China Sets Stricter Entry Rules to Rein In Rushed Car Launches
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China’s top industrial regulator has tightened the rules for automobile makers, mandating product reliability tests before new vehicles can hit the market, in a bid to curb the safety risks stemming from compressed development cycles.
The Ministry of Industry and Information Technology (MIIT) finalized updated guidelines requiring stricter technical standards for both carmakers and their vehicles. Effective January 1, 2027, the new rules aim to curb a growing tendency among manufacturers to rush new models to market amid fierce competition, sparking concerns about weakened safety oversight.
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- China’s MIIT issued stricter regulations requiring reliability testing for new vehicles before market entry, effective January 1, 2027.
- Gasoline cars must pass at least 30,000 km of tests, while NEVs remain subject to 15,000 km, with possible updates.
- In 2025, NEVs reached a 50.8% market share; tighter rules address safety concerns from accelerated development and aim for higher industry standards.
- China Association of Automobile Manufacturers
- The China Association of Automobile Manufacturers (CAAM) reported a significant industry milestone in 2025: New Energy Vehicles (NEVs) surpassed traditional vehicles in market share for the first time, reaching 50.8%, with passenger car penetration at 54%. This organization tracks and reports on trends within the Chinese automotive sector.
- AlixPartners
- AlixPartners (艾睿铂) is a consulting firm that has observed the trend of Chinese automobile manufacturers reducing their development timelines for new models. According to their findings, Chinese manufacturers shortened their development cycles to approximately 20 months as of 2025, which is half the traditional 40-month period.
- 2005:
- Older reliability standards for new-energy vehicles (NEVs), requiring 15,000 kilometers of testing, were set.
- 2022:
- China introduced national standards requiring gasoline vehicles to undergo at least 30,000 kilometers of verification testing.
- By 2025:
- Chinese manufacturers reduced their vehicle development timelines to around 20 months.
- 2025:
- For the first time, NEVs surpassed traditional vehicles in market share, reaching 50.8%, with a 54% penetration rate in the passenger car segment.
- October 2025:
- MIIT solicited public feedback on the updated guidelines and flagged 'irrational competition' as a root cause of shortened R&D timelines.
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