China’s Auto Industry Sees Double-Digit Growth in November
China’s auto industry is hitting the gas pedal, with production and sales both seeing double-digit growth in November. According to data released by the China Association of Automobile Manufacturers, auto production rose 11.1% year-on-year to reach 3.44 million units, while sales climbed 11.7% to 3.32 million units.
This surge isn’t just limited to traditional vehicles. The new energy vehicle (NEV) sector is accelerating even faster. NEV production soared by 45.8% year-on-year, reaching nearly 1.57 million units in November. Sales of NEVs jumped 47.4%, totaling 1.51 million units and accounting for 45.6% of all new car sales that month.
Chen Shihua, deputy secretary-general of the association, attributed this growth to China’s national auto trade-in policy, which has encouraged consumers to upgrade their vehicles. As part of a mass renewal program initiated earlier this year, over 5 million auto trade-ins have taken place in 2024 alone.
Under this program, consumers trading in an old car for an NEV receive a subsidy of 20,000 yuan (approximately $2,781). Those opting for a new fuel-powered car receive a subsidy of 15,000 yuan. These incentives are part of China’s broader efforts to boost domestic demand and support the economy through equipment upgrades and consumer goods trade-ins.
With strong government support and a growing emphasis on greener transportation, China’s auto industry is poised for continued growth, especially in the NEV sector. This trend not only reflects changing consumer preferences but also underscores China’s commitment to sustainable development.
Reference(s):
cgtn.com
