China Association of Automobile Manufacturers: It is expected that China's total automobile sales will increase by about 5% year-on-year in 2022

Cover news reporter Teng Han

On January 12, the Ministry of Industry and Information Technology held a press conference on the development of the automobile industry in 2021, and Fu Bingfeng, the China Association of Automobile Manufacturers, revealed that it is expected that China's total automobile sales will reach 27.5 million in 2022, an increase of about 5% year-on-year.

Fu Bingfeng, China Association of Automobile Manufacturers (Source: Ministry of Industry and Information Technology)

In December last year, the China Automobile Association held the "2022 China Auto Market Development Forecast Summit", which comprehensively analyzed the predictions of major vehicle companies, mathematical model analysis and the research results of relevant institutions to make a basic judgment that China's auto market will continue to grow in 2022.

That is, China's total automobile sales in 2022 are expected to reach 27.5 million units, an increase of about 5% year-on-year. Among them, passenger cars will be 23 million units, an increase of 7% year-on-year; commercial vehicles will be 4.5 million units, down 6% year-on-year; new energy vehicles will reach 5 million units, an increase of 42% year-on-year, and the market share is expected to exceed 18%.

Fu Bingfeng said that the positive factors mainly boil down to five aspects, one is that the long-term fundamentals of China's macro economy will not change, ensuring the sustained growth of the automobile market. Second, the automobile market has great potential and demand is still strong. With the continuous deepening of supply-side reforms, China's automobile production and sales will maintain sustained growth. Especially under the guidance of the national automobile industry policy, new industrial technologies continue to break through, products better meet the growing needs of consumers, consumers' acceptance of new energy and intelligent networked vehicles continues to increase, and the rapid development of new energy vehicle industrialization has jointly promoted the development of the automobile market.

Third, the normalization of epidemic prevention and control, the market impact brought by the epidemic has gradually weakened. Since the outbreak of the epidemic, China's epidemic prevention and control measures have been continuously optimized, the response plan has been continuously matured, the response measures have become more precise, and the epidemic prevention and control has entered normalization. The impact of the epidemic fluctuations on China's economic activities will gradually decrease, and the impact on the automobile market will be further reduced.

Fourth, with the gradual easing of chip shortages, the supply capacity of automobiles will be further released. With the gradual functioning of the chip market regulation mechanism, and with the joint efforts of the government, OEMs and chip suppliers, the supply shortage is gradually alleviating. At that time, the release of automobile supply capacity will become a positive factor for the growth of the automobile market in 2022.

Fifth, the market demand for new energy vehicles is strong, further promoting the steady growth of automobile consumption. In the medium and long term, the blessing of intelligent networked vehicle technology and the innovation of business models will greatly promote the popularity of new energy vehicles, especially the implementation of the "double carbon" goal, and accelerate the progress of transformation, and the planning goal of the proportion of new energy vehicles by 2025 is likely to be achieved ahead of schedule, all of which will effectively support the domestic automobile market to maintain a growth trend in 2022.