Beijing (TDI): China’s new-energy vehicle (NEV) industry continues to gallop in 2025, with domestic retail sales crossing 686,000 units in February, marking a staggering 79.7% year-on-year growth, the China Passenger Car Association (CPCA) announced on Monday.
In February, NEVs accounted for 49.5% of all domestic passenger car sales, marking a 15-percentage-point increase year-on-year.
Meanwhile, the cumulative NEV retail sales in January and February hit 1.43 million units, reflecting a 35.5% year-on-year rise.
In February, the penetration rate of Chinese-made NEVs reached 70% in the market.
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The CPCA projected that in the ongoing month, China’s passenger car market will maintain a momentum of strong growth, driven primarily by brisk NEV sales, and the traditional fossil fuel-powered vehicle sales will continue to contract in the country.
The positive NEV market outlook is fuelled by the swift resumption of operations across industries following the 8-day-long Spring Festival holiday, likely to drive a strong month-on-month surge in production and sales in March, the CPCA said.
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The CPCA report underlined the government’s policy support, constant technological development and consumption upgrades as key drivers of a buoyant NEV market in China.
As Chinese automobile brands are now welcomed internationally, maintaining a balanced approach to both fossil fuel and electric vehicles — rather than favoring one segment — will stabilize domestic and global auto sales while supporting the steady evolution of the supply chain, the report added.
