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China's EV sales expected to exceed 35% in 2025, Xpeng CEO says

China's EV sales expected to exceed 35% in 2025, Xpeng CEO says
China's EV sales expected to exceed 35% in 2025, Xpeng CEO says   -   Copyright  Thomson Reuters 2021   -  
By Reuters

<div> <p><span class="caps">BEIJING</span> – New energy vehicles (<span class="caps">NEV</span>) are expected to make up over 35% of new vehicle sales in China in 2025, He Xiaopeng, the chief executive of electric car maker Xpeng Inc said at the Reuters Events Automotive Summit.</p> <p>China, the world’s biggest auto market, is promoting <span class="caps">NEV</span>s, which includes battery electric, plug-in hybrid and hydrogen fuel cell vehicles, to combat pollution and support the country’s car technologies.</p> <p>The China Association of Automobile Manufacturers (<span class="caps">CAAM</span>) said earlier this month that <span class="caps">NEV</span> sales in China are likely to rise to 3 million units this year, up from 1.4 million last year.</p> <p>“This year’s overall <span class="caps">NEV</span> sales slightly exceeded our expectations,” He said, adding he was surprised by the surging sales of hybrid vehicles and micro electric vehicles. </p> <p>“Given the current sales performance, I’m actually more confident about the industry’s <span class="caps">NEV</span> penetration rate growth in 2025,” He said. </p> <p><span class="caps">NEV</span> sales made up 11.6% of China’s overall market in the first nine months this year, <span class="caps">CAAM</span> said.</p> <p>Asked about the chip supply shortage that has impacted the global auto industry, He said chip supply will remain a challenge in the next 12 months, but things will “gradually get better.”</p> <p/> </div>