“China’s auto market surged in March 2025, with NEVs hitting 51% retail penetration as domestic brands dominated, while easing price wars and export pressures shaped a stabilizing yet competitive landscape.”
As Toyota China engineers now draft the playbook, the auto giant shows how legacy automakers can outmaneuver startups at their own game. The next test? Whether Detroit and Wolfsburg are watching, and learning.
This quiet revolution in vehicle customization represents a fundamental shift in China’s automotive landscape, where personalization has evolved from an underground hobby to a legitimate industry projected to reach RMB 160 billion (USD 22.3 billion) by 2025, according to the 2023 China Automotive Customization and Modification Industry White Paper.
Retail: In May 2025, China’s passenger vehicle retail sales reached 1.932 million units, up 13.3% YoY and 10.1% MoM. Cumulative retail sales from January to May totaled 8.811 million units, a 9.1% YoY increase.
Retail: In May 2025, China’s passenger vehicle retail sales reached 1.932 million units, up 13.3% YoY and 10.1% MoM. Cumulative retail sales from January to May totaled 8.811 million units, a 9.1% YoY increase.
“China’s auto market surged in March 2025, with NEVs hitting 51% retail penetration as domestic brands dominated, while easing price wars and export pressures shaped a stabilizing yet competitive landscape.”
![[CONSUMER INSIGHTS] WHAT SHOULD CHINA LUX. NEVS LOOK LIKE?](http://www.zingevs.com/wp-content/uploads/2025/07/DM_20250705201845_001-1024x514.jpeg)
![[POLICY WATCH] CHINA’S 2025 CAR SCRAPPAGE SCHEME: HOW NEVS ARE RESHAPING THE MARKET](http://www.zingevs.com/wp-content/uploads/2025/07/388ec94d-e2cc-4894-97e0-48762c7e4d1d-1024x615.jpg)
