China witnessed a significant decline in the sales of new energy vehicles (NEVs) in the early days of January compared to the previous month. The China Passenger Car Association (CPCA) reported that retail sales of passenger NEVs in the country from January 1-12 were 206,000 units. While this figure represented an 8 percent increase from the same period last year, it marked a sharp 50 percent drop from the previous month.
Similarly, wholesale sales of passenger NEVs in China during the same period amounted to 261,000 units, reflecting a 45 percent year-on-year increase but a 42 percent decrease from the previous month. The overall sales of passenger vehicles in China also experienced a decline, with retail sales reaching 533,000 units from January 1-12, down 21 percent year-on-year and 36 percent month-on-month.
The data revealed that China’s NEV penetration at retail stood at 38.65 percent for the first 12 days of January, significantly lower than the 49.4 percent recorded in December. The average daily retail sales of passenger cars in China were 39,014 units in the first week of January, marking a 28 percent year-on-year decrease and a 28 percent month-on-month decline. In the second week, the average daily retail sales dropped to 48,286 units, down 16 percent year-on-year and 35 percent from the previous month.
Wholesale sales of all passenger cars in China during January 1-12 totaled 689,000 units, showing a 14 percent year-on-year increase but a 23 percent month-on-month decrease. The average daily wholesale sales of passenger cars were 59,064 units in the first week of January, up 26 percent year-on-year but down 16 percent from the previous month. In the second week, the average daily wholesale sales decreased to 56,211 units, reflecting a 6 percent year-on-year increase but a 27 percent month-on-month decline.
The decline in NEV sales in China in the early days of January could be attributed to the typical slowdown in deliveries at the beginning of a new month following the higher volumes seen at the end of the previous month. Despite the challenges faced in the NEV market, industry experts remain optimistic about the future growth and development of electric vehicles in China.
