Chongqing — Chinese automotive brands continued their steady growth in October. According to data from the China Passenger Car Association (CPCA), domestic brands accounted for 68.7% of passenger vehicle retail sales, a 3% year-on-year increase. From January to October, their market share averaged 65%, up 5.5 percentage points from the same period last year.
Amid this expansion, leading traditional automakers recorded strong performances. Among the top five Chinese passenger car brands, Changan Automobile, a newly established central state-owned enterprise (SOE) based in Chongqing’s Liangjiang New Area, sold about 182,000 vehicles in October—up 7.9%, ranking second behind Chery, which sold 272,000 units, an increase of 9.3%.
Changan’s success was largely driven by its strength in the new energy vehicle (NEV) sector. In October, the company sold 98,633 NEVs, accounting for more than half of its total sales. Changan’s NEV strategy revolves around three major brands—Avatr, Deepal, and Qiyuan—each targeting different price segments and consumer needs. In October, these brands sold 13,506, 36,792, and 36,378 units, respectively.
In the overall top five rankings, BYD remained the market leader with approximately 437,000 units sold, though its sales fell 12.7% from the previous month—the only decline among the top five automakers. According to BYD’s production and sales report, its plug-in hybrid electric vehicle (PHEV) sales dropped sharply from 310,912 to 214,297 units, weighing down overall performance.
The decline in BYD’s sales can be attributed to several factors. First, as reported by Caixin, the Chinese automotive industry has been pushing back against price wars, making it difficult for BYD to sustain its aggressive discount-driven growth model.
Known for its tight cost control and rapid product iteration, BYD previously benefited from several rounds of price cuts, emerging as one of the sector’s biggest winners. However, in May 2025, Chinese authorities criticized the chaotic price competition, warning that such tactics were hindering the industry’s long-term development and calling for stronger regulatory measures.
Second, several of BYD’s popular PHEV models—particularly the Qin PLUS—are undergoing updates, prompting some buyers to delay purchases. Meanwhile, changes to China’s NEV tax policy now require extended-range vehicles to offer an all-electric range exceeding 100 kilometers to qualify for tax incentives. Some BYD models may fall short of this standard, potentially necessitating design adjustments that could raise production costs.
At the same time, competition across the market has intensified. Geely, the second-ranked automaker in overall passenger car sales, sold about 307,000 vehicles in October—up 35.5%, making it the fastest-growing company among the top five. NEV sales contributed significantly, reaching 177,882 units, a 64% increase, and accounting for roughly 58% of its total sales.
Overall, China’s passenger car retail sales in October totaled about 2.24 million units, a slight 0.8% decline month-on-month. Market activity was described as moderate, falling short of expectations for a “Golden October” sales boom.
Cui Dongshu, Secretary-General of the CPCA, attributed the weaker performance to two key factors: many consumers made advanced purchases before the eight-day Golden Week holiday, and the tightening of trade-in subsidy policies in certain provinces created regional disparities that dampened growth.