China’s luxury EVs are usually priced over 300,000 yuan (about $41,000), with several different car manufacturers competing in this segment. These include Xpeng, Nio, Li Auto, Z

China EV sales: Tesla rivals BYD, Nio Li Auto, XPeng and Zeekr all reported record December sales. But a price war is intensifying.

Tesla rivals BYD, Nio Li Auto, XPeng and Zeekr all reported record December China EV sales as the price war intensified.

Xpeng Motors and Volkswagen are expanding their partnership to enhance ultra-fast electric vehicle charging networks in China. A memorandum of understanding will allow mutual access to over 20,000 charging piles across 420 cities.

China “will add nearly twice as many EV sales next year as the rest of the world combined," predicts Rho Motion's Will Roberts.

The EV giant sold 1.76 million electric cars in 2024, per figures released on Wednesday, putting it within touching distance of beating Tesla.

U.S. electric vehicle maker Tesla said on Friday its China sales rose 8.8% to a record high of more than 657,000 cars in 2024, a strong performance in a competitive market in a year when its annual global deliveries fell for the first time.

A similar phenomenon has occurred in China, where local municipalities have implemented their own incentives for EVs. For example, the city of Nanjing in Kiangsu will give a 4,000 yuan (around $550) incentive for new cars. This pales in comparison to one deal in Colorado, for example, where residents can lease a new Fiat 500e for $0 per month.

Rewind a couple of years and any EV manufactured in the US was eligible for a federal tax credit of up to $7,500, but the goalposts have since been shifted as the Biden administration introduced rules that clamped down on any electric vehicle with battery components hailing from any “foreign entity of concern” (FEOC) - which includes China.

Tesla has recorded its first ever drop in annual sales amid growing competition from Chinese rivals and a global slowdown in growth of electric vehicle sales.

A seismic shift is taking place inside the electric vehicle (EV) market. The market shift is coming from China - and auto makers are taking notice.