China Association of Automobile Manufacturers said on Wednesday that the country’s new-energy vehicle (NEV) sales are estimated to reach 19 million units in 2026, representing a 15.2 percent year-on-year increase, while vehicle exports are expected to rise to 7.4 million units, up 4.3 percent, demonstrating strong fundamentals of China’s automobile sector.
The CAAM released the outlook at a press conference on Wednesday, where it also unveiled record-breaking 2025 vehicle production and sales. China’s auto production and sales have remained the world’s largest for the 17th consecutive year in 2025, with new car sales accounting for more than 50 percent of the total volume, said the association.
In 2025, China’s automobile production reached 34.531 million units, while sales totaled 34.40 million units, representing year-on-year increases of 10.4 percent and 9.4 percent, respectively.
The sector also demonstrated strong resilience in foreign trade, with vehicle exports surpassing 7 million units, marking a new historical high. Among them, NEV exports hit 2.615 million units, doubling from the previous year, official data showed.
An official from CAAM attributed the stronger-than-expected growth in 2025 to the intensified implementation of China’s large-scale renewal of equipment and the trade-in of big-ticket consumer goods. policies, which focus on large-scale equipment upgrades and consumer goods trade-ins. Notably, CAAM’s data showed that Chinese-brand passenger vehicles captured nearly 70 percent of the domestic market, up 4.3 percentage points from a year earlier.
Chen Shihua, deputy secretary-general of CAAM, said that during the 14th Five-Year Plan (2021-25) period, China’s auto industry achieved breakthroughs across multiple dimensions. Annual production and sales have remained above 30 million units for three consecutive years, industry operating revenue has exceeded 10 trillion yuan, and automobile exports have climbed to the first place globally, according to a report by the CCTV News.
Chen added that the accelerated integration of electrification, intelligence, and internet connectivity has created a structural competitive edge, positioning China’s automotive industry at the forefront of the world.
