April New Car Sales Top 10: Only One Gasoline Model Makes the List, McKinsey Disputes "Rapid Exit" Claims

April Sales Rankings: Only One Gasoline Car in the Top 10

The accelerated shift toward electrification in China’s automotive market appears to be influenced by rising crude oil prices. According to the April 2026 passenger car retail sales rankings released by the automotive information site “Dongchedi,” the only gasoline car to make it to the top 10 was the Geely Bin Yue, ranking eighth. The remaining nine spots were all taken by electric or electrified models, including EVs, PHEVs, and range-extender vehicles.

The top seven spots were dominated by the Geely Xing Yuan, Xiaomi SU7, Tesla Model Y, Li Auto i6, Changan Qiyuan Q05, BYD Seal 06EV, and BYD Yuan UP. In ninth and tenth place were the Leapmotor A10 and BYD Dolphin, respectively. This ranking clearly signals a dramatic shift in the powertrain composition of China’s automotive market.

Year-to-Date Trends: Accelerating Decline in Gasoline Cars

This result is not a sudden anomaly but part of a clear year-to-date trend showing the decline of gasoline vehicles.

• January rankings: 7 out of the top 10 models were gasoline cars.
• February: 6 models.
• March: 5 models.
  Finally, in April, only one gasoline model remained in the top 10.

According to data from the China Passenger Car Association, retail sales of gasoline vehicles declined by 740,000 units year-on-year during January and February, accounting for 40% of the total decrease in passenger car sales. This downward trend intensified in March, with a year-on-year decrease of 345,000 units, and continued into April with a decline of 365,000 units (an 84% drop). According to the China Association of Automobile Manufacturers (CAAM), domestic sales of traditional fuel vehicles during the January to April period were approximately 3.527 million units, down 21% year-on-year.

The clear emergence of a “fuel-electric divide” in the market is evident, with the domestic retail penetration rate of new energy passenger vehicles exceeding the 60% threshold for the first time in April, reaching 61.4%.

McKinsey’s Analysis: “Gasoline Cars Won’t Exit Rapidly”

Contrary to the trend indicated by sales data, leading consulting firm McKinsey suggests that gasoline vehicles will remain resilient in the market. On May 12, the firm’s Global Managing Partner, Alexander Will, stated, “In the short to medium term, gasoline cars will not rapidly disappear from the Chinese market.”

This view is supported by findings from McKinsey’s “2026 China Auto Consumer Insights” report. According to the report, around 63% of consumers who purchased gasoline vehicles in the past year said they would consider buying gasoline vehicles again. Will explained, “There is still a significant consumer segment that prefers gasoline cars, valuing the convenience of refueling and the reliability of long-distance travel.”

He further urged automakers to “rethink their singular focus on electrification and develop more agile and diversified powertrain strategies,” emphasizing that market demand will continue to diversify at varying speeds.

Structural Market Transition and Future Trends

McKinsey’s report also highlights that China’s automotive market has entered a new stage, moving past its “high-growth expansion phase.” The firm’s Global Senior Managing Partner, Guan Mingyu, predicts that cumulative passenger car sales in China will reach 240 million units over the next decade (2026–2035). However, he pointed out that the era of high growth driven by first-time car buyers is over; the market has fully transitioned into a “stock era,” characterized by demand driven primarily by vehicle replacements.

In this mature market, new axes of competition are emerging. One key trend is the rise of autonomous driving and in-car smart agents. The report notes that these features are transitioning from “nice-to-have add-ons” to “essential experiences.” Manufacturers’ ability to deliver intelligent partners that “understand, remember, think, and act” will be the key to gaining a competitive edge.

At the same time, there are signs of change in the “price wars” that have been driving the market. McKinsey’s Global Managing Partner, Fang Yinliang, warned that excessive price cuts are fostering consumer expectations of future discounts, which could actually dampen immediate purchasing motivation. “Automakers should shift from price competition to value competition,” he said, emphasizing the importance of deepening product and service innovation to enhance the customer experience.

Furthermore, the expansion of charging infrastructure is progressing, with 71% of respondents expressing optimism that public charging networks will achieve the same level of convenience as gas stations by 2033. The growing adoption of plug-in hybrid (PHEV) and range-extender vehicles has helped normalize the habit of electric driving, alleviating concerns about charging and accelerating the transition to fully electric vehicles.

China’s automotive market is now poised to shift from quantitative expansion to qualitative maturity, entering a new stage of competition that embraces powertrain diversity and innovation.