Chinese Automakers Top Global Sales Ranking for First Time in 25 Years, Surpassing Japan
Chinese automakers have achieved another historic breakthrough. According to a March 21 report by Nikkei, Chinese automakers recorded approximately 27 million units in global sales in 2025, surpassing Japanese automakers for the first time in 25 years to claim the top spot globally. Among them, BYD and Geely have already exceeded Nissan and Honda in sales volume, with Nissan dropping out of the global top ten for the first time in over 20 years.
While Chinese automakers saw significant overall sales growth, Japanese automakers' sales fell to approximately 25 million units. The report, citing data from various automakers and the information platform MarkLines, noted that among the world's top 20 automakers by sales, six are Chinese — surpassing Japan's five. BYD recorded 4.6 million units in annual sales, an 8% year-on-year increase, surpassing Nissan and Ford to rank sixth globally. In the battery electric vehicle (BEV) segment, BYD overtook Tesla to become the world's largest EV manufacturer. Geely recorded 4.11 million units in sales, a 23% year-on-year increase, surpassing Honda to rank eighth. Chery, Changan, SAIC, and Great Wall also made the top 20.
This marks the first time since 2000 that Japanese automakers have fallen from the global sales lead. Toyota remained the world's top-selling automaker for the sixth consecutive year, with 11.32 million units sold. Honda's sales fell 8% to 3.52 million units, dropping to ninth place. Nissan's sales declined 4% to 3.2 million units, falling to 11th place — the first time since 2004 that Nissan has been outside the top ten.
The report warned that unless Japan's auto industry adjusts its cost structure and technological competitiveness, it risks falling further behind Chinese automakers. Tang Jin, an automotive expert and senior researcher at Mizuho Bank's Business Solutions Division, stated that Chinese automakers surpassing Japan in total sales is not simply a change in ranking, but signals a restructuring of the global automotive influence map.
As early as late December last year, some media outlets predicted that Chinese automakers would likely surpass their Japanese counterparts in 2025 sales, ending the latter's more than two decades of dominance.
A financial report released by Stellantis on February 26 also noted that Toyota, Volkswagen, Hyundai, and General Motors remained the top four in global sales in 2025. Stellantis ranked fifth with over 5.4 million units sold. BYD, SAIC, and Geely — three Chinese automakers — all moved up in the rankings to enter the top ten, while Nissan fell out of the top ten.
The report specifically noted that despite temporary sales fluctuations, BYD demonstrated strong resilience, climbing to sixth globally with 4.602 million units sold in 2025. Among them, BEV sales reached 2.2567 million units, a 27.86% year-on-year increase, surpassing Tesla for the first time to become the world's top-selling EV manufacturer.
Analysts point out that Chinese automakers' rapidly improving competitiveness both globally and in the domestic market is the main driver behind this shift in rankings.
Cui Dongshu, Secretary General of the China Passenger Car Association (CPCA), explained that China's global market share has been steadily rising, rebounding to a healthy 40% in November 2025, up one percentage point from the previous year, and remaining at 37% in December. For the full year, China's global automotive market share reached 35.6%, up 1.4 percentage points from 34.2% in 2024.
Chinese automakers have also made significant progress in overseas markets. BYD's overseas sales reached 1.05 million units, a 145% year-on-year increase. SAIC's overseas sales reached 1.071 million units, a 3.1% year-on-year increase.
According to data from the China Association of Automobile Manufacturers (CAAM), China's automobile production and sales in 2025 reached 34.531 million units and 34.40 million units, respectively, representing year-on-year growth of 10.4% and 9.4%. This not only set new historical records but also marked China's 17th consecutive year as the world's largest automotive market.
Oliver Blume, Global CEO of the Volkswagen Group, emphasized during his visit to China on February 25 alongside German Chancellor Friedrich Merz: "For Volkswagen, for Germany, and for the entire European industrial landscape, China is not just a sales market — it is a source of innovation, a technology partner, and a key pillar of global value creation. In areas such as e-mobility, software, artificial intelligence, and battery technology, China is setting the global pace and shaping industry standards."