In July, sales of new energy vehicles reached 1.561 million units, according to figures from the China Association of Automobile Manufacturers (CAAM). Sales were up 23.7 per cent from the same month last year, but fell 5 per cent from June. A slight decline in July is not unusual due to seasonal effects in China. However, with the overall market also contracting, NEVs reached a record 60.4 per cent of new passenger car sales. The cumulative NEV share for the first seven months of the year also exceeded 50 per cent for the first time, according to CN EV Post.
For context: CAAM’s figures are based on manufacturers’ wholesale sales and therefore include both vehicles sold in China and exports. New Energy Vehicles include battery-electric vehicles, plug-in hybrids — including range-extender vehicles (EREVs) — and fuel cell vehicles. Fuel cell vehicles, however, account for only a negligible share of passenger car sales, including in China.
Domestic NEV sales in July fell 2.8 per cent year-on-year to 1,008,000 units, while NEV exports surged 145 per cent to 553,000 units. Exports are thus becoming increasingly important for Chinese manufacturers as domestic demand weakens. The trend is also evident, albeit to a lesser extent, for combustion-engine vehicles.
