China's vehicle sales grew by 13.8% year-on-year to 2.904 million units in June 2025, following an 11.2% increase in May, according to data from the China Association of Automobile Manufacturers (CAAM). Sales of new energy vehicles (NEVs) surged 26.7% in June, marking the fourth consecutive monthly increase. In the first half of 2025, total vehicle sales climbed 11.4% to 15.65 million units, with NEV sales jumping 40.3% to 6.94 million units. NEV sales accounted for 44.3% of total new car sales. On a monthly basis, total car sales increased 8.1% in June, after a 3.7% gain in May. For the full year, car sales are projected to grow by 4.7% to reach 32.9 million units, with NEV sales expected to rise by 24.4% to 16 million units. In 2024, total vehicle sales rose by 4.5% to 31.436 million units, a sharp slowdown from the 12% growth recorded in 2023.