Posted on 23 May 2025
Retail sales of passenger cars across China totaled 932,000 units during May 1-18, marking a 12% year-on-year increase, according to the new data released by the China Passenger Car Association (CPCA) on May 21. The figure also represented an 18% rise compared with the same period in April, the association noted.
As of May 18, China's cumulative passenger vehicle sales for 2025 had reached 7.8 million units, up 8% from the same period last year.
The CPCA attributed the robust performance to a combination of pro-consumption policies and the positive market momentum generated by recent auto shows. A wave of new model launches, along with various promotional campaigns -- such as fixed-price sales and zero-interest financing offers -- also significantly boosted consumer enthusiasm.
Sales of new energy vehicles (NEVs) were especially strong. Over May 1-18, NEV retail sales surged by 32% year on year and 15% month on month to reach 484,000 units. This brought China's total NEV sales in 2025 to 3.8 million units, representing a 35% increase from the same period last year.
The CPCA noted that this year's May Day holiday (May 1-5) played a notable role in stimulating NEV demand. The holiday saw a marked increase in self-driving travel, with many consumers opting for private or rental vehicles over traditional group tours. NEVs, in particular, offered enhanced travel experiences through features such as assisted driving, as well as smart cabins that provide greater comfort and privacy.
As drivers grow more accustomed to NEV charging routines, the May Day holiday period also acted as a practical test of China's expanding charging infrastructure. These developments are fueling wider interest in NEVs and helping to ease the concerns of traditional fuel vehicle owners considering a switch to electric mobility, the association noted.
Source:Mysteel Global
