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Electric & new energy vehicles
BusinessChina Business

China’s EV sales may pick up in June as cockpit tech improvements lure young motorists after months of slow demand

  • Young customers looking for intelligent features like autonomous driving and AR bought their ‘long-coveted electric cars’, says dealer in Shanghai
  • Competition remains fierce, and underachieving carmakers could find themselves forced out of business, analysts warned

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China’s young motorists are increasingly keen on EVs with intelligent features such as autonomous driving systems and AR. Photo: Reuters
Daniel Renin Shanghai
The recovery of China’s electric vehicle (EV) sector is likely to have picked up in June, spurred by pent-up demand after months of lacklustre sales, potentially setting some start-ups back on the path to profitability.

Competition remains fierce, and underachieving companies could find themselves forced out of business, analysts warned.

According to the China Passenger Car Association (CPCA), about 670,000 pure electric and plug-in hybrid vehicles will have been handed to customers by the end of this month, up 15.5 per cent from May and 26 per cent from a year ago.

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The projected sales numbers add to evidence that the EV market is back on the fast track after it fell victim to weak consumer demand between January and April.

“More young customers came to buy their long-coveted electric cars,” said Zhao Zhen, a sales director with Shanghai-based dealer Wan Zhuo Auto. “They are increasingly keen on EVs with intelligent features such as autonomous driving systems and AR [augmented reality] technology.”

01:44

China’s first driverless ride-hailing service hits the streets of Chongqing

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A price war broke out in the mainland’s automotive market during the first four months of this year as builders of both EVs and petrol cars looked to attract consumers worried about the economy and their income. Dozens of carmakers slashed their prices by as much as 40 per cent to retain their market share.
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