EV Subsidies Propel Golden Week Sales and Monthly Delivery Records

Impact of EV Subsidies on Golden Week Sales

During the recent golden week holiday, electric vehicle (EV) sales on the mainland soared, driven by enticing government subsidies prompting buyers to finalize their decisions. Market observers express concerns over a potential slowdown in sales should these incentives be withdrawn next year. According to Tian Maowei, a sales manager at Yiyou Auto Service in Shanghai, shoppers flocked to showrooms, believing it was the optimal time to purchase their long-awaited EVs.

Monthly Delivery Records and Government Incentives

The week-long holiday concluded with impressive sales figures. Although exact numbers are pending, dealer reports indicated that buying enthusiasm surpassed expectations. Some salesmen reportedly moved over 10 vehicles per day since October 1, a stark contrast to regular sales rates.

• Local governments, including Shanghai and Beijing, have introduced substantial incentives, adding up to 20,000 yuan for customers replacing their cars with EVs.
• The central government matched this with a 20,000 yuan bonus announced in July.
• With these subsidies, EV prices have become more attractive; Chen Qihui shared his experience of purchasing a BYD Seal sedan for just over 70,000 yuan after benefiting from the subsidies.

Sustaining Sales Momentum

September and October are traditionally peak sales months for cars, and the influx of incentives acted as a catalyst for these buying patterns. As Phate Zhang, founder of Shanghai's EV data provider CnEVPost, stated, carmakers need strategies to maintain strong sales when subsidies phase out. Although subsidies are currently valid until the end of this year, uncertainties linger regarding their extension into 2025.