In a remarkable twist of fate, China’s love affair with new energy vehicles (NEVs) reached a new high in July, achieving a staggering retail penetration of 51.1 percent. Yes, you heard it right—more people are buying electric cars than good ol’ gasoline guzzlers. We’ve officially entered a realm where NEVs now outnumber conventional vehicles in new car sales. Take that, gas stations!
During July, the number of NEV retail sales in China climbed to 878,000 units. This astonishing figure is just shy of the record-breaking December sales of 947,347 units, which some might argue were fueled by last-minute shopping and holiday cheer—but we just call it “Monday.” According to the China Passenger Car Association (CPCA), total NEV sales are up by 36.9 percent compared to last year and, surprisingly, 2.8 percent from June (because who could resist an electric car in summer?).
While the official number is a bit below last month’s forecast of 879,000, one might say that when it comes to high-stakes car sales, accuracy is merely a suggestion. Battery electric vehicles (BEVs) made up a luxurious 54.8 percent of the NEV pie, accounting for 482,000 units. Just imagine the delight of saying, “I own a BEV” at your next dinner party. Although, apparently, BEVs are not as trendy as they used to be—sales dipped 1.6 percent from June. Somebody call a therapist!
In a plot twist fit for a soap opera, plug-in hybrids (PHEVs) decided to steal some thunder, contributing a whopping 45.1 percent, or 396,000 units, an 80.4 percent increase year-on-year. Yes, that’s right: PHEVs are on a winning streak like a football team with no competition. What’s next? PHEVs becoming the Kardashians of the car world?
China’s overall passenger vehicle retail sales—think sedans, SUVs, and the occasional minivan—totaled 1.72 million units in July. This number is slightly disappointing, down 2.8 percent from the previous year and down 2.6 percent from June. Who knew cars could experience existential crises too?
Fascinatingly, NEV penetration at retail for local brands rose to a jaw-dropping 73.9 percent while luxury brands languished at 27 percent (that’s right, folks—in every plot twist, there’s a loser). Meanwhile, for mainstream China-foreign joint venture brands, a meager 8.3 percent of cars were sold—so close, but yet so far!
As if the developments weren’t comical enough, it was noted that China’s wholesale sales of passenger NEVs hit an impressive 945,000 units, a 27.6 percent increase year-on-year. Huzzah for progress! Yet somehow, this miracle was accompanied by a 3.6 percent dip from June. Who says summer flings don’t have their consequences?
Finally, while exporting 92,000 passenger NEVs in July is a win for China, it’s also noteworthy that BEVs made up 72.7 percent of those exports. Imagine a country sending out more electric cars at a rate faster than we can say “Tesla”—talk about a power move. In summary, as China electrifies its roadways, one can’t help but think they’ll soon be shipping cars to Mars just to keep Elon Musk on his toes.
