China\u2019s car sales rose 18.6% year-over-year in June to 2.1 million units, extending a five-month growth streak, according to the China Passenger Car Association (CPCA). First-half sales climbed 11.2% to 11.1 million vehicles, signaling sustained market momentum despite growing concerns among electric vehicle makers.<\/p>\n\n\n\n
Sales of electric vehicles (EVs) and plug-in hybrids remained robust, surging 29.7% from June 2024 and accounting for 52.7% of total car sales. That\u2019s up from a 28.2% share the previous month. However, major EV players showed signs of deceleration.<\/p>\n\n\n\n
Local EV leader BYD saw its year-on-year sales growth slow to 11%, down from 14.1% in May. Li Auto\u2019s performance was more dramatic, with sales plunging 24.1% in June after a 16.7% gain the month prior. Both companies had been among the few Chinese EV makers consistently profitable across full fiscal years.<\/p>\n\n\n\n
Geely Auto raised its 2025 sales target by 11% to 3 million units but also experienced a slowdown, with sales growth easing to 42% from 46% in May. The figures point to growing strain across the sector.<\/p>\n\n\n\n
\u201cWe\u2019re facing a big dilemma,\u201d said CPCA\u2019s secretary-general Cui Dongshu, warning that intensifying competition could lead to \u201clife-or-death\u201d scenarios for some automakers. Chinese regulators have urged companies to end aggressive price wars, citing concerns over oversupply, weak consumer demand, and the impact of escalating U.S. tariffs.<\/p>\n\n\n\n
Adding to those concerns, a Reuters investigation in June highlighted reports of new vehicles being exported overseas and reclassified as \u201cused\u201d to evade domestic sales pressure \u2014 a trend ongoing since 2019.<\/p>\n\n\n\n
Despite broader softness in the EV market, Xiaomi\u2019s new YU7 SUV drew strong consumer interest, helping the tech giant gain ground in its automotive ambitions. Meanwhile, Tesla saw a partial recovery in China, with June sales rising 3.7% after a sharp 30% decline in May. The rebound followed the accelerated ramp-up of the refreshed Model Y at its Shanghai plant, reaching full production in just six weeks.<\/p>\n\n\n\n
China\u2019s auto exports also continued to rise, up 23.8% year-on-year in June, compared to 13.5% in May. Still, industry watchers remain cautious. Without structural solutions to overcapacity and domestic demand weakness, the sector may be headed for more volatility.<\/p>\n","protected":false},"excerpt":{"rendered":"
Fifth consecutive monthly growth masks rising competition risks China\u2019s car sales rose 18.6% year-over-year in June to 2.1 million units, extending a five-month growth streak, according to the China Passenger Car Association (CPCA). First-half sales climbed 11.2% to 11.1 million vehicles, signaling sustained market momentum despite growing concerns among electric vehicle makers. Sales of electric<\/p>\n","protected":false},"author":5,"featured_media":6788,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[1962,4336,4331,4337,4330,4338,4332,4335,4334,3085,4333],"class_list":{"0":"post-6787","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-world","8":"tag-byd","9":"tag-china-auto-exports","10":"tag-china-car-sales","11":"tag-cpca-data","12":"tag-ev-market-china","13":"tag-li-auto","14":"tag-overcapacity","15":"tag-price-war","16":"tag-tesla-china","17":"tag-u-s-tariffs","18":"tag-xiaomi-ev"},"_links":{"self":[{"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/posts\/6787"}],"collection":[{"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=6787"}],"version-history":[{"count":1,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/posts\/6787\/revisions"}],"predecessor-version":[{"id":6789,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/posts\/6787\/revisions\/6789"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/media\/6788"}],"wp:attachment":[{"href":"https:\/\/guardianglobe.org\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=6787"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=6787"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=6787"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}