DSC Holdings Releases Inaugural China Used Car Industry White Paper: Used Car Transactions Approach New Car Sales as Residual Values and Dealer Economics Are Reshaped; AI's Role Expands
Key Highlights
- ➤H1 2026 used-car transactions reached 9.71 million, 98% of new-car sales
- ➤DSC used-car price index fell 23.1% from H1 2022 to H1 2026
- ➤Dealer gross-margin index dropped to 85.6 in June 2026 from January’s 100
- ➤Only 28.7% of sub-50-vehicle dealers remained profitable, down from 40.7%
- ➤NEVs reached 7.6% of used-car transactions, up 2.4 percentage points year over year
Expert Statements
Qin Zou, Director and Chief Financial Officer of DSC
“The Chinese used car market does not lack vehicles or demand. What the industry needs to overcome is the inefficiency in the arduous process of moving used cars from the selling consumers, through the large community of dispersed independent dealers, to the buying consumers,”
Qin Zou, Director and Chief Financial Officer of DSC
“The key to better used car commerce is shifting as many market participants as possible from traditional experience-based and relationship-driven practices toward data-driven decision-making and AI-enabled operations, whether they are used car dealers or inspectors or transporters.”
Qin Zou, Director and Chief Financial Officer of DSC
“AI's competitive advantage lies not in technology alone, but in combining proprietary data, industry expertise and real-world applications,”
Qin Zou, Director and Chief Financial Officer of DSC
“Building on more than a decade of experience in digitizing China’s used car industry, DSC has in recent months been providing the used car industry with a range of AI-enabled solutions that improve dealer operations and contribute to a more efficient used car market.”
HANGZHOU, China, Nov. 02, 2026 (GLOBE NEWSWIRE) -- DSC Holdings Ltd. (“DSC” or the “Company”) (Nasdaq: DSC), the AI application infrastructure for China’s used car industry, today released its inaugural China Used Car Industry White Paper (First Half of 2026). Leveraging its flagship DaFengChe system, which holds over 90% market share in China’s used car dealer operating system market, DSC draws on its extensive proprietary operating data and public industry statistics to provide unique insights into the dynamics shaping China’s used car market.
The white paper conducted an in-depth examination of used car transaction volumes, vehicle pricing, residual values, dealer operating performance and cross-region circulation, revealing industry trends and observations that public statistics alone do not reveal. The publication underscores DSC’s commitment to advancing industry transparency and data-driven decision-making, while demonstrating the value of its granular industry data and digital infrastructure.
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