China's NEVs Claim 62.8% of New Car Sales in April

China's market for electric vehicles and plug-in hybrids continues to highlight just how quickly the balance of power is shifting. According to preliminary data from the CPCA, obtained by journalists at 32CARS, retail sales of new energy passenger vehicles hit 883,000 units in April. That's a 5% drop year-over-year, but a 4% increase from March.

The key figure here isn't volume—it's market share. Total retail passenger car sales in China reached 1.406 million units in April, a 20% decline year-over-year. Against this backdrop, the NEV share hit a record 62.8%. That means nearly two out of every three new passenger cars sold in China were either EVs or plug-in hybrids.

But a record share doesn't mean the market is in perfect health. From January to April, retail NEV sales totaled 2.792 million units, which is 17% lower than the same period last year. The overall passenger car market over those four months dropped to 5.628 million units, a decline of 18%.

The CPCA highlights an important nuance: NEVs are outperforming ICE cars, but they still aren't filling the gap left by falling gasoline vehicle sales. Demand for traditional-engine cars is slowing, partly due to rising operating costs from higher oil prices, but NEV growth alone isn't enough to lift the entire market back into positive territory.

The wholesale picture is even more telling. In April, manufacturers shipped 1.22 million NEV passenger cars—up 7% both year-over-year and from March. Total wholesale passenger car volume stood at 2.13 million units, with the NEV share at this level reaching 57.3%.

Interestingly, China lost a bit of its share in the global NEV market. In the first quarter of 2026, its share fell to 61% from 68.3% in 2025. In the pure BEV segment, China's share dropped to 56% from 63% a year earlier.

China has effectively entered the NEV era, where ICE engines are rapidly losing ground. But even the record 62.8% share doesn't mask weak overall demand: brands now need to do more than just sell more electric cars—they have to pull the entire market out of its slump through pricing, technology, and models that make consumers want to replace their cars sooner.