The Impact of Carbon Neutrality Policy on China's Electric Vehicle Market: A Study Based on Sales Data and Policy Analysis

Yiming Cao

doi:10.54254/2754-1169/2025.20401

Research Article

Open access

Published on 15 January 2025

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Cao,Y. (2025). The Impact of Carbon Neutrality Policy on China's Electric Vehicle Market: A Study Based on Sales Data and Policy Analysis. Advances in Economics, Management and Political Sciences,156,61-66.

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The Impact of Carbon Neutrality Policy on China's Electric Vehicle Market: A Study Based on Sales Data and Policy Analysis

Yiming Cao *^,1,

¹ University of California

* Author to whom correspondence should be addressed.

https://doi.org/10.54254/2754-1169/2025.20401

Abstract

Under China’s climate plan to achieve carbon neutrality by 2060, where it wants to peak its emissions by 2030, the electric vehicle (EV) market is set to play a pivotal role. Using sales data and policy analysis, this paper investigates the effects of carbon neutrality policies on China’s EV market. Global and local policies, such as subsidies, tax credits, and procurement requirements, have provided essential support for the EV industry and its market. Using sales and policy analysis, the research investigates how policy initiatives have impacted consumers, shifted automaker strategies and influenced the advancement of battery technology. The analysis revealed that since 2018, Chinese electric vehicle sales have skyrocketed due to policy pushes, with BEVs leading the charge. The results highlight that further policy and infrastructural development and technological advancement are crucial to maintaining market growth for the long-term target of environmental sustainability. Hence, the paper provides guidelines for policymakers and industry players in China to improve strategies that complement the country’s carbon reduction goals while acting as a reference for nations with similar climate goals.

Keywords

Electric vehicles, Carbon neutral, New energy vehicles, Battery technology

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References

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The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.

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About volume

Volume title: Proceedings of the 4th International Conference on Business and Policy Studies

Conference website: https://2025.confbps.org/

ISBN：978-1-83558-873-4(Print) / 978-1-83558-874-1(Online)

Conference date: 20 February 2025

Editor：Canh Thien Dang

Series: Advances in Economics, Management and Political Sciences

Volume number: Vol.156

ISSN：2754-1169(Print) / 2754-1177(Online)

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