Henan's NEV Industry Accelerates Into China's Top 10
On August 20, Liu Ning, Secretary of the CPC Henan Provincial Committee, visited Zhengzhou Airport Economy Zone (ZAEZ) to inspect the development of the new energy vehicle (NEV) industry, accompanied by Wang Chuanfu, Chairman and President of BYD Co., Ltd.
Henan's NEV sector is booming, becoming a driving force not only for the province's industrial growth but also for its broader push toward high-quality economic development. According to the National Bureau of Statistics, Henan produced 375,100 NEVs from January to July this year, securing its spot among China's top 10 producing provinces.
BYD and Zhengzhou: A Growing Partnership
BYD has been doubling down on its presence in Zhengzhou. On August 14, the company officially opened the BYD Racing Circuit, the world's first comprehensive test track dedicated to NEVs. The facility combines test drives, training programs, racing events, and public education on new energy technologies.
"This isn't just about stacking experiences; it's about reinventing the entire automotive ecosystem," one industry insider told the reporters. "It reflects China's evolution from a major car producer to a true automotive powerhouse, where car culture is expanding beyond professionals to the general public."
Less than a year earlier, on October 24, 2024, BYD launched its first "Di" NEV science museum in Zhengzhou. A BYD spokesperson emphasized the strategic importance of the new project. As the first of its kind nationwide, the Zhengzhou BYD Di Space aims to become a new cultural landmark for Henan's automobile industry.
Behind these initiatives lies the steady expansion of BYD's Zhengzhou production base. In September 2021, the Henan Provincial Government and BYD Co., Ltd. signed a strategic cooperation agreement. The project broke ground just 37 days later and began production smoothly within 17 months, setting a new benchmark for "ZAEZ (Zhengzhou Airport Economy Zone) Speed" and even "Henan Speed" in NEV manufacturing. By November 2023, the 6-millionth NEV rolled off the production line at Zhengzhou base, making BYD the world's first automaker to reach this milestone.
In the interview, the BYD spokesperson also introduced that the company has established a full industrial chain at ZAEZ. Its Zhengzhou base has played a key role in boosting BYD's overall capacity and ensuring timely deliveries.
Building an "Auto City" in ZAEZ
Under BYD's influence, the NEV industry has seen rapid growth in ZAEZ. The 31.4-square-kilometer Zhengzhou Airport Automobile City is home to more than 10 major automakers and over 100 parts suppliers, covering over 90% of vehicle types and product categories in Henan Province, with complete vehicle production capacity exceeding 2 million units. The zone's NEV output now accounts for more than 75% of the province's total.
This year alone, the zone has drawn fresh investment from both domestic and international players.
On February 28, ZAEZ's Management Committee signed agreements with 27 companies across the automobile industry chain. The 27 projects, with a total investment of 7.524 billion yuan, cover a range of sectors including battery R&D and production, auto parts manufacturing, intelligent connected technology, and car rental services.
On July 29, the French Eden Group won the land use rights for an industrial plot in Zhengzhou Airport Automobile City. The company will focus on R&D and manufacturing for automotive parts, aiming to build an international smart manufacturing industrial park.
On August 6, the reporters learned that Heaven-sent Consociation Technology Pte. Ltd. (Shenzhen), backed by Singaporean capital, has established a wholly-owned subsidiary in ZAEZ, with a total investment of approximately 2.35 billion yuan to support auto parts manufacturers and logistics companies within the Automobile City.
"The NEV industry is one of the top priorities in ZAEZ. We're focusing on the full industrial chain - from complete vehicles and core components to automotive electronics, general parts, automotive software, and the aftermarket. We've set up an NEV industry command center, and rolled out support measures to help create a 100 billion yuan-level NEV industry cluster," said the head of ZAEZ's Management Committee. The continuous implementation of relevant projects will not only bring considerable investments and employment opportunities to the region, but also inject new momentum into the green and low-carbon transformation, industrial upgrades and development of new productive forces for ZAEZ and Henan Province through international capital, cutting-edge technologies and innovative practices.
Momentum: Henan Joins China's Auto Top 10
From a broader view, Henan's NEV industry has seen widespread growth, with multiple development hubs and a thriving industrial cluster taking shape.
Cities like Zhengzhou and Kaifeng have formed clusters around BYD, Yutong, SAIC, and Chery. Luoyang has attracted battery giant CATL, while Nanyang, Hebi, Jiaozuo, and Xinxiang have become hubs for component makers. With this, Henan has essentially established a fully integrated NEV industry chain.
On August 19, Henan Provincial Bureau of Statistics released the province's economic performance for July. Notably, the added value of the automobile manufacturing sector surged by 25.8%, while lithium-ion battery production jumped by an impressive 99.3%.
Li Jinbao, Secretary General of Henan Automobile Industry Association, attributed the rapid growth in the added value of the automobile manufacturing sector to the significant increase in Henan's automobile output. He pointed out that the growth rate of NEV output is notably higher than that of traditional vehicles. Moreover, the rise in automobile production has fueled the continued concentration of auto parts companies and the ongoing improvement of the supporting infrastructure.
Amidst an 8.8% year-on-year increase in Henan's added value from industries above designated size, the automobile manufacturing sector has surged by 25.8%, far outpacing the average. This growth has become a key driver of Henan's industrial development, with its contribution to the overall increase proving to be significant.
From the standpoint of major industries nationwide, Henan's automobile industry-particularly the NEV sector-has demostrated impressive growth, both in terms of speed and overall output, and deserves recognition.
From January to February 2025, Henan entered the ranks of China's top 10 auto-producing provinces for the first time. During this period, its NEV output reached 101,900 units, nearly half of the national total. According to the latest data from the National Bureau of Statistics, Henan's cumulative NEV production from January to July hit 375,100 units, keeping the province among China's top 10.
"In recent years, Henan's automobile industry has gained significant momentum," said Cui Dongshu, Secretary General of China Passenger Car Association (CPCA), in an interview with the reporters. However, compared to other leading automobile provinces in China, Henan's NEV sector still has ample room to improve. For example, its overall industrial scale is not yet at the top level, and there are gaps in R&D investment and the commercialization of innovative breakthroughs compared to some coastal provinces with stronger technological foundation. Additionally, the supporting infrastructure in certain areas still requires further development.
What's Next: A Transformative Leap
Developing NEVs is key for China's shift from a major automotive nation to a global powerhouse. Henan has seized the opportunity in this industrial transformation. What steps can Henan take to further advance its NEV industry?
Liu Ning's BYD inspection provides a clear development path for Henan's NEV sector: seize the historical opportunity of electrification and smart transformation, leverage the influence of leading enterprises, optimize resoure allocation, and foster deeper industrial collaboration to accelerate the creation of a full-chain ecosystem, driving a significant leap in Henan's NEV industry cluster.
"Henan's one of our best markets in China," said a BYD representative,"We're hoping these investments will help boost Henan's industrial economy and really push car culture forward." From car production to user experiences - viewing, buying, using, testing, and racing vehicles - BYD has established a complete industrial ecosystem in Zhengzhou. This is a huge plus for BYD, both in terms of the local market and spreading Chinese auto culture.
"We hope Henan's NEV industry can reach new heights," suggested Cui Dongshu. He emphasized that, in terms of technological innovation, Henan should ramp up investment in R&D for core NEV technologies, particularly in areas like autonomous driving, battery tech, and electronic control systems. Cui also encouraged companies to collaborate with universities and research institutions, form innovation alliances, and build top-tier NEV innovation centers to achieve more breakthroughs in key technologies.
Regarding industrial support, Cui emphasized the need to strengthen the development of parts supply industries, attract more high-end component manufacturers to Henan, and increase the local supply rate. He also stressed the importance of expanding the charging network, with a focus on placing charging stations and battery swapping facilities in cities and along highways, especially in rural and remote areas.
On industrial synergy, Cui called for stronger cooperation with neighboring regions to build a NEV industry cluster in the Central Plains. He also emphasized the need for active participation in both domestic and international industrial networks, promoting Henan's NEV products and technologies to go national and global. (Source/Dahe Fortune Cube Reporters/ Duan Weiduo & Zhang Keyao, Translator/Hong Jianyuan Proofreaders/Ding Lan & Tong Lin)
Web editors: Shen Jianqi, Tong Lin