Despite the fact that term commitments and “anti-internal returns” hang over the head, production and sales volume in the Chinese automobile market in 2025 still set a new record. According to data from the China Automobile Association, in the first 11 months of last year, China's automobile production and sales reached a total of 31.231,000 units and 31.127 million units, with year-on-year increases of more than 11%, and both production and sales reached new highs. This shows that under the influence of policies such as “trade-in” and NEV purchase tax relief, automobile consumption potential continues to be unleashed, and the market has maintained resilience and vitality. At the same time, in the collision between heated competition and cutting-edge technology, the Chinese automobile industry is also completing a profound stress test and value restructuring. Supported by factors such as the penetration rate of new energy passenger vehicles exceeding 50%, the implementation of L3 smart driving, and the continued promotion of globalization, the Chinese automobile industry is leaving open competition and entering a new stage of value-driven high-quality development. Under the new normal of the industry, 2026 may become a watershed moment for car companies. Many car companies at the helm predict that the domestic automobile market will enter a new cycle of high sales and low growth. For the consumer market, with the decentralization of high-end configurations such as 800V high-voltage platforms and lidars, consumers will usher in an era of “buying better cars with less money”; for car companies, new energy and globalization are becoming increasingly critical, becoming the winners and losers dominating the competition. Under a competitive pattern where strong players are strong and diversification intensifies, the market knockout race may be interpreted at an accelerated pace.

Despite the fact that term commitments and “anti-internal returns” hang over the head, production and sales volume in the Chinese automobile market in 2025 still set a new record. According to data from the China Automobile Association, in the first 11 months of last year, China's automobile production and sales reached a total of 31.231,000 units and 31.127 million units, with year-on-year increases of more than 11%, and both production and sales reached new highs. This shows that under the influence of policies such as “trade-in” and NEV purchase tax relief, automobile consumption potential continues to be unleashed, and the market has maintained resilience and vitality. At the same time, in the collision between heated competition and cutting-edge technology, the Chinese automobile industry is also completing a profound stress test and value restructuring. Supported by factors such as the penetration rate of new energy passenger vehicles exceeding 50%, the implementation of L3 smart driving, and the continued promotion of globalization, the Chinese automobile industry is leaving open competition and entering a new stage of value-driven high-quality development. Under the new normal of the industry, 2026 may become a watershed moment for car companies. Many car companies at the helm predict that the domestic automobile market will enter a new cycle of high sales and low growth. For the consumer market, with the decentralization of high-end configurations such as 800V high-voltage platforms and lidars, consumers will usher in an era of “buying better cars with less money”; for car companies, new energy and globalization are becoming increasingly critical, becoming the winners and losers dominating the competition. Under a competitive pattern where strong players are strong and diversification intensifies, the market knockout race may be interpreted at an accelerated pace.