SHANGHAI, Dec 8 Reuters China39;s passenger vehicle sales fell for the first time in six months in November and are expected to stay flat next year, an industry body said on Thursday, as demand weakens faster than expected, even as stringent COVID rules are eased.

Vehicle sales last month fell 9.5 from a year earlier to 1.67 million units, the first decline since May, according to the China Passenger Car Association CPCA.

Many large cities imposed some form of lockdowns last month as COVID19 cases rose.

The November sales were far worse than previous expectations, Cui Dongshu, the CPCA39;s secretary general, told an online briefing.

The current trend is unprecedented since the financial crisis in 2008, he said, while adding that the significant change in China39;s COVID policies in recent days means that the threeyear pandemic is almost over, which should restore consumer confidence.

China has started easing antivirus measures after public frustration boiled over late last month, sparking protests against COVID controls that were the biggest demonstration of public discontent since President Xi Jinping came to power in 2012.

But analysts say economic activity will take some time to recover.

The association said it expects passenger vehicle sales to reach 20.6 million units next year, flat from 2022, a forecast more optimistic than some street views.

Analysts at China Merchants Bank International expect retail passenger vehicle sales in China, the world39;s…