The automotive industry in China experienced significant growth in the first quarter of 2025, with both production and sales seeing double-digit increases. This growth was fueled by a combination of favorable policies, new product launches, and rising consumer confidence. The market saw strong performance in passenger vehicles, commercial vehicles, and new energy vehicles (NEVs), with domestic brands leading the way.
In March 2025, China produced 3.006 million vehicles and sold 2.915 million vehicles, representing month-on-month increases of 42.9% and 37%, and year-on-year growth of 11.9% and 8.2%, respectively. For the first quarter, total automobile production and sales reached 7.561 million and 7.47 million units, up 14.5% and 11.2% year-on-year.
Passenger vehicles continued to lead the market, with production and sales reaching 2.574 million and 2.468 million units in March, up 44.2% and 36% month-on-month, and 14.4% and 10.4% year-on-year. China’s self-owned brands performed particularly well in passenger vehicle sales, accounting for 66% of overall sales in March.
Commercial vehicle production and sales in March stood at 431,000 and 447,000 units, up 35.8% and 42.8% month-on-month, but down 1.4% and 2.4% year-on-year. New energy vehicles continued to see strong growth, with production reaching 1.277 million units and sales reaching 1.237 million units in March, up 47.9% and 40.1% year-on-year.
In terms of exports, China exported 507,000 vehicles in March, up 14.9% from February and 1% from a year earlier. Among the top exporters, Chery led the way with 86,000 units shipped, while BYD saw the fastest growth, exporting 73,000 vehicles in March.
Overall, the outlook for the second quarter remains positive, with a combination of policy support, new product launches, and promotional campaigns expected to further drive consumer demand and sustain the industry’s growth momentum. The automotive industry in China is poised for continued expansion in the coming months.
