China’s NEV (new energy vehicle) sales hit a record 54.29% of the total retail monthly sales in September with 1.12 million units finding customers.
The record result means that retail NEV sales for the year now stand at 45.9% of the total retail passenger vehicle sales total with 7.13 million finding customers so far this year, according to data from the China Passenger Car Association (CPCA).
At the current run rate, imagining the September result is replicated in each of the last three months of the year, NEVs would make up over 48% of the total retail passenger vehicle sales for the year. However, considering that the last three months of the year are often the best of the year for sales, and the upward trend of NEV sales, 50% NEV sales for the year is not out of reach.
In an expanding market (total retail sales are up two percent for the year), total retail NEV sales are outgrowing the market significantly with growth of 37% on the same period last year.
All this means that the total Chinese retail passenger vehicle market for 2024 looks highly likely to top 22 million units with cumulative NEV sales topping 10 million for the first time ever.
BYD brands are expected to make up almost 40% of the entire NEV sales total for the year with around four million units expected to find customers by the end of the year, something that has seen the BYD Group become the best-selling automotive group in China this month, surpassing SAIC.
BYD Group and SAIC could not have more contrasting fortunes in 2024, with BYD Group’s cumulative sales to September up 32.13% year-on-year, compared to SAIC’s 21.5% drop in the opposite direction, so now not only is BYD the best-selling manufacturer in China, which they became last year, but also the best-selling group overall.
BYD Group consists of BYD, Denza, Fangchengbao, and Yangwang, while SAIC includes SAIC-VW, Wuling, Baojun, Roewe, Maxus, MG, Rising, and IM.
