The Chinese electric vehicle (EV) market continues to be dominated by BYD, with the carmaker claiming a 30.8% market share in the first half of 2024. This domestic brand has solidified its position as the leader in plug-in registrations, with no immediate threat from competitors.
In contrast, legacy brands such as Volkswagen, Toyota, and Honda have struggled to make an impact in the Chinese EV market. Despite their strong presence in the overall new-car market, these brands saw a decline in deliveries in June. Honda, in particular, is looking to boost its EV production in China with the opening of two new plants later this year.
Tesla, the only non-domestic brand in the top five EV sellers in China, maintained its position as the second best-selling brand. However, the company faced challenges with a remote recall affecting 1.7 million vehicles in the Chinese market. This setback did not seem to have a significant impact on Tesla’s overall performance.
Li Auto made significant strides in the Chinese EV market, jumping three positions to become the third most popular brand. The introduction of the L6 model contributed to this growth, while Wuling and Aito experienced slight declines in market share.
BYD Group, which includes the BYD brand, continued to dominate the EV market in China, accounting for 32.9% of registrations in the first half of the year. The group’s strong performance is attributed to its partnership with CATL in the Chinese battery industry, giving it a competitive edge over smaller players.
Overall, the Chinese EV market remains highly competitive, with larger manufacturers like Geely-Volvo and Tesla vying for market share. Smaller players are finding it challenging to compete, with some facing financial difficulties and production suspensions. Despite these challenges, the EV market in China continues to show growth potential for established brands and newcomers alike.
