Automotive Industry Trends to 2022

Major listed companies in the industry: BYD (002594), Geely Holding (00175.HK), SAIC (600104), GAC (601238), BAIC (600733), Changan Automobile (000625), etc.

The core of this article Data: Auto sales, passenger car sales, commercial vehicle sales, new energy vehicle sales

Auto sales ended three consecutive years of decline

China's total auto sales have been ranked the world's first for 13 consecutive years and have made great progress in the areas of "electrification, internet connectivity, and intelligence.

Passenger car sales resumed growth

Incentivized by a series of national and local policies to stimulate consumption, passenger car market demand in general has maintained a continuous rebound, and China's passenger car sales have been maintained at around 20 million for seven consecutive years.In 2021, China's passenger car sales finished at 21,482,000 units, a year-on-year increase of 6.5%.

Commercial vehicles enter a period of adjustment

In 2020, the commercial vehicle market fluctuated due to the switch of the National VI emission regulations for heavy-duty diesel vehicles, resulting in fluctuations in demand. National Five products are lower than National Six products in terms of acquisition cost and usage cost, so the market favors National Five products. In addition, the "blue light truck" policy is expected to bring consumer wait-and-see, real estate development industry, such as colder factors also exacerbated the downward pressure of the commercial vehicle market. 2021 China's commercial vehicle sales of 4.793 million units, down 6.6% year-on-year, the future of the commercial vehicle market will enter a period of adjustment.

New Energy Vehicles Become the Biggest Bright Spot

In 2021, new energy vehicles will become the biggest bright spot in the automotive industry. Its market development has shifted from policy-driven to market-driven new stage, laying a solid foundation for the high-quality development of the automobile industry in the "14th Five-Year Plan". 2021 China's new energy automobile sales of 3.521 million units, an increase of nearly 1.6 times year-on-year, and the share of the automobile market reached 13.4%, an 8 percentage point increase compared with 2020. percentage points.

In 2021, among the sales of new energy vehicles, the sales of new energy passenger cars amounted to 3.334 million units, an increase of 167.5% year-on-year. Among them, 2.734 million pure electric passenger cars were sold, and 600,000 plug-in hybrid passenger cars were sold.

New energy commercial vehicle sales of 186,000 units, an increase of 54%. Among them, sales of pure electric commercial vehicles amounted to 186,000 units, while sales of plug-in hybrid commercial vehicles amounted to 182,000 units.

Overall, China's auto market sales ended the three consecutive years of decline since 2018. Among them, new energy vehicles have become the biggest bright spot of market improvement, with annual sales of more than 3.5 million units and a market share of 13.4%, further illustrating that the new energy vehicle market has shifted from policy-driven to market-pulled.

The above data refer to China Automobile OEM Industry Demand Forecast and Investment Strategy Planning Analysis Report by Prospect Industry Research Institute.