Cui Dongshu, secretary general of the CPC, said in a post on his WeChat account that in December 2022, the national passenger car inventory was 3.58 million units, of which the manufacturers had 810,000 units in stock and the channel inventory was 2.77 million units. Due to the deregulation of the epidemic, December faces the arrival of the peak season. Pre-holiday retail in January is high, but the pre-holiday period in January is short and the recovery period after the holiday is long. Therefore, we predict that the total sales volume of manufacturers in the passenger car industry in January-February will be low. According to this estimate, although inventory in the passenger car industry has dropped drastically, the number of future operating days that inventory can support is 69 days, entering a relatively sensitive high inventory cycle. Judging from the current inventory level of 3.58 million units and the expected slow recovery of the market after the Spring Festival, it is recommended that the industry carefully set the pace of production and marketing for the future market, track environmental and market changes in a timely manner, have a more accurate spring market judgment in early February, and adjust the pace of production in a timely manner to effectively meet market demand.