China's electric vehicle sales decline, but it is still the government's key support area

As interest in electric vehicles declines, Chinese leaders are looking for new ways to stimulate consumer demand for electric vehicles.

For the first time in April, sales of electric vehicles in China declined while the overall automobile market grew. In April, gasoline vehicle sales increased by 6% year-on-year, ending the 21-month consecutive downward trend, but electric vehicle sales fell by 27% that month. Until this year, electric vehicle sales performance has been better than the overall car market, but April ’s performance makes this The momentum reversed sharply.

The sudden drop in demand for electric vehicles has annoyed Chinese government leaders, who have been vigorously promoting electric vehicles before, hoping to turn China into a next-generation transportation power. This situation has also brought challenges to Tesla and other automakers who are committed to investing in the production of electric vehicles. They had hoped that Chinese buyers would actively purchase electric vehicles.