Car sales in China dropped 12% year over year in January, totaling 1.81 million units, the China Passenger Cas Association (CPCA) reported on Tuesday.

Despite the overall drop, sales of electric vehicles and plug-in hybrids grew 10.5%, now accounting for 41.2% of total sales.

"The run-up to the Lunar New Year is traditionally a peak season for car purchases in rural areas, with demand coming mostly from first-time buyers and gasoline vehicles making up a larger proportion," said Cui Dongshu, secretary-general of CPCA.