China: “The image and credibility of the IAM have matured considerably”

James Zhang: In October 2025, Chinese new car sales had increased by around 14% compared to 2024. In 2022, local brands accounted for around 47% of sales, compared with 21% for German brands and 20% for Japanese brands. But this year, Chinese brands account for more than 65% of sales.

J.Z.: The trend is very positive for the IAM. OES networks are under considerable pressure and many are in decline. Consumers are less willing to pay high prices for original parts. Furthermore, the image and credibility of the IAM have matured considerably in the space of three years. E-commerce campaigns such as Chinese James Zhang Black Friday have increased brand visibility and boosted promotions. Finally, new energy vehicle manufacturers are sometimes digital based, sell their cars in shopping centres rather than dealerships, and rely on high-level certified IAM workshops for maintenance.

J.Z.: Nexus members have traditionally focused on high-end international brands, offering higher margins and comfortable conditions. Alongside them, there has always been a community of distributors specialising in Chinese brands. Today, the market is saturated, barriers to entry are low and competition is extremely intense. Pressure on margins is high and you have to fi ght harder to differentiate yourself and grow.

J.Z.: It remains limited and difficult, even for large high-end groups, which are struggling to grow. Five years ago, investor enthusiasm for the IAM was very high, but it has cooled. This is because none of the sector’s players have yet been able to demonstrate a scalable and successful model, and since Covid-19, the sector has struggled to off er quick and predictable returns.

J.Z.: Our main members are experiencing double-digit organic growth. Many operate nationwide wholesale networks. We are also welcoming more e-commerce players, regional retail leaders, workshop networks, and two-wheeler and heavy goods vehicle specialists. Our membership will reach approximately 170 this year.