Published December 30, 2025
By AutoSaga News
In a landmark development for the global automotive industry, Chinese automakers are on track to become the world’s largest sellers of new vehicles in 2025, surpassing Japanese manufacturers for the first time in more than two decades.
According to a report by The Nikkei, which analyzed data from automakers and industry tracker S&P Global Mobility through November 2025, Chinese carmakers are projected to sell about 27 million vehicles worldwide this year — a 17 % increase compared with 2024. In contrast, the combined global sales of Japanese manufacturers are expected to remain relatively flat at around 25 million units.
This milestone marks the end of Japan’s long-standing dominance in global vehicle sales, which peaked at nearly 30 million units in 2018 and held the top spot for more than 20 years. Chinese brands closing this gap so rapidly highlights the dramatic transformation underway in the global auto market.
A significant factor behind China’s surge is the rapid growth of new energy vehicles (NEVs) — including electric and plug-in hybrid models — which now account for nearly 60 % of passenger car sales in China. The strong domestic demand, combined with growing exports, has helped Chinese manufacturers expand their presence globally.
Major Chinese firms like BYD and Geely have entered the ranks of the world’s top automakers by volume, and Chery has emerged as one of the country’s leading exporters. Chinese vehicle exports to markets such as Southeast Asia and Europe have seen substantial increases in 2025, despite existing import duties in some regions.
Industry analysts say this shift reflects broader changes in the global auto landscape — where electrification, pricing competitiveness and production scale are reshaping long-held hierarchies. With Chinese manufacturers now poised to lead total global sales, the balance of power in the automotive world appears to be shifting eastward.