From April 1 to April 27, the national retail sales of Passenger Vehicles in the new energy market reached 728,000 units, a 24% increase compared to the same period last year in April, but a 10% decline compared to the previous month, with the national new energy market retail penetration rate at 52.3%.
According to the Zhitong Finance APP, data released by the Passenger Vehicle Association shows that from April 1 to April 27, national retail sales of new energy Passenger Vehicles reached 0.728 million units, an increase of 24% compared to the same period last year in April, but a decrease of 10% compared to last month. The national new energy market retail penetration rate is 52.3%, with cumulative retail sales of 3.148 million units this year, a year-on-year increase of 33%. National wholesale of new energy from Passenger Vehicle manufacturers was 0.846 million units, an increase of 25% compared to the same period last year in April, but a decrease of 6% compared to last month, with a wholesale penetration rate of 53.9% for new energy manufacturers and a cumulative wholesale of 3.695 million units this year, a year-on-year increase of 38%.
From April 1 to April 27, national retail sales in the Passenger Vehicle market reached 1.391 million units, a year-on-year increase of 10% compared to the same period last year in April, but a decrease of 10% compared to last month. Cumulative retail sales this year reach 6.518 million units, a year-on-year increase of 7%. National wholesale of Passenger Vehicle manufacturers reached 1.569 million units, a year-on-year increase of 10% compared to the same period last year in April, but a decrease of 16% compared to last month. Cumulative wholesale this year reaches 7.847 million units, a year-on-year increase of 11%.
1. In April 2025, the national Passenger Vehicle retail market remained stable.
In the first week of April, the average daily retail sales in the national Passenger Vehicle market were 0.035 million units, an increase of 2% compared to the same period last year in April, but a decrease of 14% compared to last month.
In the second week of April, the average daily retail sales in the national Passenger Vehicle market were 0.044 million units, an increase of 13% compared to the same period last year in April, but a decrease of 14% compared to last month.
In the third week of April, the average daily retail sales in the national Passenger Vehicle market were 0.055 million units, an increase of 17% compared to the same period last year in April, but a decrease of 3% compared to last month.
In the fourth week of April, the average daily retail sales in the national Passenger Vehicle market were 0.071 million units, an increase of 7% compared to the same period last year in April, but a decrease of 11% compared to last month.
From April 1 to 27, national retail sales of Passenger Vehicles reached 1.391 million units, growing by 10% year-on-year compared to the same period last April, but decreasing by 10% compared to last month; the cumulative retail sales this year total 6.518 million units, with a year-on-year increase of 7%.
With the promotion of national consumer policies and corresponding consumption policies in multiple provinces and cities, the spring auto show offline activities will fully activate market atmosphere and accelerate the gathering of popularity. The new product launches at the beginning of April are extremely active. Manufacturers' "fixed price" strategy and "0 interest" car purchase financing schemes and other promotional activities continue. Recently, terminal intelligent driving promotions have had a general effect on driving sales, and many companies have launched manufacturers' replacement and scrapping subsidies to seize the opportunity of the trade-in policy, which have had good results.
Due to the drastic changes in the external environment and the emergence of unexpected pressures from widespread increases in tariffs, consumer sentiment has also been impacted. However, the country has long had policies aimed at promoting domestic demand, therefore the trend of development relying on both "domestic and foreign demand" is becoming increasingly obvious, and the effects of stabilizing domestic demand in the Passenger Vehicle market have been continuously reflected. As the economy steadily continues in the first quarter, the retail trend of the Passenger Vehicle market in April is stable and improving.
In April 2025, national sales of Passenger Vehicle manufacturers are stable.
In the first week of April, the daily average wholesale of Passenger Vehicle manufacturers nationwide was 0.035 million units, which is an 11% increase year-on-year compared to the same period last April and a 21% decrease compared to last month.
In the second week of April, the daily average wholesale of Passenger Vehicle manufacturers nationwide was 0.052 million units, which is a 22% increase year-on-year compared to the same period last April and a 10% decrease compared to last month.
In the third week of April, the daily average wholesale of Passenger Vehicle manufacturers nationwide was 0.059 million units, which is a 9% increase year-on-year compared to the same period last April and a 9% decrease compared to last month.
In the fourth week of April, the daily average wholesale of Passenger Vehicle manufacturers nationwide was 0.083 million units, which is a 5% increase year-on-year compared to the same period last April and a 22% decrease compared to last month.
From April 1 to 27, wholesale of Passenger Vehicles by manufacturers nationwide reached 1.569 million units, an increase of 10% compared to the same period last April, but a decrease of 16% compared to last month; the cumulative wholesale since the beginning of this year is 7.847 million units, representing a year-on-year growth of 11%.
In April 2025, there are 22 working days, which is the same as April last year, favorable for steady growth in the automotive market's production and sales. The price war in spring 2024 led to a severe market slump in February and March; however, with the implementation of the scrapping and renewal policy on April 24, the automotive market gradually resumed growth after last April, and there is still a boosting effect from a relatively low base this April.
Recently, joint venture RBOB Gasoline vehicles have gained momentum. With the share of New energy Fund surpassing half, joint ventures are working hard to adjust their channels, products, and advertising strategies, particularly the leading joint ventures, which have recently achieved acceptable performances. Moreover, new product launches and technical routes from joint ventures are set to continue, indicating a rebound trend in 2025.
The proportion of Chinese automotive exports to the USA is minimal, especially as domestic brands are not sold in the USA, hence Chinese-made domestic brand vehicles will not be affected by the USA's additional tariffs; the passenger vehicle market sales in China for April 2025 remain stable with growth driven mainly by Electric Vehicles, while the traditional RBOB Gasoline vehicle market continues to shrink. Policy support, technological advancement, and Consumption Upgrade will be key factors in market development. Reducing discriminatory policies against RBOB Gasoline vehicles to achieve 'equal strength for oil and electricity' will further support stable sales in both domestic and international automotive markets.
In the first three months of 2025, the automotive Industry revenue exceeded 2.4 trillion, showing an 8% increase, with costs increasing by 9%, and profits decreasing by 6%, leading to a profit margin of 3.9%.
With the reinforcement and expansion of the Consumer product trade-in policy, diversified consumption scenarios continue to innovate, boosting the efficiency of the related products' Industries and chains. In the first quarter, industrial enterprises' profits turned from decline to increase, with the automotive industry lagging behind. Nationwide, profits for large-scale industrial enterprises changed from a year-on-year decrease of 3.3% last year to a growth of 0.8%, reversing the trend of continuous profit decline since the third quarter of last year. In March, profits for industrial enterprises increased by 2.6%, improving from a decline of 0.3% in January to March.
As part of the automotive replacement and renewal subsidy policy, in the first three months of 2025, 7.51 million vehicles were produced, with the automobile Industry generating revenues of 2402.2 billion yuan, reflecting an 8% year-on-year increase; costs were 2111.9 billion yuan, an increase of 9%; profits amounted to 94.7 billion yuan, down 6% year-on-year; the profit margin for the automotive sector stands at 3.9%, which is still lower than the average profit margin of 5.6% for downstream industrial enterprises. In March, the automotive sector's revenue reached 921.4 billion yuan, a 7% increase year-on-year; costs were 814.2 billion yuan, an increase of 9%; profits were 32.7 billion yuan, down 28% year-on-year; and the automotive sector's profit margin was 3.5%. The automotive industry needs effective cost reduction and efficiency improvement to enhance cost control levels.
Therefore, the central and local governments are actively stabilizing consumption of RBOB Gasoline vehicles and promoting a stronger implementation of scrapping and renewal, expecting that "oil and electricity will have equal rights" to drive "oil and electricity to be equally strong," ensuring that the overall situation in the automotive industry will continue to improve steadily in the future.
In the first quarter of 2025, China's share of the global auto market reached 33%.
In March 2025, global auto sales reached 8.75 million units, representing a year-on-year increase of 5%. Compared to the peak in March 2018, it decreased by 5% and is at the median level over the years. Sales from January to March 2025 totaled 22.64 million units, increasing by 5% year-on-year. China's share reached 33% of the global auto market in the first quarter of 2025, reflecting the lower performance of Chinese auto companies at the beginning of the year due to the Spring Festival. As the effects of policy stimulus became evident, China's auto market began to strengthen in March.
Chinese independent brands are fully enhancing their share in the global market.$BYD Company Limited (002594.SZ)$、 $GEELY AUTO (00175.HK)$ Chery, $Chongqing Changan Automobile (000625.SZ)$ Domestic performance is relatively strong. In addition to favorable factors for Suzuki and Tata in the India market, other international brands will see a significant decline in market share in 2024. At the beginning of 2025, due to the Chinese New Year and the risks of tax increases in the USA, the US market is unusually strong, leading to strong performances from some international car companies early in the year. Recently, the development of the New energy Fund has been rapid, with Chinese domestic car manufacturers performing well, as BYD reached 6th in the world and Geely 9th.
5. Tracking sales in the Russian market and domestic performance in 2025.
In 2024, the total sales of automobiles in Russia reached 1.83 million units, a year-on-year increase of 91%. In March 2025, it reached 0.092 million units, a year-on-year decrease of 46%, with a month-on-month growth of 2%. From January to March 2025, the cumulative sales in the Russian car market were 0.283 million units, a year-on-year decrease of 28%.
Chinese car manufacturers gradually emerged in the Russian market at the beginning of 2021, but their market share was around 5%. By 2023, Chinese car manufacturers took advantage of the relatively strong domestic demand and insufficient supply in Russia, achieving a market share of over 50%. From June to September 2024, the monthly market share of domestic brands in Russia again exceeded 60%, demonstrating strong growth of Chinese car manufacturers. However, in the fourth quarter of 2024, the domestic share continued to decline, slightly decreasing to 55% from January to March 2025.
The main reasons for the decline in car sales in Russia in March 2025 include increased scrappage rates, rising loan interest rates, changes in consumer psychology, and imbalance in the market supply and demand. Firstly, the increase in scrappage rates and rising loan interest rates had a negative impact on sales. The rise in scrappage rates led to an overall price increase of 10%-15% for vehicles, while car loan interest rates soared to 18%, increasing the cost of purchasing for consumers and lowering their willingness to buy. Secondly, rumors of international brands like Hyundai, Toyota, and Renault returning to the market led some consumers to adopt a wait-and-see approach, hoping for a restart of "genuine imported" models, which further affected sales in the Russian market. Currently, the inventory in the Russian car market has reached 0.8 million units, reflecting the difficulties brought about by the "sanction substitution" strategy. The large influx of Chinese cars does not match the Consumer upgrade and product positioning, and there is considerable negative information from mainstream Russian opinion about Chinese domestic models, leading to a lukewarm response from consumers and a surging inventory.
In 2023, China exported 1 million cars to Russia, with domestic sales in the Russian market being 0.48 million units, accounting for 48% of China's domestic export volume. In 2024, China exported 1.28 million cars to Russia, with domestic sales in the Russian market reaching 1.07 million units, accounting for 84% of China's domestic export volume. From January to March 2025, China's exports to Russia decreased to 0.123 million units, down 39%, and domestic brand sales in Russia were 0.157 million units, with local sales being 128% of China's exports, finally achieving a slight decrease in inventory.
Since 2022, the severe fluctuations in the Russian car market environment and changes in the competitive landscape have brought significant market opportunities for Chinese domestic car manufacturers and have supported robust growth with substantial overseas profits in competition with domestic joint venture manufacturers. However, since November 2024, the impact of the scrappage tax policy on imported vehicles has significantly affected sales, leading to a negative growth of 16% in China's exports to Russia from January to March 2025, and a substantial decline in car sales in the Russian market, with most Chinese car manufacturers experiencing a year-on-year decrease in their Russian sales.
Editor/Lee
