Latest data shows that in the first week of June, the retail market share of new energy passenger vehicles in China rose to 66.7%, setting a new weekly record, meaning that among every three new cars, only one is a traditional fuel vehicle.
According to Yicai, the China Automobile Dealers Association Passenger Car Market Information Joint Committee (CPCA) released wholesale and retail market data for mainland China's passenger cars for the first week of June on Wednesday.
Data shows that from June 1 to 7, the retail market share of new energy passenger vehicles in China increased to 66.7%, hitting a new weekly record.
The data also shows that China's car market remains sluggish. In the first week of June, retail sales in the mainland passenger car market reached 228,000 units, down 23% year-on-year and 11% from the same period in May. So far this year, the accumulated retail sales reached 7.327 million vehicles, down 20% year-on-year.
Among them, new energy vehicles are relatively resilient and have seen rising sales. From June 1 to 7, retail sales of new energy passenger vehicles were 152,000 units, a decrease of 14% year-on-year, but an 8% increase from the previous month. Year to date, the accumulated retail sales reached 3.85 million vehicles, down 15% year-on-year.
In contrast, fuel passenger cars recorded retail sales of 76,000 units in the first week of June, a sharp 46% drop compared to 141,000 units in the same period last year.
The production scale of fuel vehicles is also shrinking significantly. In the first week of June, 108,000 pure fuel light vehicles were produced, a significant decrease of 39%.
Cui Dongshu, Secretary-General of the CPCA, stated that high oil prices and favorable policies are together accelerating the 'oil-to-electric switch'. Geopolitical factors have pushed international oil prices to remain high, and the cost of using fuel vehicles domestically continues to rise, which not only directly suppresses consumer desire to buy fuel cars but also increases household expenditure pressure and further weakens overall car purchase consumption. This is a core reason for the significant growth of new energy vehicles.
The report points out that in the top 10 retail passenger car rankings in January, 7 were fuel vehicles, but in May, for the first time, all top 10 ranked models were new energy vehicles. The best-selling fuel car, the Geely Boyue, only ranked 17th on the list.