China has made a groundbreaking achievement in the global automotive industry, with its annual output of new-energy vehicles (NEVs) surpassing 10 million units as of Thursday.
This makes China the first country ever to reach such a milestone, leaving other nations far behind in the race towards electric mobility. According to a report by CCTV News, the milestone was reached in the morning, outpacing the full-year output of 9.59 million NEVs recorded in 2023.
This achievement marks a significant leap from China’s NEV production in previous years. In 2013, the country produced just 18,000 NEVs, a number that grew steadily over time, reaching 1 million by 2018 and over 5 million in 2022.
With more than a month and a half left in 2024, industry experts predict that China’s total NEV output will exceed 12 million units by year-end, further cementing its dominance in the sector.
The milestone highlights China’s robust position in the global shift towards sustainable energy, as well as its rapid advancement in electric mobility.
The country’s development of NEVs is reshaping the global automotive landscape and driving the transition to greener, more eco-friendly vehicles.
The National Development and Reform Commission (NDRC) has called the NEV sector China’s “most competitive strategic emerging industry,” and a “bright calling card” for the country.
The NDRC also emphasized that the sector is playing a pivotal role in transforming the global automobile industry, offering a new growth trajectory amid rising climate change challenges.
China’s rise to global leadership in the NEV market is driven by several factors, including its comprehensive industrial chain, strong government policies supporting climate action, and innovation-driven growth.
According to Li Yong, a senior research fellow at the China Association of International Trade, these elements have been key to the rapid growth of the industry. “China’s complete industrial chain, coupled with its policies to combat climate change, have provided the foundation for the sector’s success,” Li said.
In addition to domestic growth, China’s openness to international cooperation has been crucial to the expansion of its NEV sector. The government has facilitated partnerships between global auto manufacturers and Chinese NEV makers, spurring innovation and investment.
This collaborative approach has further accelerated the sector’s development, making China a hub for electric vehicle manufacturing.
China’s commitment to green technologies has also garnered global recognition. The International Energy Agency (IEA), in its annual World Energy Outlook 2024 and Renewables 2024 reports, highlighted China as a key driver in the rise of electric mobility, pointing to its significant contributions to global efforts aimed at reducing carbon emissions.
Domestically, the popularity of NEVs has surged. In July 2024, the NEV penetration rate in China—an indicator of the share of NEVs in total vehicle sales—reached an impressive 51.1 percent. This means that for the first time, NEVs accounted for more than half of all vehicle sales in the country, surpassing sales of traditional internal combustion engine vehicles.
This surge in NEV adoption has also been felt in cities like Shenzhen, South China’s Guangdong Province, where NEVs have become the norm. Foreign journalists visiting the city have reported that it is noticeably quieter, owing to the widespread use of electric vehicles, which have significantly reduced noise pollution compared to gasoline-powered cars.
The rapid rise of China’s NEV sector is not only reshaping the domestic automotive market but is also influencing the global energy transition. Foreign Ministry spokesperson Lin Jian recently called on developed countries to honor their commitments to international green cooperation. He urged that protectionism, unilateralism, and politicization should not impede global collaboration, stressing that the story of the global energy transition should be one of solidarity and shared progress, rather than being confined to any one nation.
China’s NEV industry has also seen impressive export growth. In the first 10 months of 2024, the country exported 1.06 million NEVs, a 6.3 percent year-on-year increase, according to data from the China Association of Automobile Manufacturers (CAAM). This reflects the growing demand for Chinese-made electric vehicles in international markets, as global consumers increasingly shift towards greener, more sustainable transportation options.
China’s achievement of producing more than 10 million NEVs in 2024 marks a pivotal moment in the global transition to green energy. The country’s continued leadership in the NEV sector reflects its ability to adapt to and shape the future of the automotive industry. With a clear commitment to sustainability, innovation, and international cooperation, China is well-positioned to remain at the forefront of the global NEV revolution in the years to come.
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