1. March, 2025  PV Market Overview

China’s passenger vehicle (PV) market maintained strong momentum in March, with wholesale and production hitting record highs for the month. Retail sales reached 1.94 million units (+14.4% YoY, +40.2% MoM), slightly below the March 2018 peak of 1.98 million units (still a historic high for March). The robust growth was supported by government stimulus policies (e.g., RMB 300B ultra-long-term bonds for trade-in subsidies) and recovering consumer sentiment post-Lunar New Year.

Key Highlights:

• Year-to-Date Sales: 5.127 million PVs (+6% YoY).
• NEV Penetration: Reached 51.1% of retail sales (+8.7pp YoY), driven by tax exemptions and trade-in incentives.
• Price Wars: Subsided, with fewer models discounting (23 vs. 51 in March 2024). Deals shifted toward “hidden” perks (e.g., feature upgrades).
• Domestic Brands: Led with 63% retail share (+7.9pp YoY), fueled by NEV and export growth (e.g., BYD, Geely, Changan).
• Exports: Declined 8% YoY (391K units), but NEV exports rose (36.6% share, +5pp YoY).

Segment Breakdown:

• Domestic PV Retail: 1.22M (+31% YoY).
• Joint Venture (JV) Retail: 480K (-4% YoY), led by SAIC-VW and GAC Toyota.
• Luxury Retail: 250K (-7% YoY).

2. Production & Wholesale Snapshot

• Production: 2.481M (+11.5% YoY, +42.9% MoM).
• Wholesale: 2.412M (record high, +8.9% YoY), led by Geely, Chery, and Changan.
• Inventory: Channel stocks rose by 80K units, vs. 100K in March 2024.

NEV Performance:

• Retail: 991K (+38% YoY).
• Wholesale: 1.128M (+35.5% YoY), with 46.8% penetration (+9.2pp YoY).
  • BEVs: 708K (+35.2% YoY), led by A00/A0 models (e.g., Wuling Mini, BYD Seagull).
  • PHEVs: 334K (+38.9% YoY).
• Export: 143K (+6.4% YoY), with BYD (67K) and Chery (16K) leading.

3. April Outlook: Stability Expected

With 22 working days (same as April 2024) and policy tailwinds (e.g., Shanghai Auto Show, trade-in subsidies), steady growth is anticipated. However, tariff risks loom for exports, though China’s minimal U.S. exposure (almost zero PV sales there) buffers immediate impact.

4. Profitability & Global Standing

• Jan-Feb 2025 Automotive Revenue: CNY 1.481T (+8% YoY), but profit margins (4.3%) lagged industrial averages (5.6%).
• Global Share: China held 34% of global PV sales (Jan-Feb), with 70% of NEV production.
• NEV Dominance: Contributed 89% of global NEV growth, led by BYD, Geely, and Tesla China.

All data is sourced from CPCA. For collaboration inquiries, please contact us to engage in in-depth cooperation with CPCA.