China aims to lift the share of new energy vehicles (NEVs) in its national vehicle fleet to 30pc by 2030 under a new carbon emissions reduction plan released by the State Council today, underscoring Beijing's continued push for transport electrification and low-carbon development.
Under the 15th Five-Year Plan (2026-30) Carbon Peaking Action Plan, the government will promote wider adoption of NEVs over 2026-30. The plan targets NEVs to comprise 30pc of China's total vehicle fleet by 2030, while new energy-powered commercial vehicles are expected to account for 25pc of the commercial vehicle fleet.
China had 366mn vehicles in operation at the end of 2025, including 43.97mn NEVs, representing 12.01pc of the total fleet, official data show. Battery electric vehicles (BEVs) totalled 30.22mn units, or 68.74pc of all NEVs in operation.
China's NEV penetration rose to a record 58.5pc of total automotive sales in June, up from 40.3pc in January. In China, NEVs not only include BEVs, but also plug-in hybrid EVs (PHEVs) and fuel-cell vehicles.
China's long-term strategy also continues to position BEVs as the dominant end-state technology within the country's NEV sector. In its NEV Industry Development Plan (2021-2035), the government said that "by 2035, battery electric vehicles will become the mainstream of new vehicle sales."
The plan also outlines a series of energy transition and decarbonisation goals for 2030. China aims to expand pumped hydro storage capacity to around 160GW and increase new energy storage capacity to 300GW. Virtual power plants are expected to provide more than 50GW of peak regulation capacity, while power demand response capability is targeted to exceed 5pc of maximum electricity load.
The government plans to achieve energy savings equivalent to more than 150mn t of standard coal through efficiency upgrades in key industrial sectors. Over 2026-30, China will build around 100 national-level zero-carbon industrial parks and about 500 zero-carbon factories.
The plan also targets a roughly 3pc reduction in carbon emissions intensity per unit of output in sectors covered by national emissions trading system (ETS) during the five-year period. Compliance rates for key emitters are expected to remain at consistently high levels, according to the plan.
The latest targets underscore Beijing's strategy of accelerating electrification, energy storage deployment and industrial decarbonisation as part of its broader goal of peaking carbon emissions before 2030. Many of these targets had already been outlined in plans released by other government agencies.
