Cui Dongshu, Secretary-General of the China Passenger Car Association (CPCA), remarked in an article that promotional campaigns and price reductions in China's passenger car market will adopt a more rational approach starting from 2025, leading to a marked enhancement in market order. As the purchase tax on new energy vehicles is reinstated, the influence of the Manufacturer's Suggested Retail Price (MSRP) on the tax burden borne by consumers when purchasing vehicles has become increasingly apparent. By 2026, the total number of car models experiencing price cuts is projected to reach 56, representing a year-on-year decrease of 12 models. Specifically, there will be 25 conventional fuel vehicle models with price reductions, marking an 8-model increase year-on-year. Hybrid fuel vehicle models with price cuts will remain at 3, unchanged from the same period last year. Plug-in hybrid fuel vehicle models will see a reduction of 4 models year-on-year, totaling 9. Extended-range electric vehicle models will decrease by 2 models year-on-year, with 3 models affected. Lastly, pure electric vehicle models will experience a significant drop of 14 models year-on-year, leaving 16 models with price reductions.
