Chinese alternative energy vehicles grow steadily

CAAM released the production and sales data for domestic passenger vehicle market in June and the first half of year on July 11th, showing that the total sales volume for passenger vehicles reaching 1.83m units with year-on-year growth of 2.32% and month-on-month growth of 4.6%. The total sales volume in the first half of year for passenger vehicles reaches 11.25m units with year-on-year growth of 1.61%, 7.62 percentage points lower than the growth in the same period of last year.

Alternative energy vehicles show steady production and sales volume, with BEV models accounting for 85% of the total. It’s expected that the number would reach 700,000 units in 2017. Production and sales volume for alternative energy vehicles reach 65,000 units and 59,000 units, increasing 43.4% and 33.0% year-on-year. BEV models produce and sell 54,000 units and 48,000 units respectively, increasing 52.9% and 41.4% year-on-year. PHEV models produce and sell 11,000 units, increasing 10.1% and 5.3% year-on-year respectively.

It’s analyzed that the sliding subsidies and revaluation on management entry level impacts the market’s performance greatly. Therefore, it’s predicted that the annual target of 700,000 units could be reached at the end of year.