Rising prices of food, energy and commodity materials across the globe are stretching consumer confidence thin. Auto sales in the U.S. dove more than 17 percent in the first half of 2008. Sales of new vehicles also dipped 2 percent in Japan during the same period. But growth remains brisk in China, topping 18 percent in the first 6 months.

But the pace of growth is slowing down slightly, compared to the 22 percent rate in the first half of 2007. Xinhua also reported that growth fluctuates vastly, as shown by monthly performances. Sales reached a record high in January but took a hard hit in February due to the Chinese New Year holiday and snow storms. March saw a beautiful rebound, but April was a month of adjustment. Sales in May declined again, impacted by the Wenchuan earthquake. The market finally regained growth momentum in June.