New policies aimed at fostering growth in the automotive aftermarket have been officially released. The measures, jointly issued by nine departments including the Ministry of Commerce, outline initiatives to standardize and regulate vehicle modification, support the development of the RV camping industry, cultivate new business models for classic cars, optimize the supply of vehicle maintenance and insurance services, and promote innovative and integrated development in car rentals. The automotive aftermarket encompasses all service transactions related to the usage phase after a vehicle is sold.
Industry insights reveal that with the continuous increase in the penetration rate and ownership of new energy vehicles (NEVs) in China, the aftermarket for these vehicles holds significant consumption potential compared to traditional fuel-powered cars. Listed companies such as Tuhu Car Maintenance and Contemporary Amperex Technology Co.,Ltd. (CATL) are already actively expanding into NEV-related businesses like power battery maintenance and servicing.
Vehicle Maintenance Demand Enters a Phase of Rapid Expansion
The new policies emphasize strengthening maintenance service capabilities. This includes improving the credit management system for motor vehicle repair, supporting car dealers and maintenance enterprises in establishing an "online appointment + offline repair" service system, and encouraging maintenance businesses to pursue chain operations characterized by concentration, specialization, and branding.
Specifically for NEVs, the policies stipulate that automakers must diversify repair channels and parts supply channels for these vehicles. They are prohibited from restricting consumers' freedom to choose maintenance providers for their passenger cars and from using such a choice as grounds to refuse statutory warranty responsibilities. The policies also guide NEV manufacturers and power battery producers to open up their repair technology authorizations, encourage "repair over replacement," and enhance the capacity of socialized maintenance services for NEVs.
In the realm of NEV insurance, the policies call for further improving the coverage and service quality of auto insurance, establishing a comprehensive vehicle insurance grading system, innovating and optimizing insurance product offerings, providing "basic + variable" combination products, and exploring insurance models for "battery-swapping" vehicles.
Industry experts indicate that the inclusion of the NEV aftermarket in these policies is a response to the rapid pace of electrification within the automotive sector. Latest data shows that domestic NEV sales reached 1.496 million units in a recent month, representing a year-on-year increase of 14.4%. This growth pushed the market penetration rate of NEVs to 56.9%, setting a new high for the year.
Statistics indicate that from 2020 to 2025, the maintenance and repair output value for NEVs in China surged from 9.1 billion yuan to 90.4 billion yuan, a nearly ninefold increase over six years. Its share within the overall automotive aftermarket also jumped from 1% to 8%. By the end of 2025, the national NEV ownership reached 43.97 million units, accounting for 12.01% of the total vehicle fleet.
The automotive aftermarket has transitioned from a phase of high-speed expansion to one of steady growth. The potential for growth through mere market size expansion is now limited, shifting the industry's competitive focus from "total volume growth" to "structural adaptation." As the NEV penetration rate continues to rise, the service targets, parts structure, repair capabilities, and service pathways in the aftermarket are all evolving. Companies need to plan ahead by focusing on the NEV "three-electric" systems (battery, motor, electronic control), intelligent diagnostics, specialized equipment, and technician training.
Policy Support Helps Break Down Technical Barriers
The policies explicitly encourage the authorization of NEV repair technologies and "repair over replacement," as well as enhancing socialized repair service capabilities for NEVs. This opens up new growth opportunities for service networks with established technical expertise, according to a spokesperson from Tuhu Car Maintenance. The spokesperson noted that while NEV ownership in China is rising rapidly, the corresponding socialized maintenance capacity lags behind. The new policies will effectively help dismantle technical barriers maintained by automakers and battery manufacturers, creating structural opportunities for companies that have already invested in talent, technology, and network development in NEV repair.
Amidst these favorable policies, early strategic positioning is expected to become a core driver for service network expansion and increased user loyalty. Tuhu Car Maintenance has been investing in the NEV maintenance sector for several years, having served over 4 million NEV users to date, trained more than 4,000 NEV technicians, and obtained official authorization from over 10 power battery manufacturers. The company has repaired nearly 100,000 power battery units and has established specialized service capabilities ranging from "three-electric" system repairs to components like air conditioning compressors.
During a recent major shopping festival, the number of NEV users on the Tuhu Car Maintenance platform increased by 80% year-on-year, underscoring the strong market demand for professional NEV after-sales services.
While Tuhu Car Maintenance accelerates its NEV repair business, Contemporary Amperex Technology Co.,Ltd. (CATL), the world's largest power battery manufacturer by installed capacity, is extending its "CATL Service" brand from the business-to-business (B2B) sector to the consumer market. Originally established as an after-sales service department in 2015, CATL Service was officially upgraded to an independent brand in 2024. Leveraging CATL's power battery technology, it offers a full-chain service including battery testing, maintenance, and recycling to both enterprises and consumers through direct-operated experience centers, authorized service providers, and a global network.
After more than a decade of development, CATL Service has established a network covering 75 countries and regions with over 1,100 service outlets. As the global energy transition accelerates, China's new energy industry has reached a critical inflection point of scaled development. Within the NEV sector, existing service systems struggle to meet new demands such as "three-electric" system diagnostics and battery health assessments. CATL Service plans to continue driving innovation in maintenance technology, service models, and network expansion, injecting fresh momentum into the healthy, stable, and orderly development of the NEV aftermarket.
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