Sales of Chinese-made vehicles, including exports, rose by over 8% to 2.915 million units in March 2025 from 2.694 million units a year earlier, according to passenger car and commercial vehicle wholesale data compiled by the China Association of Automobile Manufacturers (CAAM). Domestic sales rose by 10% to 2.408 million units in this period, while exports increased by just 1% to 507,000 units.

The Chinese government has strengthened its market stimulus measures this year, including increasing vehicle trade-in and scrappage incentives aimed mainly at driving up new energy vehicle (NEV) sales, while also easing purchasing restrictions. The local vehicle market has also responded to strong price competition among domestic manufacturers and new model launches. The government is looking to offset the effects of the recent hikes in US import tariffs by stimulating demand for Chinese products elsewhere, including in China, amid sluggish domestic economic growth.

Overall sales of China-made vehicles increased by 11% to 7.470 million units in the first quarter of 2025, from 6.720 million a year earlier, including a 12% rise in domestic sales to 6.05 million units while exports rose by 7% to 1.42 million units. Overall sales of passenger vehicles increased by more than 13% to 6.419 million units, with sales by domestic brands rising by almost 29% to 4.369 million units, while commercial vehicle sales rose by just 2% to 1.051 million units. Total vehicle production in the country rose by over 14% to 7.561 million units in the three-month period, according to the association.

Sales of new energy vehicles (NEVs) rose by 47% to 3.075 million units year-to-date, with battery electric vehicle (BEV) sales rising by 48% to 1.928 million units while plug-in hybrid vehicle (PHEV) sales rose by 46% to 1.145 million units. Domestic NEV sales rose by 48% to 2.633 million units in the first quarter, while exports rose by 44% to 441,000 units.

Manufacturer performances

BYD’s global sales rose by 60% to 1,000,804 units in the first quarter of 2025, with exports jumping by 110% to 206,084 units. Overall sales of passenger PHEVs surged by 76% to 569,710 units, while BEVs rose by 39% to 416,388 units and commercial vehicle sales jumped almost eightfold to 14,706 units.

SAIC Motor reported a 13% increase in global sales to 944,850 units year-to-date, driven by a 58% surge in SAIC-GM-Wuling’s deliveries to 353,000 units. SAIC-VW’s sales dropped by 8% to 228,150 units, while SAIC-GM’s sales declined by 2% to 108,997 units from already-depressed year-earlier levels. Overseas sales fell by 3% to 219,026 units, while global NEV sales rose by 30% to 272,952 units.

Geely Automobile Holdings reported a 48% rise in first-quarter sales to 703,824 units, while Chery Automobile’s sales rose by 17% to 620,025 units, including 255,465 exports. GAC Group, including its joint ventures with Toyota and Honda, reported an 8% sales decline to 371,887 units and Great Wall Motor’s sales fell by 7% to 256,807 units.

Tesla’s retail sales in China rose by almost 2%to 134,607 units, helped by the launch of the revised Model Y, while exports fell by 57% to 38,147 units.