Cui Dongshu: November new energy vehicle retail sales increased by nearly 50% year-on-year, with strong growth momentum continuing.

The Secretary-General of the China Association of Automobile Manufacturers, Cui Dongshu, stated in a document that in 2024, the Chinese auto market's retail sales in the first half of the year showed a strong trend, driven by the early Chinese New Year factor. Data shows that in November 2024, the retail sales of new energy vehicles reached 1.26 million units, with a year-on-year growth rate of 49%, showing strong growth momentum and reaching a new high for the fourth consecutive month. The landscape of the domestic new energy market in 2024 saw intense changes, with traditional car companies like BYD, Geely, and Chery showing increasing dominance, while the lower-end sector remained relatively strong. New players like Xiaopeng, NIO, and Li Xiang performed well overall, while traditional car companies like Wuling, Geely, and Changan showed strong performance in November in the new energy segment. 1. Strong Wholesale of New Energy Vehicles in November 2024 In November 2024, the wholesale sales of new energy passenger vehicles reached 1.43 million units, surpassing historical highs. Due to factors such as the Chinese New Year and price reductions, the trend of new energy vehicles was weak in January and February, but gradually recovered from March to August. Government subsidies drove significant month-on-month growth from September to November, continuously breaking monthly historical highs. Since 2023, the prices of power batteries have been gradually decreasing due to the decline in raw materials such as lithium and nickel. The low sales volume at the beginning of the year was beneficial for companies to reduce production, clear historical inventory, and start increasing sales of new products from March onwards. In November, the wholesale of new energy passenger vehicles reached 1.43 million units, with a year-on-year growth rate of 49%, which was much higher than the 35% growth rate from January to October, showing strong growth. The wholesale growth in November was faster than the retail growth, reflecting the market's clear effect on production and sales. 2. Regional Market Performance Improving The recent strong performance of new energy passenger vehicles has mainly been a result of new breakthroughs in the northern regional markets, with increased market share in the Northwest, Northeast, North, and Southwest regions. The incremental growth of plug-in hybrids has driven the transformation to electrification in markets with weaker consumption capacity. 3. Regional Penetration Rate of Pure Electric Passenger Vehicles - November The market share of pure electric vehicles in restricted cities has remained stable, increasing from 26% in November 2021 to 34% in 2024. However, due to high declines in pure electric vehicles in Shanghai, their performance in restricted cities has been average. In non-restricted cities, the sales share of pure electric vehicles in large, medium, and small cities is similar, with a 31% penetration rate in medium-sized cities and a 28% penetration rate in rural markets. 4. Regional Penetration Rate of Plug-in Hybrid Passenger Vehicles - November The market penetration rate of plug-in hybrids continues to increase nationwide, reaching 23% in November in major cities and showing a continuous increase in small and medium-sized cities as well. The gap in penetration rates of plug-in hybrids between different city types has narrowed. Shanghai's plug-in hybrid market share was only 10% in November due to the impact of license policies, which is still the lowest in the country. 5. Monthly Sales Trends of New Energy Vehicles in Various Provinces Regional sales trends vary, with rapid growth in some central and western provinces showing strong performance. 6. Trends in the Beijing Market The new energy vehicle market in Beijing in 2024 has been relatively stable, with sales reaching 30,000 units in November, maintaining high levels compared to the same period in previous years. Since the tight availability of new energy vehicle permits in 2018, the market in Beijing has shown a contrasting trend to the rest of the country in 2022, with a relatively low growth rate. The performance in Beijing in November was relatively strong, considering the limited allocation of permits and the low supply of Tesla vehicles. Beijing's new energy vehicles cater to practical needs, reflecting strong demand for household use. 7. Trends in the Shanghai Market The market trends in Shanghai have shown stark differences compared to Beijing, showing extreme stability from 2019 to 2021. Beginning in December 2022, there was a surge in year-end purchases, leading to a slump at the beginning of the year in 2024. The market for new energy vehicles in Shanghai has been relatively stable, with most sales coming from large and medium-sized cities, reflecting strong demand in these areas.The initial sales volume has decreased significantly.In November 2024, the sales volume of new energy vehicles in the Shanghai market reached 33,000 units, a 27% decrease from the previous November's 45,000 units. The Shanghai new energy vehicle market, which was affected by policy adjustments last year, is gradually recovering. The tightened license plate policy has had a significant impact on the Shanghai car market at the beginning of the year, but the market has been gradually recovering in recent times. 11. Trends in the new energy passenger car market in restricted cities New energy vehicles have shown relatively strong performance in restricted cities, reaching a level of 288,000 units in November 2024, with a year-on-year growth rate of 59%, which is a good level. The cumulative sales volume of new energy vehicles in 2024 reached 2.34 million units, reflecting the continuous growth in demand for new energy vehicles in restricted cities. 12. Trends in the new energy passenger car market in areas without purchase or driving restrictions Non-restricted cities are areas where traditional fuel vehicles are not subject to purchase or driving restrictions. As traditional vehicles are not restricted, the demand for new energy vehicles in these cities represents genuine market demand. Currently, non-restricted cities are also experiencing rapid growth, with relatively high levels of new energy vehicle sales. In 2022, non-restricted cities reached a cumulative level of 2.73 million units, with a year-on-year growth of 96%, showing strong growth characteristics. The performance of new energy vehicles in non-restricted cities in 2023 was outstanding, with sales of 4.06 million units, and the sales of 5.61 million units from January to November 2024 showed a strong growth rate of 57%.