Prices of SUVs in China dropped noticeably in January as automakers accelerated the launch of new models -- a sign of growing competition in the market's hottest automotive segment.
Last month, prices of SUVs produced in China dropped 3 percent year on year, while prices of imported SUVs declined 5 percent, according to the National Development and Reform Commission, China's price regulator.
SUV prices were soft even though deliveries have skyrocketed. In January, industry sales of SUVs jumped 51 percent to 487,300 units while overall light-vehicle deliveries rose 10 percent, the China Association of Automobile Manufacturers reported.
Soft prices may persist this year if sales forecasts prove accurate. Vehicle sales in China are expected to rise 7 percent this year, down from 10 percent in 2014, as the economy cools.
Other product segments showed mixed results. In January, prices of domestically produced sedans rose 2 percent, while the average price of imported sedans dropped 2 percent.
Chinese officials did not release the change in January price levels for other types of passenger vehicles.