Core Insights - China's electricity consumption surpassed 1 trillion kilowatt-hours in July for the first time, marking a historic milestone for any single country [2] - The growth in electricity demand is significantly driven by the booming electric vehicle (EV) sector, which is reshaping the energy landscape [3][4] Group 1: Electricity Consumption Trends - In July, China's electricity consumption reached 1 trillion kilowatt-hours, a year-on-year increase of 8.6%, equivalent to Japan's annual total electricity consumption [2] - The electricity consumption from high-tech and equipment manufacturing industries grew by 4.6% from January to July, with the new energy vehicle manufacturing sector seeing a remarkable increase of 25.7% [2][3] - Urban and rural residential electricity consumption in July was 203.9 billion kilowatt-hours, up 18% year-on-year, contributing approximately one-third of the new electricity demand [3] Group 2: Electric Vehicle Impact - As of mid-2024, China has 36.89 million electric vehicles, accounting for over 10% of the total vehicle population, with a record 5.622 million new registrations in the first half of the year, a 27.86% increase [3][4] - The manufacturing of electric vehicles, particularly battery production, is highly energy-intensive, with 1 GWh of battery production consuming about 120 million kilowatt-hours of electricity [4] - The demand for electricity from charging infrastructure is also significant, with projections indicating that by 2024, the total number of charging facilities will reach 12.818 million, with annual charging volume exceeding 110 billion kilowatt-hours, a 38% year-on-year growth [5] Group 3: Energy System Transformation - The integration of electric vehicles into the energy system is creating new demand and altering load structures, with electric vehicles becoming a major factor in electricity consumption [4][7] - The shift from traditional fuel vehicles to electric vehicles could significantly reduce oil dependency, with potential savings of 23 million tons of gasoline annually if 20% of fuel vehicles are replaced by electric ones [8] - By 2030, it is projected that electricity consumption in China will exceed 13 trillion kilowatt-hours, with electric vehicles potentially accounting for 15% to 20% of total electricity demand, transforming their role from a variable to a dominant force in the energy landscape [11]