Electric and plug-in cars hit record share of China's new-car market as petrol sales fall
New-energy vehicles reached 67% of China's new passenger-car sales in September, a record share, according to data from the China Passenger Car Association. Petrol-only car sales dropped 31% in the first nine months of 2026, while battery-electric sales fell only 4%, helping lift the electric share. Analysts said China's growing electric fleet has cut oil demand during the Hormuz crisis, and Chinese NEV exports also increased sharply year on year.
According to the China Passenger Car Association, new-energy vehicles accounted for 67% of new passenger-car sales in September, a record. That category includes battery-electric and plug-in hybrid models. The share has climbed from 6% in 2020 and 58% so far in 2026.
Fuel-only car sales fell 31% in the first nine months of 2026, while plug-in hybrids dropped 26% and battery-electric models only 4%. Overall passenger-car retail sales fell 28% in September, with combustion-engine vehicles down 43%. NEV exports more than doubled year on year.
The shift could affect drivers through lower fuel demand and changing running costs, while petrol stations, fuel suppliers and combustion-engine workers may face pressure. Chinese EV makers and exporters could gain opportunities, though slower domestic NEV sales may temper benefits. Households considering car purchases may weigh charging access and model choice. These effects may be uneven across regions and income groups.