China's motor vehicle sales were flat in March from a year earlier despite aggressive price cuts by manufacturers and government incentives aimed at supporting demand.
Car sales in China during March totaled 1.61 million units, according to data from the China Passenger Car Association (CPCA), which was virtually unchanged from a year earlier.
For the entire first quarter of this year, motor vehicle sales in China fell 13.4% to 4.33 million units.
Sales of new energy vehicles (NEVs), which include electric cars and plug-in hybrids, rose 21.9% in March, and accounted for 34% of the month's total sales, according to the data.
BYD led all electric vehicle manufacturers with a 35.5% market share, while Tesla (TSLA) accounted for 14% of all new energy vehicles sold in China during March.
Prices for electric vehicles and hybrids have been falling in China due to discounting and declining battery costs.
More than 40 motor vehicle brands have also joined a price war started by Tesla earlier this year.
Major automakers such as Toyota (TM) and Volkswagen (VOW3) have started offering discounts on their best-selling models in China to defend their share of the market.
The Chinese government, which views the automotive industry as a pillar of the national economy, has also been rolling out subsidies to spur demand among consumers.
