Car sales in China in April increased for the third consecutive month by 14.8% compared to the previous year, with support from the Beijing government cushioning the impact of U.S. tariffs on consumer sentiment.
According to data from the China Passenger Car Association (CPCA), passenger car sales totaled 1.78 million units last month and, in the first four months of 2025, increased by 8.2% compared to the same period in 2024, reaching 6.97 million units.
The same source indicates that sales of electric and plug-in hybrid vehicles, collectively known as “new energy vehicles,” rose by 33.9% compared to the previous year, accounting for 50.8% of total car sales in China in April.
The government program, which provides greater subsidies for replacing old cars with new electric vehicles, reached a volume of 2.71 million vehicles by April 24, according to official data. Thus, the subsidies have mitigated the impact on Chinese consumer confidence, as the increase in U.S. tariffs on Chinese exports has disrupted trade between the two largest economies in the world.
