China's Automotive Industry Achieves Impressive Growth in H1 2023

In the first half of this year, China's automotive industry delivered remarkable results - both production and sales of vehicles surpassed 15 million units for the first time, with production and sales of new energy vehicles (NEVs) growing over 40% year-on-year. Exports of automobiles also experienced double-digit growth. Continuous innovation is propelling the automotive industry toward high-quality development, further solidifying the foundation for electrification. In the first half of the year, NEV production and sales reached 6.968 million and 6.937 million units respectively, with new energy vehicles accounting for 44.3% of total new car sales. Many new energy models have achieved breakthroughs in range, with an average range of nearly 500 kilometers and fast charging technology enabling 80% charge in just 15 minutes now in mass production. Companies along the supply chain must further leverage technological innovation, particularly accelerating the research and industrialization of solid-state batteries, and continue to enhance services such as charging infrastructure, financial insurance, maintenance, used car transactions, and battery recycling, forming a complete lifecycle management system for NEVs. The intelligent experience is continuously upgrading. The integration of artificial intelligence, the internet, and automotive technologies is deepening, with intelligent technologies applied across all aspects of NEV research, production, and services. The automotive sector should seize the key window of opportunity for development, collaborate with supply chain enterprises for innovation, and accelerate the research and development of automotive chips and operating systems to build a new ecosystem for intelligent connected vehicles. International cooperation continues to deepen. In the first half of the year, total automobile exports from China reached 3.083 million units, a year-on-year increase of 10.4%. Among these, NEV exports totaled 1.06 million units, marking a growth of 75.2%. Despite increasingly complex international trade relations, China's NEV industry continues to participate in global cooperation with an open and innovative approach. Global branding and local operations are gradually becoming new models for automotive companies to expand international cooperation. China's rich variety of new energy models and relatively complete electrification and intelligence supply chains not only provide global consumers with green and diverse travel options but also assist other countries in developing their local automotive industries, achieving industrial complementarity and resource sharing. In the future, automotive companies need to continue to focus on technological innovation, product quality, user experience, and brand culture from multiple dimensions to cultivate new growth drivers of industrial value and support the healthy and sustainable development of the automotive industry.