China's automobile market has shown strong growth in the first quarter of 2025, driven by robust demand and supportive policies.
According to data from the China Association of Automobile Manufacturers (CAAM), automobile production and sales reached 7.561 million and 7.47 million units, respectively, representing year-on-year increases of 14.5 percent and 11.2 percent.
New energy vehicles (NEVs) were the standout performers, with production and sales reaching 3.182 million and 3.075 million units, respectively, up 50.4 percent and 47.1 percent year on year. NEVs accounted for 41.2 percent of total new car sales, highlighting their growing importance in the market.
Export of complete vehicles also showed positive growth, with NEV export reaching 441,000 units, up 43.9 percent from the same period last year. This reflects the increasing global influence of Chinese automakers, particularly in the NEV sector.
The CAAM attributed the growth to a combination of consumer-friendly policies, improved market confidence, and the introduction of new models by automakers.
Looking ahead to the second quarter, the association expects the positive momentum to continue, supported by policy measures, the Shanghai Auto Show, and ongoing promotional activities.
China's auto market starts with strong momentum in Q1, led by NEVs
