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In the wake of a prolonged period of price reductions in the auto market, vehicles have approached their lowest possible prices. Yet, despite these drops, consumer interest remained sluggish, and the overall market continued to show weakness. Recently, however, some accessory dealers and repair shops have introduced a new narrative: automobile manufacturers are strategically shifting risks onto consumers by focusing on after-sales services and parts, which offer higher profit margins than car sales themselves. According to this view, car owners’ demand for spare parts and maintenance is more essential than the initial purchase of a vehicle. Whether or not this claim holds true, one fact remains undeniable: the annual cost of car ownership has risen by over a thousand yuan. Whether it's improving driving skills to avoid accidents or learning how to minimize wear on components, maintaining a vehicle has become a complex discipline that requires careful attention and knowledge. **A. Vehicle Prices Continue to Drop** Although raw material prices, especially steel, have recently declined, the long-term trend shows that costs—including labor—have been rising. Based on this, vehicle prices should be increasing, much like how flour and bun prices fluctuate. However, data shows that mid-size, premium, and luxury cars have seen price reductions of 0.1% to 0.3% since the start of the year. For example, the official price of the BYD F3 Platinum dropped by 2.6%, while the Fukami 2 saw a 2% reduction. Models like Polaris, Cerato, Jetta, Tiida, and Fox also experienced price declines, leading to an overall drop in mid-tier retail prices by 0.3%. Brands such as SAIC Roewe, BMW 3 Series, and MG7 have continued to slash prices to remain competitive. Even high-end models like Audi A6L, Mercedes-Benz E-Class, and Chrysler 300C have seen price cuts ranging from 0.1% to 0.8%. Manufacturers claim that these price reductions are due to cost control efforts. But from the dealer’s perspective, this is a last resort. With inventory piling up and cash flow issues threatening business survival, selling more cars at lower prices is the only way to stay afloat. In a weak market where consumers are still hesitant, lowering prices is necessary to move stock, which explains the repeated price cuts. **B. Accessories Are Quietly Rising in Price** While vehicle prices are falling, another trend is becoming increasingly clear: the prices of automotive accessories are steadily rising. In April, lubricants and steel parts saw a collective increase of 10% to 20%. Recently, this price surge has resumed. At the Hangzhou Auto Parts Market, lubricant prices have gone up by 5% to 10% in recent days. Shell’s full range of motor oils, including gasoline and diesel engine oils, has increased by 5% to 6%. Rumors suggest that the current price hikes are only about 60% of the actual cost increases, leaving room for further adjustments. On September 1, Snow Tiger and ExxonMobil both raised their lubricant prices by 18%. Castrol, however, has taken the lead with a 26% increase in its automotive and industrial lubricants. “Every time we restock, suppliers say ‘prices are going up,’ and indeed, the prices are higher than before,” said Lu, a lubricant dealer. Engine oil prices have jumped 20%, while antifreeze has increased by 30% to 50%. Tires have also seen significant price hikes, with Bridgestone raising prices by 7% to 10% in early September, and Goodyear, Dunlop, and others following suit with 10% increases. Michelin, Warriors, and Bailu Chi have also raised prices by 3% to 7%. These changes affect nearly half of all car users. Small repair shops are feeling the impact most acutely. Liu Yun, a repair shop owner, noted that iron parts like air conditioning pumps and brackets have increased by 5% to 10%, while common wear-and-tear items like water tanks and glass lifters have also seen price increases. The price of a POLO hood, for instance, has risen from 300 to 370 yuan. On average, Liu charges 15% more for repairs now. **C. Is This a Skillful Risk Transfer by Manufacturers?** According to accessory dealers, the gradual price increases in parts are clearly a way for manufacturers to shift financial pressure. After lowering car prices, manufacturers ease inventory pressures and free up working capital, which benefits them. More car buyers mean more after-sales service customers, allowing manufacturers to quietly raise part prices and boost profits. As one dealer at Jintong Auto Parts City put it, the rise in accessory prices far outpaces the increase in raw material costs. Moreover, with slow car sales, manufacturers have turned to after-sales services as a key revenue source. Some dealers openly admit that after-sales is the only profitable department in 4S stores. Industry insiders note that as car production becomes more localized, part prices should decrease by around 10% annually. Instead, many brands rely on price wars to capture market share and then profit from the after-sales market. The saying goes, “Selling a car part is equivalent to selling two cars.” Compared to car sales, the need for spare parts and maintenance is even more essential, making it vital for repair shops to survive. **D. Car Owners Spend Over a Thousand Yuan Annually** Mr. Feng recently bought a used POLO with over 70,000 kilometers on the odometer. Within a few months, he had already spent significantly on repairs. His first week of driving resulted in bumper and hood replacements, costing over 100 yuan. Later, a broken cab glass added a few more dollars, and an ABS pump replacement eventually cost over 7,000 yuan. For Mr. Feng, buying a car was just the beginning; keeping it running proved to be even more expensive. With rising accessory prices, vehicle maintenance costs have surged. Steel and oil price increases are likely to push up the cost of various products. Conservative estimates suggest that annual car expenses could rise by over a thousand yuan. The more reliant a driver is on their car, the higher the costs will be. “Insurance can't fully protect against price hikes,” said an insurance agent. Insurance companies typically set reference prices at the provincial level and sign agreements with dealers. If manufacturers or dealers raise prices during the agreement period, the insurance company will still pay based on the original price, leaving the extra cost to the owner. For private car owners, maintenance costs after an accident are not the biggest concern. The real issue lies in regular maintenance, such as oil changes and coolant replacements, which are not covered by insurance. Miss Toyota, who has passed her free maintenance period, is worried: “As car sales profits shrink, manufacturers may continue to raise prices to offset rising costs, and labor costs could also increase.” In response to these rising costs, savvy car owners are seeking ways to reduce expenses—both through safer driving and better maintenance practices. Online forums are filled with tips on how to extend the life of a vehicle and avoid unnecessary repairs. Industry experts advise drivers to carefully review their insurance policies, keep detailed records of maintenance schedules, and avoid unnecessary part replacements. Learning to use a car properly can help slow down wear and tear, saving money in the long run.

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