Gasgoo Munich- Data from Gasgoo Automotive Research Institute reveals that China's passenger vehicle market in January 2026 is defined by the parallel growth of new energy vehicles (NEVs) and internal combustion engine (ICE) vehicle models. NEVs maintained high momentum, driven by electrification and intelligent features, with several new models seeing rapid adoption. At the same time, the ICE market demonstrated stable demand, retaining a strong foundation in segments like compact sedans and mainstream SUVs. These two powertrain types now serve different consumer groups and use cases, complementing each other to shape the current landscape of China's passenger vehicle market.
January 2026 ICE Passenger Vehicle Sales Rankings
First place: Volkswagen Sagitar, with January sales of 31,303 units
Second place: Geely Boyue L, with January sales of 29,694 units
Third place: Nissan Sylphy, with January sales of 25,953 units
Fourth place: Geely Xingyue L, with January sales of 25,011 units
Fifth place: Volkswagen Lavida, with January sales of 22,878 units
Sixth place: Geely Emgrand, with January sales of 22,826 units
Seventh place: MG ZS, with January sales of 22,148 units
Eighth place: Chery Tiggo 8/8 Plus/Pro, with January sales of 21,518 units
Ninth place: Geely Xingrui, with January sales of 20,008 units
Tenth place: Chery Tiggo 7/7 Plus, with January sales of 18,592 units
Volkswagen's Sagitar led the January 2026 ICE rankings with 31,303 units, followed by Geely's Boyue L at 29,694 units and Nissan's Sylphy at 25,953 units. Volkswagen's Lavida also broke into the top five with 22,878 units. Overall, sales volume for the top contenders clustered in the 20,000 to 30,000 unit range, signaling that the ICE market still commands steady demand in specific segments. Meanwhile, Geely's Xingyue L (25,011 units), Emgrand (22,826 units), and Xingrui (20,008 units) all secured spots in the top ten, highlighting the continued high activity of domestic brands in both sedan and SUV markets.
The rankings reflect a more balanced competitive landscape. Geely landed four models in the top ten—Boyue L, Xingyue L, Emgrand, and Xingrui—forming a diversified "sedan plus SUV" portfolio. Chery's Tiggo 8 series (21,518 units) and Tiggo 7 series (18,592 units) maintained steady sales through a family-style product matrix. At the same time, joint venture models like the Volkswagen Sagitar and Lavida, along with the Nissan Sylphy, retained a strong market foothold, demonstrating the enduring appeal of traditional ICE vehicles among certain consumer groups.
Despite the continued penetration of NEVs, the ICE vehicle market retains significant scale and steady demand. Joint ventures lean on mature platforms and brand equity to hold their ground in traditional mainstream segments, while domestic brands are expanding their share in SUVs and select sedan categories through improved configurations and optimized pricing strategies. Looking ahead, as hybrid technology spreads and product portfolios adjust, competition in the ICE sector will likely hinge increasingly on comprehensive product value and user experience.
January 2026 NEV Passenger Vehicle Sales Rankings
First place: Galaxy Xingyuan, with January sales of 41,676 units
Second place: Xiaomi YU7, with January sales of 37,869 units
Third place: Tesla Model 3, with monthly sales of 30,213 units
Fourth place: Tesla Model Y, with January sales of 29,724 units
Fifth place: AITO M7, with January sales of 24,977 units
Sixth place: BYD Song Pro, with January sales of 21,037 units
Seventh place: BYD Seagull, with January sales of 20,145 units
Eighth place: NIO ES8, with January sales of 17,658 units
Ninth place: FANGCHENGBAO TAI 7, with January sales of 17,117 units
Tenth place: Li i6, with January sales of 16,883 units
Galaxy Xingyuan topped the January 2026 NEV rankings with 41,676 units, followed closely by Xiaomi YU7 at 37,869 units. Both models surpassed the 30,000-unit mark, underscoring the fierce competitiveness of domestic brands in the NEV sector. Tesla's Model 3 and Model Y claimed third and fourth place with 30,213 and 29,724 units respectively, maintaining a steady market performance. Overall, the sales gap among the front-runners is narrowing, signaling that competition in the segment continues to intensify.
In terms of model mix, AITO M7 ranked fifth with 24,977 units, while BYD's Song Pro and Seagull maintained high market heat with 21,037 and 20,145 units sold respectively. Meanwhile, NIO ES8 (17,658 units), FANGCHENGBAO TAI 7 (17,117 units), and Li i6 (16,883 units) also broke into the top ten. This reflects a vibrant competitive landscape across sedans, SUVs, and various price points within the NEV market.
Competition in the NEV sector is shifting from reliance on single blockbuster models to parallel growth across multiple segments. Domestic brands are diversifying their offerings by launching products across different levels and positioning, while foreign brands continue to hold ground with established product lines. As NEV penetration rates climb, the completeness of a product matrix and the speed of technological iteration are becoming critical drivers of sales performance.
