Page 196 - 2022 White Paper on the Business Environment in China
P. 196
2 White Paper on the Business Environment in China
2.3 Automotive Industry
Key Take-Aways under quarantine or lockdown. Guangzhou has
been adopting high technologies in every possible
• The total volume of automobile industry sales way to curb the spread of the virus. As it aims to
in China reached 25 million units in 2019, around 21 speed up its citywide nucleic acid testing, a variety
million units out of which were passenger cars. of high technologies are being used to accelerate
the testing process. Mobile testing vehicles have
• The accelerated pace of electrification been playing a significant role in the battle, saving
on the mainland’s roads has attracted about 500 transport time for nucleic acid samples and greatly
companies, investing tens of billions of dollars improving the efficiency of nucleic acid detection.
into developing EVs. Consolidation looms as the Sun Yat-Sen Memorial Hospital, which has the
strongest start-ups and conventional carmakers capacity to test 3,000 to 5,000 people a day, with
up their EV game with new models, knocking out results being released within 150 minutes. That
weaker competitors. saved at least 60-90 minutes compared with
sending the samples to a lab (GT, Autonomous).
• The China pickup truck market surprisingly
became the world’s second largest in 2020, behind Background
only the US. This is incredible considering that
China has the world’s strictest rules when it comes The total volume of automobile industry sales
to pickup trucks. Also, pickups haven’t historically in China reached 25 million units in 2019, around
been seen as cool or popular like they are here in 21 million units of which were passenger cars.
the US. The passenger vehicle segment includes sedans,
sport-utility vehicles and multi-purpose vehicles.
Covid-19 Implications In terms of electric vehicles, battery electric
vehicles (BEV) sold around three times more than
From January to March 2021, China's auto plug-in hybrid electric vehicles (PHEV) in 2019,
production and sales volume were 6.352 million with BEV sales reaching almost one million units.
and 6.484 million units respectively, which means Among alternative energy vehicles, sedans were
an increase of 81.7% and 75.6% compared to the still the dominating car type with 87.5% as of the
previous year. The sales volume of passenger car is end of 2018 (Statista).
5.076 million with a 75.1% growth. The production
and sales of commercial vehicles were 1.397 China's domestic passenger car sales growth
million and 1.408 million, a year-on-year increase rate is expected to reach 10% in 2021, with the
of 76.9% and 77.4%. The high growth is partly due sales of new-energy vehicles exceeding two
to the industry's slump during the epidemic in 2020 million, a record high or a year-on-year increase
and partly depends on a strong and healthy post- of 46%. The overall sales growth of the domestic
epidemic rebound (NewsMarket). auto market in 2021 has been adjusted to 6.5%
from previously projected 4%. Sales of passenger
Chinese autonomous vehicle makers cars may see an estimated increase of 10%, while
participated in the fight against the spread of the the growth rate of commercial vehicles will be
coronavirus in Guangzhou by deploying a variety adjusted from minus 10% to minus 8%, and the
of autonomous cars to deliver anti-epidemic total number of new-energy vehicles will reach
material and transport medical workers to areas more than two million, a year-on-year increase
196
2.3 Automotive Industry
Key Take-Aways under quarantine or lockdown. Guangzhou has
been adopting high technologies in every possible
• The total volume of automobile industry sales way to curb the spread of the virus. As it aims to
in China reached 25 million units in 2019, around 21 speed up its citywide nucleic acid testing, a variety
million units out of which were passenger cars. of high technologies are being used to accelerate
the testing process. Mobile testing vehicles have
• The accelerated pace of electrification been playing a significant role in the battle, saving
on the mainland’s roads has attracted about 500 transport time for nucleic acid samples and greatly
companies, investing tens of billions of dollars improving the efficiency of nucleic acid detection.
into developing EVs. Consolidation looms as the Sun Yat-Sen Memorial Hospital, which has the
strongest start-ups and conventional carmakers capacity to test 3,000 to 5,000 people a day, with
up their EV game with new models, knocking out results being released within 150 minutes. That
weaker competitors. saved at least 60-90 minutes compared with
sending the samples to a lab (GT, Autonomous).
• The China pickup truck market surprisingly
became the world’s second largest in 2020, behind Background
only the US. This is incredible considering that
China has the world’s strictest rules when it comes The total volume of automobile industry sales
to pickup trucks. Also, pickups haven’t historically in China reached 25 million units in 2019, around
been seen as cool or popular like they are here in 21 million units of which were passenger cars.
the US. The passenger vehicle segment includes sedans,
sport-utility vehicles and multi-purpose vehicles.
Covid-19 Implications In terms of electric vehicles, battery electric
vehicles (BEV) sold around three times more than
From January to March 2021, China's auto plug-in hybrid electric vehicles (PHEV) in 2019,
production and sales volume were 6.352 million with BEV sales reaching almost one million units.
and 6.484 million units respectively, which means Among alternative energy vehicles, sedans were
an increase of 81.7% and 75.6% compared to the still the dominating car type with 87.5% as of the
previous year. The sales volume of passenger car is end of 2018 (Statista).
5.076 million with a 75.1% growth. The production
and sales of commercial vehicles were 1.397 China's domestic passenger car sales growth
million and 1.408 million, a year-on-year increase rate is expected to reach 10% in 2021, with the
of 76.9% and 77.4%. The high growth is partly due sales of new-energy vehicles exceeding two
to the industry's slump during the epidemic in 2020 million, a record high or a year-on-year increase
and partly depends on a strong and healthy post- of 46%. The overall sales growth of the domestic
epidemic rebound (NewsMarket). auto market in 2021 has been adjusted to 6.5%
from previously projected 4%. Sales of passenger
Chinese autonomous vehicle makers cars may see an estimated increase of 10%, while
participated in the fight against the spread of the the growth rate of commercial vehicles will be
coronavirus in Guangzhou by deploying a variety adjusted from minus 10% to minus 8%, and the
of autonomous cars to deliver anti-epidemic total number of new-energy vehicles will reach
material and transport medical workers to areas more than two million, a year-on-year increase
196
