China accounts for 59% of global NEV sales, penetration in Europe, US down: association

Haikou is hosting the New Energy Vehicle (NEV) Expo in southern China’s Hainan Province on Friday. Nearly 300 vehicles connected to new and intelligent energies are exhibited at the show. Officials said China will increase the proportion of the NEV sector to 20% of total new car sales by 2025. Photo: cnsphoto

In the first half of 2022, the production and sales of New Energy Vehicles (NEVs) in China showed excellent performance, with NEV cars accounting for 59% of total global NEV sales, thanks to the strong supply chain and country’s market demand, Cui Dongshu, general secretary of the China Passenger Car Association (CPCA), said on Sunday.

According to Cui, in the first six months of 2022, the world’s NEVs maintained a steady pace of growth with sales reaching 4.21 million units, up 71% year-on-year. Among them, 880,000 vehicles were sold in June, a year-on-year increase of 46%.

From January to June, China sold 2.34 million NEVs, surpassing 1.09 million units in the European market and 500,000 in North America.

Due to the slowdown in the NEV market in Europe hit by the COVID-19 pandemic and the Russian-Ukrainian conflict, NEV sales in China have gained weight, accounting for 59% of global NEV sales, Cui said. .

“China’s driving the global NEV increase in the first half of this year was mainly driven by strong domestic NEV consumption growth and supply chain stability,” he said. noted Cui.

The growth of the Chinese NEV market is inspired by many positive factors, including rising consumption, tax exemptions and other government policy measures. In line with the general trend of global auto market transformation, NEV production and sales are expected to return to normal levels, Cui said.

The penetration rate of NEVs worldwide has continued to increase and now stands at around 10%. In China, NEV penetration has reached 22%, while the rate in the United States is only 7%.

As Europe, the United States and other parts of the world increase their penetration of NEVs, the global NEV market will enter a new phase of strong development, Cui said.

world times

Mary I. Bruner