Chinese state media ignored the comparison, but after two months of 2022 it is clear sales of New Energy Vehicles in China are slowing with the cut in the subsidy at the end of last year having an increasing impact.
According to China’s passenger car association, February saw a total of 272,000 NEVs sold in China, up 180.5% year on year and lower than normal because of the week long Lunar New Year break early in the month.
But while that was a solid result, it was down sharply from the 412,000 sold in January and the record 505,000 sold in December 20121 and under the 378,000 in November.
The subsidy fell 30% in December, which accounted for the record monthly sales figure.
Sales figures for March and April will give us a better idea of the impact the subsidy cut is having on sales, and through that demand for batteries and metals like lithium, nickel, iron and copper.
Still, Chinese NEV manufacturers enjoyed, with five recording wholesale figures above 10,000 units.
China’s leading NEV manufacturer BYD saw wholesale figures rise to 87,473 units, and Tesla China followed with 56,515 units last month, according to the association. Tesla’s figure however was down from January’s 59,845
The NEV market penetration rate stood at 21.8% last month, up from 9.6% during the same period last year, the association said.
China’s NEV exports also remained strong. Tesla China remained tops, exporting 33,315 NEVs last month, and SAIC Motor exported 4,325 units.
Full vehicle data for February is out later today (Friday).
