Core Viewpoint - The article discusses the development of the passenger car market's intelligence index in China, highlighting the growth trends and future expectations for smart vehicles, driven by policy support and market demand [4][13]. Summary by Sections Smart Car Intelligence Index - The passenger car intelligence index for September 2025 is reported at 36.1, marking a month-on-month increase of 0.4 units, reaching a historical high [13]. - The index consists of three sub-indices: smart cockpit index (38.5), smart driving index (40.1), and external smart index (18.5) [8][10]. Market Performance - In September 2025, the retail sales of passenger cars reached 2.243 million units, showing a year-on-year growth of 6.4% and a month-on-month increase of 11.2% [13]. - The retail sales of new energy vehicles amounted to 1.299 million units, with a year-on-year increase of 15.7% and a month-on-month increase of 16.5% [13]. Factors Influencing Growth - The increase in the intelligence index is attributed to multiple factors, including policy incentives (such as trade-in programs and subsidies), market demand during the traditional peak season, and the launch of new models [13]. - The article anticipates that the intelligence index will continue to rise in the fourth quarter of 2025 due to the fading off-season, ongoing policy support, and accelerated technological iterations [13]. Index Calculation and Structure - The intelligence index is calculated using a weighted formula that incorporates the smart cockpit index, smart driving index, and external smart index [14]. - The smart cockpit index is weighted at 47.5%, the smart driving index at 37.5%, and the external smart index at 15.0%, reflecting their respective impacts on the industry [17][18][19]. Definitions and Evaluation Criteria - Smart cockpit evaluation focuses on hardware configuration, software ecosystem, user interaction, safety, comfort, and intelligence levels [16]. - Smart driving evaluation emphasizes hardware configuration, functionality, safety, comfort, and intelligence levels [16]. - External smart evaluation centers on vehicle interaction with external entities, enhancing safety and user experience [16].

Core Insights - The article discusses the Passenger Car Intelligence Index, which monitors the development of smart features in domestic passenger vehicles and predicts future trends based on historical data [4][12]. Group 1: Passenger Car Intelligence Index Overview - As of August 2025, the Passenger Car Intelligence Index stands at 35.7, with a month-on-month increase of 1.5 units, marking a historical high [12]. - The index comprises three sub-indices: Smart Cockpit Index (38.0), Smart Driving Index (39.9), and External Intelligence Index (18.3) [4][8][10]. - The Smart Driving Index reached a new high for the year, reflecting a month-on-month growth of 1.5 units [10]. Group 2: Market Performance and Trends - In August 2025, retail sales of passenger cars reached 2.018 million units, showing a year-on-year growth of 5.9% and a month-on-month increase of 9.5% [12]. - The retail sales of new energy vehicles amounted to 1.115 million units, with a year-on-year increase of 8.8% and a month-on-month rise of 13.0% [12]. - The increase in the intelligence index is attributed to several factors, including government policies, new model launches, and rising consumer demand [12]. Group 3: Future Expectations - The article anticipates a steady increase in the Passenger Car Intelligence Index from September to December 2025, driven by the end of the market off-season, ongoing policy support, and accelerated technological iterations [12]. - The index will be adjusted based on the characteristics of each sub-index to better reflect market dynamics [12]. Group 4: Index Composition and Calculation - The Passenger Car Intelligence Index is calculated using a weighted formula that includes the Smart Cockpit Index, Smart Driving Index, and External Intelligence Index [14]. - Each sub-index reflects the market performance of vehicles meeting specific smart criteria, with the Smart Cockpit and Smart Driving being the primary focus areas due to their direct impact on user experience [17][18]. Group 5: Weighting Factors - The Smart Cockpit has a weight of 47.5%, emphasizing its immediate influence on user experience [18]. - The Smart Driving holds a weight of 37.5%, indicating its long-term transformative potential for the automotive industry [18]. - The External Intelligence Index is weighted at 15.0%, representing its emerging role in enhancing vehicle interaction with the environment [19].

Core Viewpoint - The article discusses the recent trends in the Chinese passenger car market's intelligence index, highlighting a decline in the overall intelligence index and its components, while also indicating potential recovery due to policy changes and market dynamics [3][12]. Summary by Sections Overall Intelligence Index - The passenger car intelligence index for July 2025 is reported at 34.2, marking a decrease of 1.4 units from the previous month, ending a continuous growth trend observed from April to June [12]. - The decline is attributed to seasonal sales fluctuations and a significant drop in Tesla's domestic sales, which fell by 34% in July [12]. Component Indices - The smart cockpit index stands at 36.5, experiencing a month-on-month decrease of 1.7 units, halting its previous growth trend [7]. - The smart driving index is recorded at 38.4, with a slight decline of 1.3 units, indicating a minor retreat from its earlier upward trajectory [9]. - The external smart index remains lower at 16.5, reflecting the emerging nature of this area [3]. Market Performance - In July 2025, the retail sales of passenger cars reached 1.844 million units, showing a year-on-year increase of 7.3% but a month-on-month decline of 11.6% [12]. - The retail sales of new energy vehicles amounted to 987,000 units, with a year-on-year growth of 12.0% but a month-on-month decrease of 11.2% [12]. Future Outlook - Despite the current downturn, the article suggests that the intelligence index may recover in August due to the resumption of national subsidy policies, which could provide structural benefits to the market [12]. - The article emphasizes the importance of continuously updating the intelligence index to better reflect market dynamics and set mid-term development goals [12].