the market recorded 20.108 million transactions last year, marking a 2.52% year-on-year increase. The total transaction value approached RMB 1.29 trillion.

This achievement represents a doubling of the market's volume within a decade since it first crossed the 10-million-unit threshold in 2016.

Behind the data, we viewed several key characteristics:

Diverse and Expanding Inventory: The 20 million transactions annually marked a continuous and vast flow of vehicles across all brands, model years, and price segments. Notably, the transaction of 1.6 million new energy vehicles (NEVs) accounted for 7.9% of the total, offering global buyers access to everything from established internal combustion engine models to advanced electric and plug-in hybrid vehicles fresh from the world's largest EV market.

Transparent Condition and Stable Value: The average transaction price has stabilized around RMB 64,500 (approximately USD 9,200), reflecting a mature and balanced market. This price stability is supported by a well-developed ecosystem of third-party inspection services, comprehensive vehicle history reports, and increasingly standardized dealership operations, ensuring exported vehicles offer compelling value and verifiable condition.

Efficient Logistics and Refreshed Inventory: The inter-regional transfer rate for used vehicles climbed to 34.9% in December 2025. This high level of domestic cross-regional mobility allows newer, well-maintained vehicles from major metropolitan areas to circulate efficiently, ensuring that the export pipeline can be consistently supplied with relatively young, technologically current models.

China Emerges as a Global Used Vehicle Sourcing Hub

For international buyers and markets, China's colossal used vehicle inventory is rapidly transforming into a reliable and high-quality sourcing reservoir. The pool of export-eligible vehicles is not only growing in number but also declining in average age, with prime examples coming from owner trade-ins and decommissioned fleet vehicles from major leasing companies. Furthermore, China's vast and sophisticated automotive aftermarket supply chain stands ready to provide competitive parts and technical support for exported vehicles worldwide.

Conclusion: High-Quality Development for Global Impact

China's used car sector is now pivoting from "rapid growth" to "high-quality development." This volumetric leap is more than a domestic milestone; it represents the activation of the world's largest reservoir of pre-owned vehicles, poised to deliver cost-effective, reliable, and diverse options to global consumers. For overseas importers and buyers, the time to engage with this dynamic market is now.

*(Exchange rate: RMB 7.0 = USD 1)*