Average Age of New Energy Passenger Vehicles Just 1.8 Years—Driven by Recent Sales Surge, Not Frequent Replacements

According to the "2025 Annual Development Report on China's Automotive Aftermarket," jointly released by the China Association of Automobile Manufacturers (CAAM) and Hejun Consulting, as of 2025, the average age of internal combustion engine (ICE) passenger vehicles stood at 8.2 years, with nearly 60% of these vehicles being over seven years old. In contrast, the average age of new energy passenger vehicles (NEVs) was only 1.8 years, and 90% of NEVs were between one and three years old. This data does not imply that NEV owners generally replace their vehicles within 1.8 years. In fact, China’s NEV market entered a period of explosive growth starting in 2021, and by 2025, NEVs accounted for over 60% of retail vehicle sales. According to data from China’s Ministry of Public Security, the national NEV fleet reached 43.97 million units by the end of 2025, with 12.809 million NEVs sold in 2025 alone—nearly 30% of the total NEV stock. Since a large proportion of these vehicles were newly registered in the past two years, most had been on the road for less than one year at the time of measurement, significantly lowering the overall average vehicle age. Multiple industry reports indicate that NEV owners typically replace their vehicles after three to five years. A joint report by Dongchedi and China Automotive Technology & Research Center (CATARC) shows that 90% of NEV users replace their vehicles within five years, compared to 70% of ICE vehicle owners whose replacement cycles exceed five years. The China Automobile Dealers Association also reports that the average replacement cycle is six to eight years for ICE vehicles and three to five years for NEVs. Key factors driving this difference include the accelerated pace of technological iteration in NEVs, which has shortened product update cycles to 18–24 months; rapid advancements in smart cockpits and autonomous driving features that quickly render older models less competitive; and concerns over battery degradation, expiration of warranties, and declining residual values in the used-car market—all of which reduce owners’ willingness to retain their vehicles long-term. Although some consumers feel “betrayed” by frequent model updates, the dominant replacement behavior still centers around the three- to five-year window. The current low average vehicle age primarily reflects the market’s high-growth phase, driven by a surge in new vehicle registrations, rather than an actual annual vehicle replacement rate. As early NEVs gradually enter their fourth to sixth year—the typical replacement window—the market is expected to shift from growth-driven expansion to competition based on existing vehicle ownership.