New energy used vehicle transactions reached 1.6 million units in 2025, accounting for 7.9% of total sales, up 2.2 percentage points year-over-year. The China Automobile Dealers Association today released the overall performance report for the used car market in December 2025. The data shows that in December 2025, the transaction volume in the national used car market was 1.8711 million units, representing a month-on-month increase of 7.15% but a year-on-year decrease of 1.53%. The transaction value reached RMB 120.672 billion. From January to December 2025, the cumulative transaction volume of used cars was 20.108 million units, a year-on-year increase of 2.52%, which is an increase of 493,800 units compared to the same period last year. The cumulative transaction value was RMB 1.28979 trillion. Monthly Transaction Trends of Used Cars in China (2024-2025) The report points out that a significant year-end rally effect was observed in December 2025, yet monthly transactions still saw a 1.53% year-on-year decline. The market was influenced by multiple factors: On one hand, year-end promotions for new cars diverted demand, and consumers delayed purchasing decisions, preventing a major market breakthrough. On the other hand, signals of the continuation of the “Two New” policies led some replacement demand to be deferred until 2026. Nevertheless, most dealers supported the year-end rally by boosting sales through price discounts, promotional offers, and optimized financing options. Cross-Regional Circulation in the Used Car Market, December 2025 From an overall market perspective, the used car market in 2025 exhibited four main characteristics. First, the trend of cross-regional circulation continued to strengthen. In December, the cross-registry transfer rate for used cars climbed to 34.9%, a year-on-year increase of 4.7 percentage points. This effectively unlocked the circulation value of used vehicles and alleviated inventory pressure for local dealers. Second, the proportion of new energy used cars continued to rise. Alongside the growing stock of domestic new energy vehicles, the annual transaction volume for new energy used cars reached 1.6 million units in 2025, accounting for 7.9% of the total annual transactions—an increase of 2.2 percentage points year-on-year. Used Car Transactions by Six Major Regions, December 2025 Third, the average transaction price for used cars stabilized. In December 2025, the average transaction price was RMB 64,500, up RMB 400 from November and 1,400 yuan from December 2024. The stable operation of the average price reflects a relatively balanced market supply and demand structure. Finally, inventory management continued to improve. Used car inventory levels in December declined compared to earlier periods, with the average inventory cycle remaining at 45 days, unchanged from November.