PVTIME – Elon Musk, the CEO of Tesla, has publicly expressed his astonishment at China’s rapid transition to a future powered by solar and electric energy. He noted that the country’s demand for oil and natural gas is set to plummet. He made these comments recently on a social media platform in response to official data released by World of Statistics.
This data confirms that electric vehicles accounted for 12% of China’s total vehicle stock by the end of 2025. Fuel sales in China also fell by 5.7% year-on-year in 2025, indicating a profound shift in the country’s transportation energy structure.
Broader industry data highlights the accelerating pace of China’s new energy transition. In 2025, retail sales of new energy passenger vehicles reached 12.809 million units, a 17.6% year-on-year increase, with a market penetration rate exceeding 50%.
In the same period, sales of traditional fuel-powered vehicles declined by 9% year-on-year. Overall fuel oil demand also fell by around 5.7%, marking the first substantial negative growth in gasoline consumption ever recorded.
In terms of energy production, China continues to be a global leader in the solar energy industry. In 2025, the country’s new solar installation capacity continued to rise and electricity costs dropped significantly, making electric vehicles even more economically competitive.
This solar-plus-electric development model is fundamentally reshaping China’s energy consumption structure. Musk remains optimistic about China’s new energy sector. He has noted on multiple occasions that China’s scale and technological advantages in photovoltaics, energy storage batteries, and electric vehicles are astonishing.
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