The China Passenger Car Association (CPCA) recently reported a significant drop in the average price of new energy vehicles (NEVs) in China. As of September 2025, the average price has dipped below 160,000 yuan, a decrease of over 8% compared to the same month last year, when the average price was 172,000 yuan. This reduction in price is making NEVs more accessible to the general public.
In 2023, the average price of NEVs was still relatively high at 184,000 yuan, but projections indicate a decline to 171,000 yuan in 2024, followed by a further drop to 160,000 yuan in the first nine months of 2025. Notably, the average price in September 2025 is expected to be around 158,000 yuan, showcasing a clear trend of decreasing prices, which reflects the growing consumer interest in new energy vehicles.
While brands like Xiaomi and Wenjie have garnered attention, their price points remain above 200,000 yuan, and in some cases, exceed 500,000 yuan. As a result, these models cater to a smaller segment of consumers. The broader market is increasingly shifting towards more affordable options.
Analysts attribute this price decline to two main factors: the maturation of the industry chain and supportive government policies. Specifically, battery costs have decreased by approximately 15% compared to 2022. Additionally, the economies of scale achieved through large-scale production by automakers have created more room for price reductions.
Furthermore, local governments continue to implement incentives for NEV purchases, such as subsidies and exemptions from vehicle purchase taxes, which further lower the cost for consumers.
For further insights on the NEV market, you can refer to additional reports from the CPCA, including forecasts on retail volumes and export growth.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/chinas-average-price-for-new-energy-vehicles-drops-to-160000-yuan-by-september-2025/
