China Sets Lower Auto Sales Target for 2025, Pledges Stricter Regulations

China’s Ministry of Industry and Information Technology has set an auto sales target of 32.3 million vehicles for 2025, slightly below the 32.9 million units projected for this year by the China Association of Automobile Manufacturers (CAAM).

The target is part of a broader plan to promote steady growth in the automotive sector, which the ministry announced on Friday in coordination with seven other government agencies.

The sales target for new energy vehicles is set at 15.5 million units, nearly 20% higher than last year’s figures, and slightly below CAAM’s forecast of 16 million vehicles.

The plan also outlines conditional approval for Level 3 autonomous vehicles and initiatives to enhance road safety, insurance frameworks, and related regulations.

Additionally, the roadmap includes measures to strengthen fair competition and foster a more orderly market environment.

The ministry announced on Wednesday that it will launch a three-month campaign to crack down on false advertising and other online irregularities in the automotive sector.

These actions follow tightened regulations introduced in May, aimed at addressing long-standing pricing wars that have disrupted manufacturers, suppliers, and dealers in the world’s largest auto market.