Alternative-Fuel Car & Automobile Manufacturing in China - Market Research Report (2014-2029)
Beijing, China
Last Updated: May 2024
3721bRevenue
$382.6bn
Past 5-Year Growth
Profit
$XX.Xbn
Employees
577k
Businesses
140
Wages
$XX.Xbn
Alternative-Fuel Car & Automobile Manufacturing in China industry analysis
The Alternative-Fuel Car & Automobile Manufacturing industry in China has developed strongly in the past five years due to government favorable policies that have resulted in improving vehicle performances, increasing numbers of charging facilities, and changing attitudes toward environmental protection. Industry revenue is expected to increase at a CAGR of 44.6% over the past five years through 2024, to total $382.6 billion. This includes growth of 19.9% in the current year. Industry profit is relatively high, averaging 9.3% of industry revenue in 2024, lower than 9.8% in 2023, mainly due to intensified market competition.
Industry exports have increased fast over the past five years, with a CAGR of 127.0%. Industry exports are estimated at $52.2 billion in 2024, an increase of 27.7% from 2023. Exports as a share of industry revenue have increased strongly from 1.4% in 2019 to 13.6% in 2024. Import levels are low in this industry, accounting for 1.3% of domestic demand in 2024, although they have been increasing fast at an annualized rate of 10.4% since 2019.
This industry is forecast to continue growing strongly over the next five years, benefiting from rising domestic consumption, ongoing government support and improving technology. Industry revenue is expected to increase at an annualized rate of 9.1% over the period, amounting to $591.6 billion in 2029.
In March 2022, the Medium and Long-Term Plan of the Development of Hydrogen Energy Industry (2021-2035) was issued, clearly proposing that the number of fuel cell vehicles in use should increase to approximately 50,000 units at the end of 2025. with improvement of infrastructure and policy optimization, the operation and maintenance of fuel cell vehicles will be more convenient and reliable, promoting the popularization and promotion of fuel cell vehicles.
Trends and Insights
- The international comprehensive strength of domestic enterprises has enhanced. Exports are expected to increase at a CAGR of 127.0% over the past five years through 2024, with share of industry revenue growing to 13.6% in 2024.
- Battery electric vehicles occupy the leading position in alternative-fuel vehicle market in China. In 2024, the share of battery electric vehicles in terms of sales volume is expected to be 70.4%.
- The industry is mainly concentrated in economically developed regions. Guangdong and Shanghai are expected to account for 40.4% of total industry revenue in 2024.
- The industry concentration level is low. The top four industry participants, including BYD, Tesla, Li Auto and SAIC Motor, contribute approximately 38.5% of industry revenue in 2024.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 44.6 % over the past five years, to reach an estimated $382.6bn in 2024.
Trends and Insights
Alternative-fuel vehicle market develops fast, driven by multiple factors
- The development of alternative-fuel vehicles has been an important strategic measure of the Government in China to deal with climate changes, promote green development and strengthen the competitiveness of China's automobile industry.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Regional market shifting from purchase restrictions cities to non-restricted regions
- As alternative-fuel passenger vehicles enjoy favorable policies like unlimited traffic and unlimited purchases, alternative-fuel passenger vehicle market in China mainly relied on purchase-restricted cities to drive market growth in the initial stage of development.
Biggest companies in the Alternative-Fuel Car & Automobile Manufacturing in China
| Company | Market Share (%)
2024 | Revenue ($m)
2024 |
|---|---|---|
BYD Company Limited | 84,556.4 | |
Tesla, Inc. | 26,459.9 | |
Li Auto Inc. | 22,434.9 |
To view the market share and analysis for all 10 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Battery electric vehicles, Plug-in hybrid electric vehicles and Fuel cell vehicles. Battery electric vehicles is the largest segment of the Alternative-Fuel Car & Automobile Manufacturing in China.
Trends and Insights
Supporting policies promotes the fast development of battery electric vehicles
- The battery electric vehicle refers to a vehicle that is powered by an on-board power source and uses an electric motor to drive its wheels, meeting various requirements of road traffic and safety regulations.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Automobile Manufacturing in China
- Passenger Car Manufacturing in China
- Commercial Vehicle Manufacturing in China
Complementors
- There are no industries to display.
International industries
- There are no industries to display.
Table of Contents
About this industry
Industry definition
Companies in the Alternative-Fuel Car and Automobile Manufacturing industry in China mainly produce battery-powered electric vehicles (BEVs), plug-in hybrid electric vehicles (PHEVs) and fuel cell vehicles (FCVs) for passenger and commercial use.
What's included in this industry?
Battery electric vehiclesPlug-in hybrid electric vehiclesFuel cell vehiclesCompanies
BYD Company LimitedTesla, Inc.Li Auto Inc.Purchase this report to view all 10 major companies in this industry.
Related Terms
ALTERNATIVE-ENERGY VEHICLEBATTERY-POWERED ELECTRIC VEHICLE (BEV)PLUG-IN HYBRID ELECTRIC VEHICLE (PHEV)FUEL CELL VEHICLE (FCV)Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
The international comprehensive strength of domestic enterprises has enhanced. Exports are expected to increase at a CAGR of 127.0% over the past five years through 2024, wit...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Battery electric vehicles occupy the leading position in alternative-fuel vehicle market in China. In 2024, the share of battery electric vehicles in terms of sales volume is...
In this chapter
- Products & Services
- Major Markets
- International Trade
Key metrics
- Largest market segment and value in 2024
- Product innovation level
- Total imports, level and trend
- Total exports, level and trend
- Trade Balance
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
- International trade, including imports by country and exports by country
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
- Recent trends in import and export volumes, country of origin or destination, and expected future trends
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
The industry is mainly concentrated in economically developed regions. Guangdong and Shanghai are expected to account for 40.4% of total industry revenue in 2024.
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each region
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each region in 2024
- Number and share of revenue each region accounts for in 2024
- Number and share of wages each region accounts for in 2024
- Number and share of employees in each region in 2024
Detailed analysis
- Geographic spread of the industry across Asia Pacific, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
The industry concentration level is low. The top four industry participants, including BYD, Tesla, Li Auto and SAIC Motor, contribute approximately 38.5% of industry revenue ...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Chinese brand enterprises develop rapidly. Accelerating development pace of alternative-fuel vehicles is the opportunity for expanding market shares and enhancing comprehensi...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of BYD Company Limited's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Tesla, Inc.'s performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Li Auto Inc.'s performance by revenue, market share and profit margin from 2018 through 2024
- Overview of revenue, market share and profit margin trend for 7 additional companies
Detailed analysis
- Description and key data for BYD Company Limited, and factors influencing its performance in the industry
- Description and key data for Tesla, Inc., and factors influencing its performance in the industry
- Description and key data for Li Auto Inc., and factors influencing its performance in the industry
- Description, key data and performance trends for 7 additional companies
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
The Government in China guides the industry development. The Government in China supports the fast and healthy development of the industry through issuing assistance policies...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Profitability has decreased over the past five years. Mainly due to intensified market competition, the industry profit margins are expected to decrease to 9.3% in 2024, down...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in China include:
- National Bureau of Statistics China
- General Administration of Customs
- People’s Bank of China
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Alternative-Fuel Car & Automobile Manufacturing industry in China in 2024?
The market size of the Alternative-Fuel Car & Automobile Manufacturing industry in China is $382.6bn in 2024.
How many businesses are there in the Alternative-Fuel Car & Automobile Manufacturing in China industry in 2024?
There are 140 businesses in the Alternative-Fuel Car & Automobile Manufacturing industry in China, which has grown at a CAGR of 3.1 % between 2019 and 2024.
Has the Alternative-Fuel Car & Automobile Manufacturing industry in China grown or declined over the past 5 years?
The market size of the Alternative-Fuel Car & Automobile Manufacturing industry in China has been growing at a CAGR of 44.6 % between 2019 and 2024.
What is the forecast growth of the Alternative-Fuel Car & Automobile Manufacturing industry in China over the next 5 years?
Over the next five years, the Alternative-Fuel Car & Automobile Manufacturing industry in China is expected to grow.
What are the biggest companies in the Alternative-Fuel Car & Automobile Manufacturing market in China?
The biggest companies operating in the Alternative-Fuel Car & Automobile Manufacturing market in China are BYD Company Limited, Tesla, Inc. and Li Auto Inc.
What does the Alternative-Fuel Car & Automobile Manufacturing in China include?
Battery electric vehicles and Plug-in hybrid electric vehicles are part of the Alternative-Fuel Car & Automobile Manufacturing industry.
Which companies have the highest market share in the Alternative-Fuel Car & Automobile Manufacturing in China?
The company holding the most market share in China is BYD Company Limited.
How competitive is the Alternative-Fuel Car & Automobile Manufacturing industry in China?
The level of competition is high and increasing in the Alternative-Fuel Car & Automobile Manufacturing industry in China.
