Fuel-Powered Vehicles Cut Prices as New Energy Vehicles Raise Them

[Market Divergence] Significant price cuts for fuel-powered vehicles and collective price hikes for new energy vehicles are unfolding simultaneously.

Core Trend: Fuel-Powered Vehicles Defend Market Share, New Energy Vehicles Initiate Price Recovery

In April 2025, the average price reduction for new conventional fuel-powered vehicles reached RMB 16,000, a decline of 6.8%. By April 2026, the average discount widened to RMB 23,000, with the price drop escalating to 17.2%, while promotional intensity remained at 22.2%.

Strategic Foundation: Industrial Transformation Drives Price Restructuring

Fuel-powered vehicle manufacturers, under sustained pressure from shrinking market share, have been forced to clear inventory at steep discounts. Meanwhile, new energy vehicle makers—leveraging technological upgrades and cost optimization—are gradually exiting the price war and pushing average prices upward.

Industry Impact: Extended Consumer Decision-Making Cycles

The polarized pricing trends have intensified buyer hesitation. As one consumer, Mr. Wang, put it, “I can’t figure out the market,” clearly delaying his purchase decision.