A Tesla Model 3 displayed at the Guangzhou Autoshow on November 22 Photo: VCG

Car sales in China continued to recover in June, extending their recovery streak to a fourth consecutive month, industry data showed on Wednesday. 

Car sales in China hit 1.65 million units in June, a 2.9 percent increase from May, data from the China Passenger Car Association (CPCA) showed.

The CPCA said the recovery, in spite of a usual slack season, was due to the combined effects of positive policies and market factors. 

China's automobile market was hit hard by the COVID-19 epidemic, with the CPCA estimating that sales of some 2.08 million units were missed in the first quarter due to the outbreak. However, car sales have been recovering since March.

From January to June, total sales of passenger cars in China reached 7.7 million units, down 23 percent from the same period last year. 

US-based electric car maker Tesla led Chinese all-electric car sales, accounting for 23 percent of sales in June, according to the CPCA. 

It is estimated Tesla sales in the second half of the year will be strong, as will the overall electric car market. New-energy car sales, including all-electric car sales and sales of other models such as hybrids, are expected to increase in July, the association said.