Sales of plug-in hybrid EVs surge

While Q1 growth of all NEVs sales dipped below 20 percent, PHEV sales skyrocketed by nearly 50 percent, says TrendForce

According to TrendForce Global Automotive Reports, sales of NEVs (including BEVs, PHEVs, and FCEVs) grew to 2.842 million units in 1Q24—making a 16.9 percent YoY increase.

However, this is the first time in three years that the YoY growth rate of quarterly global NEV sales has dipped below 20 percent. BEV (battery electric vehicles) sales reached 1.8 million units, up 4.2 percent YoY, while PHEV (plug-in hybrid vehicles) sales skyrocketed 48.3 percent to 1.041 million units.

In the BEV segment, Tesla held its crown with a 21.5 percent market share, despite a YoY growth rate of -8.5 percent. BYD (excluding Denza) followed with a 16.6 percent share and a growth rate of 13.3 percent. SAIC-GM-Wuling claimed third place, while BMW climbed to fourth with a 41.1 percent sales increase.

Conversely, GAC Aion experienced a sharp 37.2 percent decline, dropping to sixth as its key model, the Aion S, struggled to expand beyond the ride-hailing market. However, the commercial market space is limited, says TrendForce. Without expanding into the consumer market, GAC Aion’s sales are likely to decline. Consequently, its quarterly ranking and market share have fallen for two consecutive quarters.

The PHEV segment saw BYD continue its dominance, even though its market share slightly dipped. As a group, BYD’s combined sub-brands secured over 30 percent of the market. AITO ranked second, but its key model, the M7, is facing scrutiny over traffic accidents, which may impact its brand image and consumer trust. Li Auto, ranked third, shifted focus to PHEVs following a lukewarm response to its first BEV, with its new affordable L6 model (CNY 250,000) expected to drive sales and market share this year. Jeep ranked sixth, enjoying a 37 percent sales boost after updating its main models.

TrendForce stresses that PHEVs are set to play a crucial role in the electrification journey, maintaining strong sales resilience amid slowing BEV demand.

The company also says that automakers are recalibrating their strategies within the European market as they move away from a 2030 full electrification goal and begin reinvesting in PHEV development. This pivot could revive PHEV sales in Western Europe, following two years of decline, and drive growth through 2024.