Industry Information
Nov. 27, 2025
Industry Background:
China’s automotive aftermarket has entered a stage of stock competition and structural reshaping, where branded chains, traditional 4S shops, and independent workshops are competing head-to-head.
Tuhu Car Care now leads the chain-store race with 7,205 locations and 150 million registered users, generating 26.5 million annual transactions. Its new energy vehicle user base exceeds 3.4 million, surging 84.5% year-on-year.
Tuhu’s Core Strengths:
Tuhu operates a powerful supply chain network consisting of 32 regional warehouses and 662 front warehouses, allowing 83% of products to be delivered same day or next day. In the first half of 2025, the company invested 570 million yuan in marketing, launching its “New Store 90-Day Profitability Program”, which offers 5,000–15,000 RMB in advertising support and 850,000 traffic impressions for new franchisees.
Hidden Pressures:
Despite aggressive expansion, some franchisees are feeling the strain. The breakeven period for single stores has extended to 14 months, and store revenue has dropped by around 10%. On the consumer side, the Black Cat Complaint Platform lists 1,755 complaints involving issues such as inadequate repairs, overcharging, and the use of substandard parts.
A Fierce Battlefield:
Tuhu is currently engaged in legal disputes with JD Auto Service over alleged unfair competition. Meanwhile, Tmall Auto Service (with more than 2,500 stores), ByteDance’s Dongdong Auto Service, Didi’s Xiaojv Auto Service, and others are intensifying competition. With rising labor and rental costs, the industry is becoming even more competitive and reaching a state of white-hot rivalry.
For more insights and updates on China’s automotive aftermarket, we welcome you to stay tuned to YASN Show and participate in CIAACE!
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