China’s new energy vehicle (NEV) market experienced a decline in sales last month, with wholesale sales of passenger NEVs dropping to 900,000 units in January. This figure represents a 31 percent increase from the previous year but a significant 40 percent decrease from December, according to a report by the China Passenger Car Association (CPCA).
The slowdown in sales can be attributed to several factors, including the traditional Chinese New Year holiday and the early completion of pre-holiday car purchases by many consumers in December. These factors contributed to a weakened performance in January, as buyers held off on making new purchases during the holiday season.
Major carmakers in the NEV market recorded varying sales figures in January. BYD led the pack with 296,446 units sold, followed by Geely with 121,071 units, Changan Automobile with 65,856 units, Tesla with 63,238 units, and Chery with 54,960 units. BYD also reported overall NEV sales of 300,538 units, including both passenger and commercial vehicles.
Other prominent EV manufacturers such as Nio, Li Auto, and Xpeng also saw fluctuations in their sales numbers for January. Nio delivered 13,863 vehicles, Li Auto delivered 29,927 vehicles, and Xpeng delivered 30,350 vehicles during the month. While these figures represented year-over-year growth for most manufacturers, they were lower compared to December sales.
The Chinese New Year holiday, combined with the completion of pre-holiday purchases in December, had a notable impact on the NEV market last month. As the industry enters a slow season at the beginning of the year, it will be interesting to see how sales trends evolve in the coming months. Stay tuned for more updates on the latest developments in China’s dynamic NEV market.
