Over 300,000 Yuan Becomes New Mainstream Car Budget; NEV Penetration to Exceed 50% by 2026

China's auto consumption is accelerating its shift toward premiumization. On March 7, analyst Cui Dongshu noted that over 30% of consumers plan to spend more than RMB 300,000 on their next vehicle, with purchasing priorities shifting from price to product "value density"—such as seat comfort and the practicality of intelligent driving features. Guided by supportive policies, vehicles priced around RMB 200,000 now qualify for full trade-in subsidies, fueling growth in the mid-to-high-end market. Data shows that the average retail price of passenger vehicles in China has risen from RMB 151,000 in 2019 to RMB 184,000 in 2024, reaching RMB 186,000 in January 2026, with the segment of RMB 200,000–300,000 vehicles steadily expanding its market share. Meanwhile, high-end features such as dual-chamber air suspension and LiDAR are increasingly being offered on vehicles priced around RMB 200,000. Cui Dongshu forecasts that by 2026, the penetration rate of new energy vehicles (NEVs) will surpass 50%, making them the dominant force in the market.