BYD Advanced Intelligent Driving presentation (Source: BYD)

  The China Association of Automobile Manufacturers (CAAM) announced on April 11, 2025, that vehicle sales volume in China showed an 11.2% year-over-year (y/y) increase to 7.470 million units in the first quarter (January-March) of 2025. Of this total, passenger car sales grew 12.9% y/y to 6.419 million units. Commercial vehicle sales increased 1.8% y/y to 1.051 million units. New Energy Vehicles grew 47.1% y/y to 3.075 million units, giving NEVs a 41.2% share of the motor vehicle market in China.

  This report focuses primarily on key developments of Chinese and global automakers in the Chinese market in the first quarter (Q1) of 2025.

  Chinese automakers are fiercely competing in the field of advanced intelligent driving. Many automakers, including BYD, Geely, Chery, and GAC, have released advanced intelligent driving technology solutions and are promoting their installation in all series models. In addition, many automakers, including SAIC, FAW, Dongfeng, and Changan, are using artificial intelligence startup DeepSeek's large language models.

  Global automakers are accelerating the introduction of NEV models, including REEVs (Range Extended Electric Vehicles). Volkswagen, along with FAW, will launch 10 VW and Jetta brand NEV models from 2026 onward. Nissan will release five NEV models with Dongfeng by the end of 2026. General Motors will launch more than 10 NEV models between 2025 and 2026. Dongfeng PSA has announced a new NEV brand with Stellantis.

  In terms of policy, in January 2025, the National Development and Reform Commission and the Chinese Ministry of Finance issued the Notice on Expanding the Scope of Implementation of Large-Scale Equipment Renewal and Consumer Goods Replacement Policies in 2025. The scope of support for automobile disposal/renewal will be expanded by enlarging the scope of eligibility for disposal/renewal subsidies for ICE passenger vehicles that meet certain China-4 emission standards.

Related reports:
Alliances of Major OEMs in the Chinese Market (Apr. 2025)
Chinese Market 2024: Sales Volume 31.4M units, Chinese OEMs Share over 65% (Feb.2025)
Chinese Market Q4 2024 (Jan. 2025)
Chinese Market Q3 2024 (Nov. 2024)
Chinese Market H1 2024: New Vehicle Sales Exceed 14M Units, NEVs 4.9M (Aug. 2024)
Chinese Market Q2 2024 (Aug. 2024)
Chinese Market Q1 2024 (May 2024)