China Remains World’s Largest EV Market With 500,000 Shipments in 2021

China maintains its status as the world’s largest electric vehicle (EV) market, posting close to 500,000 shipments last year.

Credit: Quartz

Citing data from the General Administration of Customs of China, Nikkei Asia reports that the Asian superpower recorded 499,573 EV shipments in 2021, about 2.6 times more than the previous year. Germany similarly saw shipments double last year with 230,000 units.

However, not all countries saw growth – shipments in the U.S. decreased by 30% in 2021 compared to 2020, dropping to about 110,000 units.

The data further notes that China is positioning itself as the “world’s factory” for EVs, with it accounting for up to 60% of global production. For example, out of the 500,000 shipments that the country recorded in 2021, more than 100,000 came from Tesla’s Shanghai plant.

At least half of China’s EV exports, about 230,000 units, were for the EU as the region accelerates the policy which forces citizens to shift to emission-free vehicles in 2035.

These figures aren’t surprising, considering how China’s homegrown automakers have become very competitive in bringing new products to the market. Speaking of which, Xpeng, one of the country’s top EV manufacturers, has opened pre-orders in Europe for its new, mass-market P5 electric sedan. The move is part of the Guangzhou-based company’s recent push to further compete with Tesla in markets outside of China.

Xpeng P5. Credit: Xpeng

Last month, Xpeng set up shop in the Swedish capital of Stockholm, opening its first-ever retail store in Europe. It recently announced that it plans to open another store in the Netherlands.

The European version of the P5 will have some autonomous driving features, but will not include Lidar systems like the ones sold in China. It’ll be available to customers in Denmark, the Netherlands, Norway and Sweden.

If Chinese automakers continue this aggressive push in international markets, China can expect to see even more growth in the near future.

China topped the world in electric vehicle (EV) sales last year, posting 499,573 shipments.
The country is also the largest exporter of EVs in the world, accounting for up to 60% of global production.
This puts homegrown motor companies like Xpeng in a good position to expand in markets outside of China.
The Chinese automaker announced its P5 electric sedan is launching in Europe, with pre-orders now open for customers in Denmark, the Netherlands, Norway and Sweden.