Chan Ye Xin Xi Wang·2025-06-20 01:24Industry Overview - The automotive engine industry in China has experienced rapid development since the 21st century, driven by policy support and market demand, with significant upgrades in technology and product performance [1][6] - The rise of new energy vehicles (NEVs) has led to rapid advancements in hybrid and pure electric engine technologies, becoming new growth points for the industry [1][6] - Domestic companies are increasing R&D investments to push the industry towards high-end and intelligent development [1][6] - Since 2017, engine production in China has begun to fluctuate and decline due to market saturation, weak fuel vehicle sales, and increasing penetration of new energy vehicles [1][6] Production and Sales Data - In 2024, China's engine production is projected to be 237,766.8 million kilowatts, a year-on-year decrease of 1.5% [1][6] - From January to April 2025, the cumulative engine production was 77,867.8 million kilowatts, down 0.7% year-on-year [1][6] - The overall sales of fuel vehicles in China for 2024 are expected to be 12,767,400 units, reflecting an 11% year-on-year decline [10] Market Dynamics - The engine industry is characterized by a dual-track competition between traditional fuel engines and new energy power systems, with a focus on technological innovation and market adaptation [15][16] - The market is increasingly competitive, with foreign brands like Volkswagen and Toyota maintaining advantages in high-end fuel engines, while domestic brands like BYD and Geely rapidly expand their market share in the new energy sector [15][16] Regional Production Distribution - The production of engines in China is concentrated in economically developed regions, with East China accounting for approximately 38.83% of total production in 2024 [8] Future Trends - The aviation engine sector is expected to accelerate the process of domestic substitution and self-sufficiency, with policies supporting the development of key technologies [22] - The automotive engine industry is transitioning towards greener and smarter technologies, driven by government policies and consumer demand for lower emissions and higher efficiency [23][24] - Collaboration within the engine industry supply chain and international partnerships are becoming increasingly important for enhancing competitiveness and driving technological advancements [25]