March Passenger Car Sales Seen at 1.7 Million Units, NEV Penetration to Exceed 52%

Affected by the extended Chinese New Year holiday, retail sales of passenger vehicles (excluding minivans) in February totaled only 1.034 million units, down 25.4% year-over-year and 33.1% month-over-month. New energy vehicle (NEV) retail sales reached 464,000 units, a 32% year-over-year decline, with a penetration rate of 44.9%. As the market rebounds post-holiday, most automakers hold a cautiously optimistic outlook for March. According to a survey by the Passenger Car Association (CPCA), leading manufacturers—accounting for over 70% of total sales—have set March retail targets more than 60% higher than February levels. Based on this, March passenger vehicle retail sales are projected to reach 1.7 million units, surging 64.5% month-over-month but still down 12.4% year-over-year. NEV retail sales are expected to reach approximately 900,000 units, pushing the penetration rate up to 52.9%.