China is poised to achieve a significant milestone in its automotive industry, as electric vehicle (EV) sales are projected to surpass traditional internal combustion engine (ICE) vehicle sales for the first time in 2025. This development underscores China's dominance in the global EV market and highlights its ability to leapfrog Western nations in the adoption of green technology.

According to estimates from investment banks and research groups, EV sales in China, including both battery-electric vehicles and plug-in hybrids, are expected to grow by approximately 20% in 2025, surpassing 12 million units. This marks a dramatic increase from the 5.9 million EVs sold in 2022. In contrast, ICE vehicle sales are expected to decline sharply, dropping by over 10% to fall below 11 million units in 2025.

China's EV boom is fueled by its unparalleled advancements in domestic technology and its command over global supply chains for critical materials like lithium and cobalt. These resources are pivotal for producing EV batteries, and China's dominance in their procurement has enabled the country to scale manufacturing at unprecedented levels.