China Luxury Car Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

The Report Covers China’s Luxury Car Market. It is Segmented by Vehicle Body Style (Hatchbacks, Sedans, Sports Utility Vehicles (SUVs), and Multi-Purpose Vehicles (MPVs)) and Powertrain Type (IC Engine Vehicles and Electric Vehicles). The Market Size and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

China Luxury Car Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

China Luxury Car Market Size

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China Luxury Car Market Summary
Study Period 2019 - 2030
Base Year For Estimation 2024
Forecast Data Period 2025 - 2030
Market Size (2025) USD 159.70 Billion
Market Size (2030) USD 187.39 Billion
CAGR (2025 - 2030) 3.25 %
Market Concentration High

Major Players

China Luxury Car Market Major Players

*Disclaimer: Major Players sorted in no particular order

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China Luxury Car Market Analysis

The China Luxury Car Market size is estimated at USD 159.70 billion in 2025, and is expected to reach USD 187.39 billion by 2030, at a CAGR of 3.25% during the forecast period (2025-2030).

Over the long term, due to the continued rise in ultra-high-net-worth individuals (UHNWIs) and high-net-worth individuals (HNWIs) in China, the demand for luxury automobile sales may grow. Due to strong geolocation and technological shifts, particularly in China, more regional demand for high-priced automobiles has attracted new entrants to the market, resulting in new product launches. Most major luxury brands see China as the fastest-growing market.

For instance, in April 2024, Mercedes-Benz opened a new tab to launch a luxury electric van for the Chinese market based on its VAN.EA platform.

According to BMW’s annual report, China held the highest share of 32.3% in global automotive sales in 2023.

Similarly, China was the largest single market for Audi as of 2023. The company delivered a total of 729,042 vehicles (2022: 642,548 vehicles) in China, 13% more than the previous year.

E-SUVs are popular among electric passenger vehicles due to their operational capability, high-end technology, and improved safety. E-SUV has several benefits over conventional automobiles, including improved vehicle dynamics, reduced fuel consumption, and low-noise electric drive. In addition, China promotes the adoption of electric cars through subsidies, tax credits, and other incentives, leading to the exponential demand for luxury electric cars.

The German luxury car manufacturers Mercedes-Benz, BMW, and Audi are also focusing on increasing sales of their electric cars in China. For instance, in December 2023, Mercedes-Benz debuted the E Class L, the company's luxury, long-wheelbase car in China.

Considering the growth, luxury carmakers are also offering highly advanced cars by increasing their production capacities to meet the high demand in China.

In 2024, Audi announced its plans to set up a new factory in Changchun (China) to manufacture more than 150,000 models of the Q6 e-tron and A6 e-tron product lines per year for the local market.

Thus, such developments are expected to boost the market in the coming years.

China Luxury Car Industry Overview

The Chinese luxury car market is consolidated and led by global and regionally established players. These companies adopt strategies such as new product launches, collaborations, and mergers to sustain their market positions. For instance,

In January 2024, the new BMW 5 Series Sedan and the new BMW i5 were launched in China. The new edition of the Business Sedan is expected to be available in China for the first time with both highly efficient combustion engines and all-electric drive.

Some of the major players in the market include BMW, FAW Group Co. Ltd, Infiniti, BYD, Geely, Toyota Motors, and Tesla.

China Luxury Car Market Leaders

  1. Lexus (Toyota Motor Corporation)

  2. Daimler AG (Mercedes-Benz)

  3. Volkswagen Group (Audi AG)

  4. Zhejiang Geely Holding Group

  5. BMW AG

  6. Lexus (Toyota Motor Corporation)

  7. *Disclaimer: Major Players sorted in no particular order
China Luxury Car Market Concentration
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China Luxury Car Market News

  • April 2023: At Auto Shanghai 2023, Lexus celebrated the world premiere of the all-new Lexus LM. Beginning with China's key luxury MPV market, the company announced that the second-generation LM will be launched in over 60 countries worldwide. The 6- and 7-seat versions focus on a spacious feel and excellent visibility, with expansive trim and overhead consoles throughout the cabin to create a personal feel for all passengers.
  • May 2024: Volkswagen AG’s Audi and China’s SAIC Motor Corp. Ltd partnered to work on a new vehicle platform and three new pure electric models to launch in the Chinese market. The three BEV models will cover B and C segments to focus on China’s fast-growing electric vehicle market. These models are expected to be launched in 2025.

China Luxury Car Market Report - Table of Contents

1. INTRODUCTION

  • 1.1 Study Assumptions and Market Definition
  • 1.2 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET DYNAMICS

  • 4.1 Market Drivers
    • 4.1.1 Growing Trend of EVs is Expected to Drive the Market
  • 4.2 Market Restraints
    • 4.2.1 High Cost of Luxury Vehicles May Hamper Market Growth
  • 4.3 Industry Attractiveness - Porter's Five Forces Analysis
    • 4.3.1 Threat of New Entrants
    • 4.3.2 Bargaining Power of Buyers/Consumers
    • 4.3.3 Bargaining Power of Suppliers
    • 4.3.4 Threat of Substitute Products
    • 4.3.5 Intensity of Competitive Rivalry

5. MARKET SEGMENTATION (Market Size in USD Billion)

  • 5.1 By Vehicle Body Style
    • 5.1.1 Hatchbacks
    • 5.1.2 Sedans
    • 5.1.3 Sports Utility Vehicles (SUVs)
    • 5.1.4 Multi-purpose Vehicles (MPVs)
  • 5.2 By Powertrain Type
    • 5.2.1 IC Engine Vehicles
    • 5.2.2 Electric Vehicles

6. COMPETITIVE LANDSCAPE

  • 6.1 Vendor Market Share
  • 6.2 Company Profiles
    • 6.2.1 Mercedes-Benz AG
    • 6.2.2 Volkswagen Group (Audi AG)
    • 6.2.3 Zhejiang Geely Holding Group
    • 6.2.4 BMW Group
    • 6.2.5 Lexus (Toyota Motor Corporation)
    • 6.2.6 General Motor Company
    • 6.2.7 Tesla Inc.
    • 6.2.8 Dongfeng Motor Company
    • 6.2.9 Infinity (Nissan Motor Co. Ltd)
    • 6.2.10 Acura (Honda Motor Co. Ltd)
    • 6.2.11 Cadillac (General Motors Company)
    • 6.2.12 China FAW Group Co. Ltd
    • 6.2.13 Lincoln Motor Company (Ford Motor Company)
    • 6.2.14 JAGUAR LAND ROVER LIMITED (Tata Motors Limited)
  • *List Not Exhaustive

7. MARKET OPPORTUNITIES AND FUTURE TRENDS

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China Luxury Car Industry Segmentation

A luxury car offers higher comfort levels, equipment, amenities, quality, performance, and associated status than a mid-priced car. The scope of the report covers details about recent developments, trends, and technologies in the market.

The market is segmented by vehicle body style and powertrain type. By vehicle body style, the market is segmented into hatchbacks, sedans, sports utility vehicles (SUVs), and multi-purpose vehicles (MPVs). By powertrain type, the market is segmented into IC engine vehicles and electric vehicles.

The report offers market size and forecasts in terms of value (USD) for all the above segments.

By Vehicle Body Style Hatchbacks
Sedans
Sports Utility Vehicles (SUVs)
Multi-purpose Vehicles (MPVs)
By Powertrain Type IC Engine Vehicles
Electric Vehicles
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China Luxury Car Market Research FAQs

How big is the China Luxury Car Market?

The China Luxury Car Market size is expected to reach USD 159.70 billion in 2025 and grow at a CAGR of 3.25% to reach USD 187.39 billion by 2030.

What is the current China Luxury Car Market size?

In 2025, the China Luxury Car Market size is expected to reach USD 159.70 billion.

Who are the key players in China Luxury Car Market?

Lexus (Toyota Motor Corporation), Daimler AG (Mercedes-Benz), Volkswagen Group (Audi AG), Zhejiang Geely Holding Group, BMW AG and Lexus (Toyota Motor Corporation) are the major companies operating in the China Luxury Car Market.

What years does this China Luxury Car Market cover, and what was the market size in 2024?

In 2024, the China Luxury Car Market size was estimated at USD 154.51 billion. The report covers the China Luxury Car Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the China Luxury Car Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.

Luxury Cars in China Industry Report

The Chinese luxury car market is experiencing significant market growth, driven by an increase in disposable income and a growing appreciation for the benefits of luxury vehicles, such as improved resale value, prestige, and cutting-edge technology. The market segmentation encompasses various vehicle body styles, including hatchbacks, sedans, SUVs, and MPVs, as well as different powertrain types like IC engine vehicles and electric vehicles. The industry's market size and market value are expanding, with a notable shift towards electric vehicles, supported by government sustainability initiatives.

The market overview highlights the integration of AI and machine learning, which is enhancing vehicle performance and safety, making Chinese luxury car brands more appealing within the premium car industry. Additionally, strategic collaborations among manufacturers are fostering innovation and refinement in luxury car offerings, aligning with evolving consumer preferences and technological advancements.

For those interested in detailed industry analysis, market data, and industry statistics, comprehensive reports are available. These reports provide a thorough market forecast, industry outlook, and market predictions, offering valuable insights into the industry's trends and growth rate. The Chinese luxury car market is poised for continued expansion, driven by both domestic demand and global market dynamics.

China Luxury Car Market Report Snapshots