In China, sales of electric vehicles are booming

Last year in China, which is the world's largest automotive market, 31.4 million new vehicles were registered, an increase of 4.5% compared to 2023. The growth in sales exceeded even that of production, which also increased, but only by 3.7%. Driving demand were mainly sales of all types of electrified vehicles, which increased by more than 40 per cent, while petrol and diesel cars declined sharply - 17 per cent year-on-year from 14 million in 2023 to 11.6 million last year.

Not to mention that Chinese exports also grew by almost 20 per cent in 2024, reaching a figure of almost five million vehicles, of which 1.28 million, a 6.7 per cent increase over 2023, for what China has dubbed new energy vehicles, namely electric, fuel cell and plug-in hybrid cars. The year 2024 set a new sales record and for the second year in a row exceeded the 30 million unit mark. China has led the world in production and sales for 16 years running.

Of the total number of cars sold, those of Chinese brands amounted to 17.97 million in 2024, i.e. 65.2 % of the total registered cars with a year-on-year increase of 23.1 %. Car sales in China reached 22.61 million in the past 12 months, 3.1% more than in 2023. Production and sales of new energy vehicles are up 9.3% year-on-year to 2023. The domestic market estimated at 22 million units after facing a rather uncertain start to the year recovered strongly in the second half of last year.

In this context, it should also be noted that two Chinese brands climbed the global rankings. These were Byd, which occupied sixth position in the third quarter with 1.13 million units sold, representing an impressive 38% growth. The other Chinese group in the global top ten was Geely, which with 811,800 units sold also overtook Nissan and knocked Suzuki out of the world rankings. Geely is performing well with its Zeekr, Link & Co and Galaxy brands as well as being the only Chinese manufacturer present in the US with two brands, Volvo and Polestar.

The positive trend recorded at the end of 2024 continued in the first months of this year, with Chinese car sales up 1.3% year-on-year, thanks to an expanded subsidy programme that stimulated demand for cars, while a new price war for smart electric vehicles is being waged. In addition, passenger vehicle sales rose 26.1% year-on-year to 1.41 million units in February, up from a previous 12% drop in January.