This photo taken on July 4, 2022 shows a workshop of the Volkswagen Anhui MEB (modular electric drive matrix) plant under construction in east China's Anhui Province. [Photo/Xinhua]

Major Chinese marques and international brands in China are expecting their sales to grow fast this year despite increasingly fierce competition after the country saw its vehicle production and sales hit a record in 2023.

Carmakers in China manufactured 30.16 million vehicles and delivered 30.09 million units in 2023, up 11.6 percent and 12 percent year-on-year, respectively, said the China Association of Automobile Manufacturers.

Chen Shihua, deputy secretary-general of the CAAM, said the market started slow in early 2023, but monthly sales gradually shifted into a higher gear in the second half.

"No other country has ever seen a vehicle market this size," said Chen. China has been the world's largest vehicle market since 2009.

He said the macroeconomic recovery and the government's favorable industrial and consumption-stimulation policies will accelerate China's upswing this year.

The CAAM's official estimate for vehicle sales this year stands at 31 million units, up 3 percent from 2023. Of them, new energy vehicle sales will grow to 11.5 million units, up from 9.5 million units in 2023.

Vehicle makers are upbeat about their performance this year. Many of them, especially NEV makers, made sales records in 2023.

BYD sold 3.02 million electric vehicles and plug-in hybrids in 2023, up 62.3 percent year-on-year. In December alone, its deliveries hit more than 340,000 units. For the first time, it overtook Tesla in the fourth quarter in terms of sales as the world's best-selling EV maker. Analysts said BYD's total sales are estimated to reach 4 million units this year.

Nasdaq-listed Li Auto topped the list of Chinese startups in 2023, with 376,000 units delivered, up 182.2 percent year-on-year.

Li Xiang, founder and CEO of Li Auto, said the firm will work to sell more than 100,000 units a month this year, with its annual sales goal standing at 800,000 units.

Zeekr, a premium EV brand of Geely, said its sales this year will be almost double the figure of 2023.Lin Jinwen, vice-president of Zeekr, said the company's sales goal for the year stands at 230,000 units.

The carmaker delivered 118,000 vehicles in 2023, up 65 percent year-on-year. The company said earlier this month that its cumulative deliveries had totaled 200,000 units.

Voyah, an NEV marque owned by Dongfeng, said on Thursday that it had set a sales goal of 100,000 units for this year, which will double its sales of 2023.

The brand saw its monthly sales grow from around 3,000 units in June to exceed 10,000 units in December. The company said it will launch a new SUV in mid-2024 to expand its lineup of three models.

Major international brands saw decent performances as well in 2023. Volkswagen maintained its position as the best-selling foreign-brand automaker in China, with 3.24 million vehicles sold that year, up 1.6 percent from 2022.

Its premium brand, Audi, saw sales in China soar 13.5 percent year-on-year to 728,575 units.

Volkswagen also strengthened its position in the EV segment. Its fully electric car deliveries increased 23.2 percent year-on-year to 191,800 units in 2023. More electric models under the Volkswagen and Audi marques are around the corner.

Ralf Brandstaetter, a member of the board of Volkswagen for China, said the company's strong position reflects the success of its "in China for China" strategy.

"We are tailoring our portfolio to the needs of Chinese customers. While the situation will remain demanding over the next two years, we are further developing our technological capabilities and setting up our business for the future," he said.

In the country's premium vehicle market, BMW Group sold 824,932 BMW and MINI vehicles in China in 2023, up 4.2 percent year-on-year.

Its EV sales totaled 99,972 units in 2023, soaring 138 percent year-on-year, and accounted for about 30 percent of the brand's global EV sales.

"New competitors, products and technologies created an intensely competitive Chinese automotive market in 2023," said Sean Green, president and CEO of BMW Group Region China.

"The BMW Group retained its leading position in the Chinese premium segment, whilst delivering strong results in the luxury segment and successfully transitioning our product portfolio to intelligent, electric mobility," he said.

China surpassed Japan as the world's largest auto exporter in 2023, with 4.91 million vehicles shipped overseas, up 57.9 percent year-on-year. The CAAM estimates exports this year will reach 5.5 million units.

Many vehicle makers have revealed plans to explore overseas markets. Voyah said it will rev up efforts to enter new markets this year including those in Europe and those involved in the Belt and Road Initiative. Its vehicles are currently available in countries including Norway, Denmark and Israel.

Zhu Jiangming, founder and chairman of Chinese startup Leapmotor, said it is expected to ship the C10 SUV overseas later this year, which will be its first model to enter the European market.

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