SOURCE / ECONOMY
China’s H1 auto production, sales both top 15m, NEV growth strong
Published: Jul 10, 2025 02:16 PM
Assembly line workers oversee new energy vehicles rolling off the production line at the Leapmotor smart factory in the Jinhua city, East China's Zhejiang province, on June 24, 2025. Photo: VCG

Assembly line workers oversee new energy vehicles rolling off the production line at the Leapmotor smart factory in the Jinhua city, East China's Zhejiang province, on June 24, 2025. Photo: VCG



China's auto production and sales both surpassed 15 million units for the first time in the first half of 2025, with new-energy vehicles (NEVs) leading the growth, according to data released by the China Association of Automobile Manufacturers (CAAM) on Thursday.

Vehicle production reached 15.62 million in the first half of 2025, up 12.5 percent year-on-year, while sales hit 15.65 million, up 11.4 percent, the first time that both figures surpassed 15 million during the period, data from the CAAM showed.

Remarkably, NEV production stood at 6.97 million, up 41.4 percent year-on-year, while NEV sales reached 6.94 million, an increase of 40.3 percent. NEVs accounted for 44.3 percent of China's total new car sales during the period, according to the CAAM.

A representative of the CAAM said on Thursday that the domestic market has seen notable improvement thanks to the continued effectiveness of the car trade-in policy, with year-on-year growth exceeding 10 percent, providing strong support for the overall expansion of the auto market. NEVs have maintained rapid growth, with their market share continuing to rise, driving the industry's accelerated transformation and upgrading, the representative noted, according to China Media Group.

Cui Dongshu, secretary-general of the China Passenger Car Association (CPCA), told the Global Times on Thursday that China's auto exports are seeing robust momentum, while domestic sales recorded strong growth in the first half, thanks to supportive policies. He noted that with domestic sales surpassing 15 million vehicles in the first half, a solid foundation has been laid for continued growth in the second half, with full-year sales expected to exceed 33 million units - a goal well within reach.

Retail sales of passenger vehicles in China reached 2.084 million in June, up 18.1 percent year-on-year and up 7.6 percent month-on-month, according to data released by the CPCA on Tuesday.

According to data from the Ministry of Commerce, as of May 31, a total of 4.12 million applications had been submitted for vehicle trade-in subsidies. 

A spokesperson of the National Development and Reform Commission said at a press conference held by the State Council Information Office on Wednesday that China's NEV ownership reached 31.4 million in 2024. This represented an increase of more than fivefold from the 4.92 million recorded at the end of the 13th Five-Year Plan period (2016-20).

The continued rollout of the trade-in policy, along with a steady stream of new product launches, will help sustain growth in auto consumption, Cui said.

Cui also pointed out that whole-vehicle exports remain the primary mode of outbound shipments. The recent addition of a large number of new vessels has significantly boosted shipping capacity, easing bottlenecks in logistics and driving the rapid expansion of China's automotive export capabilities. With improved transport capacity, Chinese carmakers can now deliver larger volumes of vehicles to overseas ports more efficiently and sell them at relatively competitive prices, driving substantial sales growth, he said.

He added that under the Belt and Road Initiative, China has made notable progress in expanding shipping capacity, developing rail transport, and establishing overseas factories, all of which have significantly enhanced the country's export capacity and contributed to strong overseas cars sales performance.

Global Times