The Big ICE Meltdown — April’s China EV Sales Report

China’s electric vehicle (EV) market experienced a significant shift in April 2026, with plug-in vehicles surpassing 60% market share for the first time. This milestone was driven less by soaring EV sales and more by a dramatic decline in internal combustion engine (ICE) vehicle sales, which fell 37% year-on-year. Overall vehicle sales dropped 22% compared to the previous year, with plugin hybrids (PHEVs) and extended-range electric vehicles (EREVs) also seeing declines. In contrast, battery electric vehicles (BEVs) bucked the trend, growing 2% year-on-year to reach 579,000 units sold, resulting in a record 42% BEV share in the Chinese market. The evolving market dynamics reveal a clear shift in consumer preference towards pure electric vehicles over hybrids. While PHEVs had previously benefited from incentives, BEVs are now regaining dominance, accounting for 68% of plugin sales in April compared to 32% for PHEVs. This trend is reflected not only domestically but also in Chinese EV exports, where plugin vehicles made up 53% of shipments. The growing presence of local Chinese brands is reshaping the competitive landscape, with foreign legacy automakers losing ground rapidly; none of their models feature in the top ten sales rankings, and their market share could shrink to 20% within four years if current trends continue. The top-selling models further illustrate the market’s transformation. The Geely Geome Xingyuan hatchback claimed the number one spot in April with over 34,700 registrations, edging out rivals including BYD’s popular models. Xiaomi’s SU7 sedan, refreshed recently, secured second place and marked its best monthly performance in nearly a year. Notably, seven of the top ten models were BEVs, signalling a near-complete dominance of electric powertrains in the upper echelons of the market. The remaining top ten spots were occupied by a mix of one ICE and two plugin hybrid models, suggesting a swift move towards an all-electric top tier in the near future. City cars, however, have struggled following subsidy cuts, with sales plummeting except for the Wuling Mini EV, which remains a strong performer. Policymakers might consider introducing a specific category akin to Japan’s Kei cars to revive this segment, which is crucial for urban mobility. The overall picture points to a rapidly electrifying Chinese automotive market, driven by consumer demand, policy shifts, and the aggressive expansion of domestic EV manufacturers both at home and abroad. This transformation poses significant challenges for traditional automakers and signals a new era in global vehicle sales.