China NEV Sales Show Retail Growth Momentum in December

Recently, China NEV sales recorded a noticeable improvement in late December, helping lift the overall monthly growth trajectory despite ongoing pressure on the broader passenger vehicle market. Updated industry data shows stronger retail activity toward the end of the month, reflecting resilient consumer demand for new energy vehicles.
From December 1 to 28, passenger new energy vehicle retail volumes reached 1.192 million units, marking a 5 percent year-on-year increase and a 1 percent rise month-on-month, based on figures released by the China Passenger Car Association. This performance represents an acceleration compared with the earlier part of the month, when retail sales between December 1 and 21 stood at 788,000 units, growing just 1 percent year-on-year.
China NEV Sales Performance Strengthens Year-to-Date
On a cumulative basis, China NEV sales continued to expand steadily. From January through December 28, passenger NEV retail volumes totaled 12.66 million units, reflecting an 18 percent year-on-year increase. This sustained growth highlights the continued structural shift toward electrified mobility across China’s passenger vehicle market.
Wholesale activity, however, showed a contrasting trend. Passenger NEV wholesale volumes from December 1 to 28 reached 1.261 million units, declining 4 percent year-on-year and 16 percent month-on-month. Despite the short-term slowdown, year-to-date wholesale NEV volumes climbed to 15.02 million units, up 25 percent compared with the same period last year.
Passenger Vehicle Market Trends in December
Beyond electrified vehicles, China’s overall passenger vehicle market remained under pressure. Total retail sales of all passenger vehicles from December 1 to 28 amounted to 1.928 million units, down 17 percent year-on-year and 3 percent month-on-month. Nevertheless, cumulative retail sales for the year reached 23.411 million units, showing a modest 4 percent annual increase.
The strong relative performance of electrified models pushed the NEV retail penetration rate to 61.8 percent during December 1–28, while the year-to-date penetration rate stood at 54.09 percent, underlining the growing dominance of NEVs within China’s automotive market.
Weekly Sales Patterns Reflect Late-Month Recovery
Weekly retail data illustrates a gradual recovery in sales momentum as December progressed:

• December 1–7: Average daily retail sales of 42,468 units, down 32 percent year-on-year
• December 8–14: Average daily retail sales of 66,629 units, down 17 percent year-on-year
• December 15–21: Average daily retail sales of 76,551 units, down 11 percent year-on-year
• December 22–28: Average daily retail sales of 89,782 units, down 12 percent year-on-year

Wholesale volumes followed a similar late-month pickup despite remaining below last year’s levels. Total passenger vehicle wholesale sales from December 1 to 28 reached 2.134 million units, representing a 19 percent decline both year-on-year and month-on-month. Cumulatively, passenger vehicle wholesale volumes for the year stood at 28.9 million units, up 8 percent compared with the same period last year.
Together, these trends indicate that while short-term volatility persists, China NEV sales continue to anchor growth across the country’s automotive sector as electrification remains a central pillar of market expansion.