China’s NEV Average Price Rises to $24.9K in July as Market Moves Upmarket

China’s passenger vehicle market continued moving toward higher price segments in July, with the average transaction price reaching RMB 171K ($25.4K), up about RMB 6K ($890) from a year earlier.

New energy passenger vehicles followed the same trend. The average price of new energy models reached RMB 168K ($24.9K) in July, rising about RMB 8K ($1,190) year on year.

The price increase came as China’s auto market underwent a structural shift. Since 2026, entry-level demand has weakened as policy focus moves toward higher-quality growth.

Sales of vehicles priced below RMB 50K ($7.4K) plunged 63% year on year in July. Models priced between RMB 50K ($7.4K) and RMB 100K ($14.8K) fell 15%. The traditional mainstream RMB 100K-150K ($14.8K-$22.2K) segment dropped 26%, showing weaker demand for lower-priced vehicles.

By powertrain, range-extender vehicles and hybrids remained the highest-priced categories, with average prices reaching RMB 280K ($41.5K) and RMB 196K ($29.1K) respectively in July.

Plug-in hybrids averaged RMB 179K ($26.5K), while battery electric vehicles averaged RMB 149K ($22.1K), making pure EVs the lowest-priced segment among new energy vehicles.

Compared with the same period last year, range-extender vehicle prices fell RMB 8K ($1,190), hybrids declined RMB 16K ($2,370), while plug-in hybrids rose RMB 21K ($3,110) and pure EVs increased RMB 11K ($1,630).

The higher average prices of plug-in hybrids and pure EVs indicate both segments are moving from entry-level products toward more premium offerings.

By price segment, RMB 100K-150K ($14.8K-$22.2K) remained China’s largest passenger vehicle market, accounting for 31% of sales. However, its share fell 2.2 percentage points from a year earlier. The RMB 150K-200K ($22.2K-$29.7K) segment accounted for 16%, down 0.8 percentage points year on year.

Meanwhile, higher-end segments gained share. Vehicles priced between RMB 200K-300K ($29.7K-$44.5K) accounted for 20% of the market, up 2.3 percentage points. The RMB 300K-400K ($44.5K-$59.3K) segment reached a 9% share, while vehicles above RMB 400K ($59.3K) accounted for 4%. The rising share of higher-priced vehicles highlights China’s ongoing market upgrade.

Powertrain preferences also showed clear segmentation across price ranges. In the RMB 50K-100K ($7.4K-$14.8K) segment, pure EVs dominated with a 70.7% share. The RMB 100K-150K ($14.8K-$22.2K) segment became the main battleground for gasoline vehicles, plug-in hybrids and EVs. Gasoline models held 34.5%, pure EVs accounted for 41.1%, while plug-in hybrids reached 18.8%.

In the RMB 150K-200K ($22.2K-$29.7K) segment, gasoline vehicle share dropped from 59.3% last year to 37.6%. Hybrid and plug-in hybrid models continued gaining ground. In the RMB 200K-300K ($29.7K-$44.5K) segment, pure EVs captured more than half of the market with a 54.8% share, becoming the dominant powertrain choice.

By brand category, luxury brands posted an average transaction price of RMB 324K ($48.1K) in July, down RMB 6K ($890) year on year. Joint venture brands averaged RMB 171K ($25.4K), unchanged from a year earlier. New EV brands recorded an average price of RMB 227K ($33.7K), down RMB 13K ($1.9K) year on year. Chinese domestic brands averaged RMB 131K ($19.4K), up RMB 9K ($1.3K).

Domestic automakers maintained a strong position in lower price segments. They accounted for 86.6% of the RMB 50K-100K ($7.4K-$14.8K) market and 65.5% of the RMB 100K-150K ($14.8K-$22.2K) segment.

New EV brands gained momentum in the RMB 200K-300K ($29.7K-$44.5K) segment, holding a 33.6% share and becoming a key force in the premium mainstream market.

Luxury brands remained dominant in the RMB 300K-400K ($44.5K-$59.3K) and above RMB 400K ($59.3K) segments, with shares of 33.3% and 41.2% respectively. However, both figures declined from a year earlier, falling 4.4 and 14.2 percentage points.

By comparison, new EV brands increased their share above RMB 400K ($59.3K) to 36.8%, up 5.8 percentage points year on year. Domestic brands reached 17.9%, gaining 8.1 percentage points.