The number of used vehicles financed has finally tied that of new-vehicle financing in China, each hitting a record high of 64 percent in 2022, according to J.D. Power.
The share of used-vehicle purchases that were financed jumped 10 percentage points from 2021, J.D. Power said this month, drawing on its latest dealership financing satisfaction study.
By contrast, new-vehicle financing in 2022 was only two percentage points higher than a year earlier.
Two main factors are driving used-vehicle financing -- rising used-vehicle stockpiles and increasing investment in used-vehicle financing by financial institutions, J.D. Power noted.
Under J.D. Power’s 2023 China Dealer Financing Satisfaction Study, Changan Auto-Finance ranked highest in the retail credit — captive companies segment, scoring 860 on a scale of 1,000. It was followed by SAIC-GMAC Auto-Finance (854) and SAIC Finance (853).
In the retail credit — banks segment, Industrial and Commercial Bank of China finished on the top with a score of 842. It was trailed by China Construction Bank (834) and China Merchant Bank (828).
In the floor-planning segment, SAIC Finance (865) earned the top ranking, followed by GAC-SOFINCO Auto-Finance (864) and Volkswagen Auto-Finance (China) (859).
SAIC-GMAC Auto-Finance is a joint venture between SAIC Motor Corp. and General Motors, while GAC-SOFINCO Auto-Finance is a partnership between GAC Motor Co. and French bank Credit Agricole.
