Global NEV Sales Totalled 804,200 Units in February 2023, up 23% MoM

SHANGHAI, Apr 6 (SMM) – In February 2023, sales volume of NEVs totalled 804,200 units in the world, up 23% MoM and 42% YoY. Among them, pure electric vehicle sales reached 592,000 units, an increase of 22% month-on-month, accounting for 74% of the total market, while a total of 212,000 plug-in hybrid models were sold, a growth of 10% month-on-month, accounting for the remaining 26%. A total of 109,700 vehicles were sold in the month in the Unites States, up 7% month-on-month and 58% year-on-year. In China, 501,200 vehicles were sold, up 28% on the month and 57% on the year, and the market share stood at 62%. 126,000 units were sold in Europe, up 22% MoM but down 7% YoY.

When it comes to car companies, BYD topped among all car makers in February with global sales of 188,000 vehicles, up 29% month-on-month and 115% year-on-year.

According to the chairman of BYD, China's demand for automobile in January and February this year was weaker than the comparable months last year, but BYD's sales still surged. Moreover, he said that BYD aims to become China's largest automaker by the end of this year. SMM analysis showed that BYD's performance in sales partially benefited from the release of BYD's new car model Qin PLUS DM-i in February.

Tesla’s global sales totalled 161,000 units in February, up 21% MoM and 35% YoY, second only to BYD. SMM believes that Tesla's sales growth in February was partly due to its aggressive price reduction policy in Europe, where the company saw the fastest growth in sales among all car makers.

In addition, it is worth noting that GAC Aian won the third place in February with NEV sales of 30,000 units, a month-on-month increase of 267% and a year-on-year increase of 253%. Its YoY growth rate peaked among the top ten auto makers. Aian set its annual sales goal for 2023 at 500,000 vehicles.

In February, most car makers saw increases in their sales month-on-month except for BMW and MG. BMW's car sales dropped 4% on the month and climbed 20% on an annual basis to 24,000 units, ranking fourth, down one slot from the previous month.

MG sold 23,000 vehicles in February, down 2% month-on-month and up 237% year-on-year. Since March, Hubei Province has provided subsidies for car purchase in cooperation with many car companies, and MG is one of them. As such, the company’s sales are expected to rise in the future.

In terms of different car models, Tesla Model Y ranked first with global sales of 103,000 vehicles in February, a month-on-month increase of 32%, and a year-on-year increase of 70%. Tesla Model 3 followed closely in the second place with global sales of 60,000 vehicles, up 6% MoM and 4% YoY.

A total of five models of the BYD family are on the top ten list, among which Song DM is still the "pillar" of BYD's sales. In February, its global sales volume stood at 45,000 units, an increase of 6% month-on-month and a year-on-year increase of 137%.

It is worth mentioning that BYD's Qin PLUS DM-i, just released in February, made it to the top list. Its competitiveness lies in its great cost advantage with a selling price starting at 99,800 yuan. It is the first time that a hybrid vehicle is sold lower than 100,000 yuan, allowing its order volume to surpass 32,000 units within merely seven days after launch.

On the whole, China's new energy vehicle market picked up in February as the promotions launched by car manufacturers offset part of the negative impacts caused by the removed national NEV subsidies. At the same time, many local governments such as those in Henan, Beijing, Shanghai, and Zhejiang have also rolled out local policies to boost NEV consumption, including subsidies for NEV purchase, issuance of consumer coupons, or extension of car purchase subsidies.

Finally, according to SMM data, the prices of lithium carbonate, an important raw material for automobile batteries, fell by about 80,000 yuan/mt in February alone. Therefore, the falling production costs of electric cars may further improve the cost advantage, and the global sales of new energy vehicles are expected to grow further in March.