2025 Consumer Insights: New Energy Vehicle Industry Report

As the global automotive industry rapidly transitions towards electrification, the new energy vehicle (NEV) sector is undergoing profound changes and reforms. Currently, one out of every five vehicles sold worldwide is an NEV, indicating that these vehicles have moved from being a niche technological innovation to a mainstream consumer option, significantly altering public perceptions of cars and transportation.

This report compiles and interprets extensive data gathered from multiple global platforms between December 1, 2023, and November 30, 2024, providing an in-depth analysis of the NEV industry’s market structure, consumer behavior, and external environmental influences. It aims to offer valuable insights for industry professionals that are both comprehensive and practical.

The report is based on the publication titled “2025 Consumer Insights: NEV Industry – Data-Driven Exploration of the Current State of the NEV Sector” by Rongwen, along with over 400 NEV research reports shared in a discussion group. For further inquiries, customized data reports, and networking with over 600 industry professionals, readers are encouraged to join the group.

From a market competition perspective, NEV brands are fiercely competing on a global scale, with brands like Tesla, BYD, and Hyundai showcasing their strengths in various markets. Consumers are increasingly focused on core elements such as battery performance and charging infrastructure during their car-buying process, while online platforms, particularly social media, are playing an increasingly critical role in purchase decisions. Moreover, the impact of trade tensions and related tariffs on the development of the NEV industry cannot be overlooked.

Before delving into these core issues, understanding the overall state of the automotive market in 2024 is essential for contextualizing the development of the NEV sector. In 2024, the automotive market exhibited distinct characteristics and discrepancies. Performance in the second half of the year notably outpaced that of the first half. For example, domestic demand for passenger vehicles was 9.81 million units from January to June, compared to 13.19 million units from July to December, marking year-on-year growth of 0.9% and 4.0%, respectively. This change was primarily driven by policy initiatives, such as the vehicle trade-in policy introduced on July 24, which expanded the scope of subsidies and increased subsidy amounts, significantly enhancing the central government’s financial support.

From July 24 onwards, the number of scrappage applications surged, and it is estimated that over 1.6 million additional vehicles were sold due to these policies. In terms of price segments, the low-price market showed outstanding performance. Data from January to November 2024 revealed that sales of passenger vehicles priced under 100,000 yuan increased by 25.3% year-on-year, while those priced between 200,000 and 300,000 yuan fell by 2.7%. In the fuel vehicle category, sales for vehicles under 100,000 yuan increased by 7.5%, while those above 200,000 yuan decreased by 20.3%. Among NEVs, sales under 100,000 yuan skyrocketed by 86.0%, reflecting consumers’ growing preference for cost-effectiveness in their purchasing decisions.

The NEV market has shown robust growth, significantly outperforming fuel vehicles. In 2024, NEV sales reached 14.372 million units, a remarkable 47.2% increase year-on-year, whereas fuel vehicle sales declined by 12.3%. Under domestic demand metrics, NEV sales reached 14.512 million units, marking a 39.1% growth, while fuel vehicle sales dropped by 17.2%. By the end of 2024, the penetration rate of NEVs reached 47.8%, with the second half of the year seeing six consecutive months surpassing 50%. In provinces like Hebei and Beijing, the penetration rate even exceeded 50%.

Government policies have been a significant driving force behind the development of NEVs, with tax incentives, road-use fees, and vehicle licensing taxes enhancing their appeal. A review of past NEV sales data reveals a strong growth trend. Since their inception in 2013, the market has continuously expanded, particularly accelerating since 2020, culminating in a new sales peak in 2024.

1. Market Structure and Competitive Landscape: Global Brand Dynamics and Regional Variations

The booming NEV market has attracted numerous brands, resulting in significant differences and dynamic changes in the competitive landscape. Tesla maintains a dominant presence in global NEV news coverage, with reports indicating that from December 1, 2023, to November 30, 2024, Tesla received over twice the media exposure compared to BYD, with approximately 53% of the mentions being positive. These favorable mentions are largely attributed to production milestones, such as Tesla producing its six millionth vehicle in March 2024.

Notably, developments from competitors often draw comparisons to Tesla, indirectly boosting its visibility. For instance, news about a rival announcing the fastest charging battery frequently elevates Tesla’s profile. In regional markets, different brands exhibit strengths; BYD had the highest mention rate in China and Japan, exceeding 21,400 mentions. In 2024, BYD’s legal and government-related news coverage increased by 372%, far outpacing Tesla’s 68%. The term “tariff” ranked 11th among BYD’s most popular keywords, while Tesla’s mentions were less connected to governmental news.

Hyundai performed notably well in the Indonesian and South Korean markets, becoming the brand with the highest media exposure in those regions. Overall, the competition between NEV brands is significantly influenced by market dynamics, pricing strategies, and regulatory policies.

2. Consumer Behavior and Core Concerns: From Product Performance to Social Issues

As the NEV market evolves, consumer focus has shifted from merely reducing fossil fuel dependency to addressing practical concerns regarding battery performance and charging infrastructure, as well as broader environmental issues. This shift aligns with the 2024 automotive market’s emphasis on cost-effectiveness, as these practical considerations directly impact consumer experience and expenditure.

In discussions about charging infrastructure on global social media, approximately 28% of conversations mentioned charging stations, with negative remarks outnumbering positive ones by three to one. Over 76,000 conversations about electric vehicle charging referred to “home,” while about 380,000 mentioned “charging stations,” indicating that consumers prioritize the convenience of charging on the go. Slow charging speeds and limited charging infrastructure are primary factors impacting their choice of NEVs.

Tesla’s Supercharger network was the most discussed product, with positive remarks accounting for 19.4% and negative remarks for 12.8%, focusing on charger availability and experiences of non-Tesla EV owners. Battery-related discussions also garnered attention, with 20.5% of mentions being positive, 46.8% neutral, and 32.7% negative. Positive remarks centered on production and technological milestones, while negative discussions addressed environmental and social concerns, such as child labor in cobalt mining and the environmental impact of nickel extraction.

Approximately 12% of battery discussions included mentions of range and related keywords, while 11% referred to sustainability and climate change, highlighting consumers’ dual concerns about battery performance and environmental impact.

Online platforms play a vital role in the purchasing decision process. On Reddit, around 12% of electric vehicle discussions focused on purchasing topics, with consumers researching products and seeking peer recommendations. Between December 2023 and November 2024, concerns about the availability of public charging infrastructure and reliance on battery power dominated discussions regarding NEV purchase decisions.

In 2024, NEV consumers not only focused on vehicle performance and pricing but also placed considerable emphasis on the adequacy of charging facilities and overall battery performance. This aligns with the growing popularity of low-priced models, as consumers seek better experiences within limited budgets. For instance, the frequency of comparisons among SUVs priced between 100,000 to 150,000 yuan significantly increased, comprising over 20% of the total comparisons.

In the sedan market, a similar trend of price sensitivity was observed, with increased interest in models priced below 100,000 yuan compared to 2023. A popular low-cost sedan saw significant growth in both online search interest and offline inquiries in 2024. This trend indicates that consumers are increasingly prioritizing cost-effectiveness in their vehicle selections, influencing their choices of NEV brands and models.

3. External Environmental Influences and Future Trends: Tariff Challenges and Brand Responses

The tariff challenges arising from global trade tensions have emerged as a significant external factor affecting the NEV industry’s development. The annual growth rate of global media mentions related to NEVs was 13%, with a notable spike in mentions on May 14, 2024, following the U.S. government’s announcement of plans to raise import tariffs on NEVs manufactured in China. During this period, NEV mentions in media surged by 4%, while discussions about tariffs increased by 76%, indicating that tariff issues are becoming a focal point in consumer discussions.

The rising concern over tariffs has led consumers to pay closer attention to brand and cost when making purchasing decisions. For industry brands, this presents both challenges and opportunities. Brands can create content addressing trade policy concerns, leveraging consumer insights to develop pricing and communication strategies that foster engagement and trust.

Looking ahead, the competition for consumer loyalty in the NEV sector is just beginning. As external economic factors gain prominence, marketers in the industry must utilize automation tools to stay ahead of evolving consumer perceptions and expectations. By monitoring discussions on social media and other channels, brands can identify the platforms where their audiences congregate and uncover untapped market segments.

In product development, brands should focus on consumer concerns regarding batteries and charging infrastructure, enhancing battery performance through technological innovation and strengthening charging infrastructure. Simultaneously, improving supply chain transparency and actively addressing environmental and social issues will bolster brand competitiveness and consumer trust.

In summary, the NEV industry must adapt its development strategies to align with market trends and shifts in consumer behavior, particularly in light of tariff challenges and the pursuit of cost-effectiveness. The interplay between policy direction, pricing preferences, and consumer priorities will guide the future trajectory of NEV brands. In the context of rapid global growth in the NEV sector, brands must grasp market dynamics and deeply understand consumer needs to gain competitive advantages and foster sustained, healthy industry development.