The new energy vehicle market is basically the same this year as last year

Recently, a research institute released market research data on domestic new energy vehicles.

CICC released a research report pointing out that China's new energy vehicle sales have declined for three consecutive months since July this year (2019) compared with the same period last year, with declines of 4.7%, 15.8% and 34.2% respectively. The decline has a tendency to expand and is beyond expectations. Therefore, the forecast for new energy vehicle sales for the whole year has been lowered to around 1.2 million to 1.3 million units, which is basically the same as last year.

China's production and sales of new energy vehicles in September were 89,000 and 80,000 respectively, up 2.3% and down 5.9% from 87,000 and 85,000 in the previous month (August), and down 29.9% and 34.2% year-on-year respectively, marking three consecutive months of negative growth, and the decline was significantly larger than the 12.1% and 15.8% in the previous month. From January to September, the production and sales of new energy vehicles were 888,000 and 872,000 respectively, up 20.9% and 20.8% year-on-year respectively.

Due to many uncertainties in the new energy vehicle market, the China Association of Automobile Manufacturers has previously adjusted its forecast for the full-year sales target for new energy vehicles, from 1.6 million vehicles predicted at the beginning of this year to 1.5 million vehicles.

CICC pointed out that the decline in sales of new energy vehicles in China was due to the fact that, on the one hand, technological development and market cultivation cannot be achieved overnight, individual consumers' willingness to buy is weak, and there is a large gap in operational vehicles in the second half of the year; on the other hand, the relaxation of fuel vehicle licenses in Guangzhou and Shenzhen has caused the sales of new energy vehicles to decline faster.