2025 New Energy Vehicle Prices Drop to ¥161,000, Yet Over 60% of Buyers Prefer Models Above ¥300,000

In 2025, the average price of passenger vehicles in China dropped to RMB 170,000, down RMB 14,000 from 2024. Specifically, the average price of new energy vehicles (NEVs) fell from RMB 184,000 in 2023 to RMB 161,000, while that of internal combustion engine (ICE) vehicles also declined to RMB 182,000. According to Cui Dongshu of the Passenger Car Association of China (CPCA), the impending expiration of the purchase tax exemption policy and upgrades in technical standards have put pressure on certain NEV models—particularly those with short range and high energy consumption—to undergo redesigns. Additionally, shrinking sales of A00-segment electric vehicles have temporarily pushed up the average NEV price. Despite the overall downward trend in vehicle prices, consumer preferences are clearly shifting upward: a Deloitte study shows that over 60% of Chinese consumers plan to purchase vehicles priced above RMB 300,000. Among them, the RMB 300,000–399,999 segment accounts for the largest share at 30%, while vehicles priced above RMB 400,000 collectively represent 33%. In stark contrast, models under RMB 100,000 account for only 2%, highlighting the divergence between the market’s declining average price and the growing consumer preference for premium vehicles.