(Rewrites throughout with data breakdown, context on competition and policy measures)
BEIJING, Aug 8 (Reuters) - China's passenger vehicle sales shrank for a second consecutive month in July, as discounts and government's support measures failed to persuade consumers wary of a sputtering economy and a prolonged slump in the housing market.
Automakers are concerned about a demand slowdown as the world's second-largest economy loses its post-pandemic bounce.
Car sales totalled 1.79 million units in July, down 2.6% from last year, data from the China Passenger Car Association (CPCA) showed, the second contraction in a row after a 2.9% slide in June.
Sales were up 1.7% at 11.44 million units in the first seven months.
Chinese automakers continued to bet on overseas markets, as domestic growth eased, with exports soaring 63% in July year-on-year following a 56% leap in June.
Tesla, which is preparing its Shanghai plant for the new Model 3, exported 32,862 China-made cars in July, CPCA said.
Rivalry in China's automobile market, the world's largest, has intensified, as automakers struggle with weakening demand, deepening price competition.
Price cuts triggered by Tesla at the start of the year have roped in 40-plus brands in China and have shown few signs of easing, with General Motors and Volkswagen joining a fresh round of EV price cuts in July.
New energy vehicles (NEVs), that have underpinned China's auto sales growth, are also losing steam.
Sales of NEVs, which include pure battery electric vehicles (EVs) and plug-in hybrids, were up 31.9% in July, making up 35.8% of the total car sales. The segment recorded a 3.6% dip in sales in July over June.
(Reporting by Qiaoyi Li, Zhang Yan and Miyoung Kim; Editing by Muralikumar Anantharaman)
