by SHEN Xiaoge

China shipped a record 8.32 million vehicles in 2025, extending its position as the world's largest auto exporter for a third consecutive year, with Mexico replacing Russia as the top destination, industry data showed.

Exports to Mexico rose to 625,200 units, up 180,500 from a year earlier, according to figures disclosed on Jan. 27 by CUI Dongshu, secretary-general of the China Passenger Car Association. Russia ranked second with 582,700 units.

Total exports climbed 30% year on year, while new-energy vehicle (NEV) exports — a category that includes battery-electric, plug-in hybrid and fuel-cell vehicles — surged 70% to 3.43 million units, far outpacing the 16% growth recorded in 2024.

China's export footprint became more diversified in 2025, with market shares rising across the Middle East, Latin America and Europe, reducing reliance on any single destination. By volume, the top ten markets were Mexico, Russia, the United Arab Emirates, the United Kingdom, Brazil, Saudi Arabia, Belgium, Australia, the Philippines and Kazakhstan.

In terms of absolute volume growth, the United Arab Emirates recorded the largest increase, adding 241,700 units, followed by Mexico with 180,500.

NEVs accounted for the bulk of export growth. Plug-in hybrids and hybrids increasingly replaced pure battery-electric models as the main export engine, with plug-in hybrid pickups standing out in commercial vehicle shipments. Exports to the Middle East and advanced markets — notably Western Europe and parts of Asia — increasingly favored higher-priced models.

The top five NEV destinations in 2025 were Belgium, the United Kingdom, Mexico, Brazil and the Philippines. Incremental gains were notable in Mexico (140,600 units), the United Arab Emirates (115,200) and the United Kingdom (111,900).

Average export prices eased to US$16,000 per vehicle, down from US$19,000 in 2023 and US$18,000 in 2024. Cui attributed the decline largely to a lower share of Tesla exports, which shifted the product mix.

On Jan. 14, data from the China Association of Automobile Manufacturers (CAAM) showed 2025 vehicle production and sales reached 34.53 million and 34.40 million units, respectively, both record highs. NEV production and sales exceeded 16 million units, lifting the domestic NEV penetration rate above 50%.

Looking ahead, CHEN Shihua, deputy secretary-general of the CAAM, expects China's auto market to remain broadly stable in 2026, with production and sales seen at around 34.75 million units, implying growth of about 1%. Cui said exports should be supported by continued overseas capacity expansion and market diversification, while warning of risks from trade barriers, supply-chain pressures and intensifying global competition.