China's auto industry got off to a good start in 2025 as both production and sales posted double-digit growth in the first quarter, driven by measures aimed at boosting auto consumption, industry data showed on Friday.
According to the China Association of Automobile Manufacturers (CAAM), China's total vehicle output surpassed 7.56 million units in the first three months of the year, marking a 14.5 percent increase compared with the same period last year. Sales rose by 11.2 percent, surpassing 7.47 million units.
New energy vehicles (NEVs) output surged 50.4 percent year on year, totaling over 3.18 million units, while sales soared 47.1 percent year on year to nearly 3.08 million units, which accounted for 41.2 percent of total vehicle sales in the period, according to CAAM data.
The association attributed the market growth to the expanding incentive programs designed to promote consumption.
"The passenger car market maintained its positive momentum, while the commercial vehicle market showed signs of recovery. A series of policies aimed at stimulating auto consumption have been extended and implemented more quickly. Looking ahead to the second quarter, the synergistic effects of these policies, along with new model launches at major auto shows and promotional campaigns across the country, will further unleash consumption potential and sustain market growth," said Chen Shihua, vice secretary-general of CAAM.
China's automotive exports also continued their upward trend. In the first quarter, the country exported 1.42 million vehicles, a 7.3 percent year-on-year increase. Notably, NEV exports surged by 43.9 percent to 441,000 units.
The CAAM has voiced firm opposition to additional U.S. tariffs on Chinese products, calling the move disruptive to normal trade order and warning of a significant blow to the global automotive supply chain.
"Confronted with complex and volatile external conditions, we must closely monitor developments while thoroughly implementing the national strategy to expand domestic demand, striving to mitigate negative export impacts and maintain stable industry operations," Chen said.
China's auto output, sales see robust growth in Q1 amid consumption incentives
Foreign diplomats and scholars are looking closely at this year's "two sessions", saying China's 15th Five-Year Plan (2026-2030) will not only chart the nation's economic and technological priorities but also reshape global value chains.
The fourth session of the 14th National Committee of the Chinese People's Political Consultative Conference (CPPCC), the nation's top political advisory body, opened on Wednesday, followed by the annual session of the National People's Congress (NPC) on Thursday. Together known as the "two sessions," these meetings offer a comprehensive view into China's development priorities.
Global observers emphasized that the 15th Five-Year Plan, a blueprint guiding the nation's economic, social, and technological priorities over the next five years, marks a decisive shift toward high‑quality growth anchored in advanced technologies, with ripple effects across the world.
"The two sessions will discuss China's five-year plan, which is heavily oriented toward China's major technological development. I believe this is important because it represents the new blueprint for China's economy, which is now oriented toward the renowned high-quality development, and this will undoubtedly impact the entire world. I think it is worth studying. This is very important for Latin America. It will help us integrate more intelligently into global value chains and into all aspects of the major development that China is promoting in iconic industrial sectors, such as artificial intelligence, quantum computing, and space development, where Latin America also has much to contribute beyond just commercial growth," said Gustavo Sabino Vaca Narvaja, former Argentine Ambassador to China.
"The two sessions are a major political milestone in China, and this year's gathering carries even greater significance as this year marks the start of the 15th Five-Year Plan. This plan represents not only a blueprint for China, but also a guide for other countries. Instruments like the five-year plan effectively provide greater certainty and predictability for the rest of the world," said Chilean scholar of international relations Ignacio Araya Heredia.
"This is a particularly important date, especially due to the fact that the next Five-Year Plan shall be positioned and we're going to see what its main elements shall be. Serbia, which has a very high degree of steel friendship with the People's Republic of China, can expect further assistance in identifying the most prominent areas of Serbian economy and being helped by its great partner, such as it has been done in the previous period, from one part with establishing the main infrastructure projects, but also reshaping the industrial sector of Serbia, not just Serbia, but the region as a whole," said Veljko Mijuskovic, assistant professor of the Faculty of Economics of the University of Belgrade.
Beyond the policy framework, experts also pointed to China's achievements in green energy and technological innovation as models worth emulating.
Tomasz Bielinski, adjunct professor at the University of Gdansk's Faculty of Economics, said the robotics displays at the 2026 China Media Group (CMG) Spring Festival Gala reflected China's broader push in technological innovation.
"I was really impressed about the robotics. I'm very impressed with Chinese development in the technological field, we can still make great deals with Chinese businessmen and we can cooperate together to use this technology for both the good of China and the European Union. I'm aware of the innovation especially in autonomous drive on the on the Chinese side," he said.
"We hope for more of China's economic cooperation, especially in trade and also in investment. Also, and the other focus, if I talk about the focus of the development, don't forget about the green energy. We know that China is great in the electric vehicle field. So because China's electric vehicles in Indonesia nowadays, since couple of years ago, are very, very popular," said Al Busyra Basnur, president of the Indonesia-China Friendship Association.
Observers see China's new five-year plan driving high-quality development, global tech shifts
