Automotive Production and Sales Data

Automotive production and sales data refers to the statistical tracking of vehicle manufacturing and sales volumes over a given period, serving as a primary benchmark reflecting the automotive industry's overall health, market supply-demand dynamics, and broader sector trends. Typically published on a monthly basis by the China Association of Automobile Manufacturers (CAAM), these figures encompass total vehicle output and sales, passenger vehicle and commercial vehicle segments, new energy vehicles (NEVs) versus conventional internal combustion engine (ICE) vehicles, as well as domestic sales and export volumes. In the first half of 2026, the Chinese automotive market demonstrated a distinct structural divergence characterised by "subdued domestic demand, robust export growth, and an accelerated transition from traditional to new growth drivers".

Overall Production and Sales: Total Volume Under Pressure, Monthly Contraction Steadily Narrowing

In the first half of 2026, China's total automotive production and sales reached 14.993 million units and 15.017 million units respectively, declining 4% and 4.1% year-on-year, with the margin of decline narrowing further compared to the first five months. For the month of June alone, vehicle production and sales stood at 2.76 million units and 2.81 million units respectively, charting month-on-month gains of 5.5% and 6.9%, though slipping 1.2% and 3.2% year-on-year.

By vehicle segment:

• Passenger Vehicles: In the first half of the year, production and sales recorded 12.721 million units and 12.72 million units respectively, down 5.9% and 6% year-on-year. Domestic passenger vehicle sales totalled just 8.288 million units, registering a 24.3% year-on-year drop that highlights weakening domestic demand.

• Commercial Vehicles: In the first half of the year, production and sales stood at 2.272 million units and 2.297 million units respectively, up 8.2% and 8.3% year-on-year, sustaining steady momentum. In June, commercial vehicle production and sales reached 387,000 units and 409,000 units, posting year-on-year growth of 9.5% and 10.7% respectively.

New Energy Vehicles: Penetration Rate Nears 50%, Solidifying Dominant Market Position

New Energy Vehicles (NEVs) stood out as the primary growth driver in the first-half figures. During the first six months, NEV production and sales reached 7.438 million units and 7.446 million units respectively, up 6.7% and 7.3% year-on-year, with NEVs making up 49.6% of total new vehicle sales. In June alone, NEV production and sales came in at 1.598 million units and 1.643 million units, surging 26% and 23.6% year-on-year, pushing the overall penetration rate to 58.5%. Looking strictly at domestic retail sales, the NEV penetration rate in June reached 63.1%.

In stark contrast, domestic sales of conventional ICE passenger vehicles in the first half of the year fell to just 3.694 million units—down by 1.732 million units compared to the same period last year, marking a 31.9% year-on-year drop. In June, domestic sales of conventional ICE passenger cars slipped to just 490,000 units, registering a steep year-on-year decline of 49.9%.

Domestic Sales vs Exports: A Study in Contrasts

The most prominent structural characteristic of the 1H 2026 automotive figures was the severe divergence between domestic and overseas demand:

Domestic Sales: Domestic vehicle sales in the first half of the year totalled only 9.921 million units, down 21.1% year-on-year. June domestic sales stood at 1.773 million units, reflecting a 23.3% year-on-year decline. According to data from the China Passenger Car Association (CPCA), passenger vehicle retail sales in June reached just 1.602 million units, representing a substantial 23.2% year-on-year drop.

Exports: In the first half of the year, vehicle exports hit 5.096 million units, surging 65.3% year-on-year. June exports reached 1.037 million units, surpassing the one-million-unit monthly milestone for the first time with a 75.1% year-on-year jump. Of this total, NEV exports accounted for 2.355 million units, jumping 1.2-fold year-on-year and representing 46.2% of total vehicle exports. NEV shipments have firmly established themselves as the core catalyst driving overall export expansion.

Market Share of Chinese Brands

In terms of market composition, Chinese domestic passenger car brands continued to expand their footprint. In June, sales of Chinese brand passenger vehicles reached 1.812 million units, securing a dominant market share of 75.5%. Over the first half of the year, cumulative sales of Chinese brand passenger cars totalled 9.138 million units, commanding a 71.8% market share—marking a sustained year-on-year gain, while joint-venture brands saw their market share contract accordingly.