China June 2026 Car Exports Hit 877K; NEV Exports Surge 153%

The China Passenger Car Association (CPCA) has released its June 2026 passenger vehicle market report, showing a market marked by weak domestic demand, stronger month-on-month momentum, deep structural divergence, and record export growth.

Domestic retail sales remained under pressure. Exports continued to expand rapidly, becoming the market’s main growth engine.

Retail sales of passenger vehicles totaled 1.602 million units in June, down 23.2% year on year, up 6.1% from May. Retail sales for the first six months reached 8.701 million units, down 20.2% year on year. Wholesale shipments outperformed retail, reaching 2.358 million units in June, down 5.7% year on year, up 6.6% month on month.

The June market largely mirrored May. Domestic demand remained soft, while exports continued to post robust growth.

Passenger vehicle exports, including complete vehicles and CKD kits, reached 877K units in June, up 82.3% year on year, up 11.5% from May. Exports accounted for 37% of automakers’ total passenger vehicle sales, compared with just 19% a year earlier. Chinese brands exported 763K units, up 86%. Joint-venture and premium brands exported 114K units, up 61%.

The report attributed June’s retail decline primarily to the collapse in gasoline vehicle demand. Retail sales of internal combustion engine models fell 39% year on year, accounting for 78% of the overall decline in passenger vehicle retail sales.

NEV Penetration Holds Above 60%

New-energy passenger vehicle retail sales reached 1.007 million units in June, down 9.4% year on year, up 6.0% from May. After reaching a record level in May, NEV penetration remained elevated at 62.8% in June. The figure rose 9.5 percentage points from a year earlier, edging down just 0.1 percentage point from May.

Wholesale NEV sales reached 1.481 million units, up 19.2% year on year, up 9.6% month on month. NEVs accounted for 62.8% of wholesale passenger vehicle deliveries, 13 percentage points higher than a year earlier.

Twenty-one models posted monthly wholesale sales above 20,000 units. The BYD Song ranked first with 79,280 units, followed by the Tesla Model Y with 56,454 units and the BYD Yuan Up with 54,223 units.

Battery-electric vehicles remained dominant. BEV wholesale sales reached 981K units, up 26.9% year on year, accounting for 66.2% of NEV wholesale volume. Plug-in hybrids contributed 406K units, representing 27.4% of the total. Extended-range electric vehicles added 94K units, accounting for 6.4%.

Among vehicle segments, B-segment battery-electric models recorded wholesale sales of 295K units, up 37% year on year, accounting for 30% of all BEVs. Entry-level A00 and A0 electric cars continued to face heavy pressure. A00-class wholesale volume dropped 50% year on year to 77K units.

The report noted that wider adoption of affordable electric vehicles remains essential for sustaining long-term market growth.

Chinese Brands Extend Lead

Chinese automakers maintained strong momentum across the NEV market in June. Traditional manufacturers led by BYD, Geely Auto, and Chery continued strengthening their position in the plug-in hybrid segment while expanding their multi-powertrain product strategies.

Twenty automakers recorded monthly NEV wholesale sales above 10,000 units, together accounting for 93.6% of total NEV wholesale volume. BYD ranked first with 397,292 units, followed by Geely Auto with 158,849 units, Chery with 106,922 units. Leapmotor placed fourth with 93,376 units, while several emerging EV makers also entered the top rankings.

Seventeen brands exceeded 20,000 units in domestic NEV retail sales. BYD remained the leader with 224,478 units, followed by Geely Auto with 107,951 units, Leapmotor with 72,376 units. Changan ranked fourth with 66,900 units, while Tesla China sold 52,920 vehicles.

NEV Exports Reach Record Share

China exported 499K new-energy passenger vehicles in June, up 152.7% year on year, up 17.6% from May. NEVs accounted for 56.9% of all passenger vehicle exports, setting another record high.

The export mix also shifted significantly. Battery-electric vehicles represented 58.7% of NEV exports. Plug-in hybrids accounted for 37.7%. Extended-range vehicles made up 3.6%. The report said plug-in hybrids are becoming a new engine for export growth, particularly across developing markets.

BYD remained the largest exporter with 170,897 vehicles, followed by Chery with 73,819 units, Geely with 61,550 units. Tesla China ranked fourth with 36,171 units. Emerging EV makers also accelerated overseas expansion. Leapmotor exported 21K vehicles, ranking sixth.

From January through May, China accounted for 31% of the global passenger vehicle market and 61% of the global NEV market. Plug-in hybrids represented 71% of worldwide sales in their category, highlighting China’s growing influence across the global automotive supply chain.

The CPCA expects external headwinds to ease in July. Lower oil prices, the end of the FIFA World Cup, and weaker seasonal weather disruptions should support a gradual market recovery. Consumer confidence remains fragile, while industry profitability stays under pressure.

The association expects NEV penetration to remain above 60% in July, with exports continuing strong growth, helping offset weak domestic demand.