When "Who still buys gasoline cars in this era" and "I don't want to touch gasoline cars anymore when I drive an electric car" become catchphrases for many car company leaders, and when electric car enthusiasts in social media comment sections continue to promote the arrival of a new era, the confrontation between gasoline cars and electric cars is becoming increasingly fierce in the current public opinion environment.

It seems that both consumers and the industry believe that gasoline powered cars represent the old era, while electric cars represent the new era, leading to a continuous decline in external evaluations of gasoline powered cars: high usage costs, poor NVH, limited scene based experience, poor intelligent performance, low playability, insufficient emotional value, and no value.

However, a recent research report from J.D. Power, a leading global consumer insights and market research firm, shows that the product appeal index of fuel vehicles is on the rise, and user satisfaction with fuel vehicles has reached a new high in recent years.

This seems to deviate from the current industry and public opinion perception. Are gasoline cars really more popular?

Is it really true that no one pays attention to gasoline cars?

Seeing this conclusion, perhaps many people's first impression is to question the objectivity of Jundi's research. But those familiar with the industry know that Jundi has over 50 years of experience in the field of automotive industry research. Its scientific research methods, large-scale sample data, and in-depth analysis capabilities do have a high reputation in the automotive industry. Therefore, this report can to some extent reflect the true state of the industry.

It is reported that this research evaluation measures the various experiences of new car owners of fuel vehicles owning and driving their vehicles within 2 to 6 months of purchase, in order to ultimately integrate the vehicle elements that excite and delight new car buyers. The final result is that by 2025, the overall charm index of China's fuel vehicle industry will reach 751 points (using a 1000 point scale), an increase of 14 points from 2024, setting the largest increase in nearly 5 years.

This result is indeed contrary to many people's understanding of the current market and industry public opinion. However, a rational analysis of this result, combined with the current market situation and environment, can reveal how the deviation is generated.

Firstly, the direction of public opinion has a certain degree of confusion, naturally standing on the trendy side. New energy and intelligent vehicles are indeed the direction and trend, so more hot topics, discussions, and public opinion reports will naturally lean towards new energy vehicles, and the attention to traditional fuel vehicles will naturally decrease, creating the illusion that "fuel vehicles are not good anymore".

At the same time, a new batch of Internet enterprises and new forces make cars. Their playing methods are different from those of traditional automobile manufacturers. They are especially good at using new media channels to influence public opinion and consumers' minds. The sales list of new forces and the weekly list of new forces are the most typical performance. The transformation of traditional oil vehicle enterprises in this regard is relatively slow, which has also led to a biased audience perception that "new energy and intelligent vehicles are hot, while traditional oil vehicles are cold".

In addition, currently fuel vehicles are mainly produced by joint venture car companies. With the rise of domestic brands in the field of new energy, domestic consumers' admiration for joint ventures has decreased. Although they continue to buy joint venture cars, there has been less talk and discussion, resulting in misunderstandings at the level of information cocoons.

Don't be surprised! The charm of gasoline powered cars is significantly increasing

Secondly, from a data perspective, the sales volume of fuel vehicles in the first half of this year was 5.426 million units, a slight decrease of 1.8% year-on-year, with a market share of 49.6%, which is basically on par with new energy vehicles, equivalent to a market share of only 51% for new energy vehicles. In fact, since July 2024, the penetration rate of new energy vehicles in China's automobile sales data has exceeded 50%. In other words, once the penetration rate of new energy vehicles reaches a certain level, it will no longer increase, and the share of fuel vehicles and new energy will basically remain in a one-to-one ratio.

If it is a semi dominant market, then fuel vehicles can still be said to be a very mainstream existence, and this result will continue for a long time in the more diversified automotive consumption trends and concepts in the Chinese market.

Looking at the rankings of various segmented markets again, fuel vehicles still dominate the mainstream position at present. Taking the sedan sales chart in the past six months as an example, Nissan Sylphy, Volkswagen Lavida, Volkswagen Sagitar, and Volkswagen Passat still remain in the top ten, closely followed by Toyota Camry and Volkswagen Passat. Moreover, after deducting three economical pure electric cars priced between 30000 and 80000 yuan from the top ten, gasoline cars still occupy a core position in the A-class and B-class car markets.

Don't be surprised! The charm of gasoline powered cars is significantly increasing

The SUV market is also the same. In the past six months, only Tesla Model Y has won the top spot among the top three SUVs, followed by Geely Xingyue L and Toyota Rongfang in the third place. In addition to these two cars, among the top ten SUVs, CNOOC Toyota Ruifang, Volkswagen Tiguan L, Changan CS75, Tiggo 8, and Honda CR-V, followed by Volkswagen Tanyue, Geely Boyue L, and Toyota Fenglanda. Oil vehicles still occupy an important position to meet consumers' travel needs.

According to Jundi's data, 35% of fuel SUV users use off-road vehicles at least once a month (compared to 28% of new energy SUV users). In addition, the average annual mileage of fuel SUV users is 13% higher than that of new energy SUV users. These types of users rely more on the core attributes of fuel SUVs, such as long range, on-demand driving, and strong load capacity. Currently, new energy SUV products are still difficult to fully replace in these dimensions. Without fuel powered cars, the European automotive industry will collapse! "Mercedes Benz CEO Conlin ç on said in a German newspaper a few days ago, issuing a warning to EU" ban on fuel "policy makers in an almost mournful tone.

In fact, overseas car companies have long understood that gasoline cars cannot be parked. Audi abandons its goal of full electrification by 2033, announces continued research and development of internal combustion engines for the next decade, and launches a new fuel powered vehicle platform called PPC; Mercedes Benz has lowered its target for the proportion of electric vehicle sales from 100% to 50% in 2030, explicitly stating that "electrified high-tech fuel engines will serve longer" and will continue to update its lineup of fuel vehicles in the next decade; Volkswagen Group announced in 2024 that it will invest 60 billion euros in the research and development of the next generation of fuel engines, accounting for one-third of its total research and development budget, and suspend the construction of its fourth battery factory in order to increase fuel vehicle production capacity

So much data and facts prove that gasoline cars still have great potential.

02 Neglected Progress

Returning to Jundi's survey report at the beginning of the article, the importance of gasoline cars has not diminished. So, how has the charm index of gasoline cars been improved?

Data shows that the improvement in consumer satisfaction is mainly due to improvements in factors such as fuel economy (+17 points), boarding/alighting (+13 points), exterior design (+12 points), interior decoration (+12 points), and settings and starting (+12 points). From the perspective of brand, the charm performance of domestic brands (745 points) in the traditional energy vehicle market in China has significantly improved (+32 points), and together with mainstream brands (+11 points), it has driven the overall industry score to rise.

Obviously, we can also search for and restore the key elements that enhance the charm of gasoline vehicles from some market phenomena. For example, the improvement in fuel economy is mainly due to the upgrading of engine technology in German cars, the widespread adoption of Japanese hybrid cars, and the optimization of powertrain by domestic brands. The application of 48V technology in luxury cars has enabled better control of overall fuel consumption.

For example, Volkswagen's fifth generation EA888 engine is fully applied, with many innovative technologies that not only bring stronger performance, but also optimize fuel consumption to the extreme. According to feedback from Touareg Pro owners, the daily commuting fuel consumption is basically 8-9L/100km, and can be as low as 7L on highways. Compared with the third-generation model, the fuel consumption has been reduced by about 1L, which is already very economical for a medium to large SUV. And with the Lanjing 48V mild hybrid system, fuel consumption is reduced by 20% compared to traditional fuel vehicles through intelligent start stop technology.

For example, Japanese brands such as Toyota and Honda have fully opened up their hybrid technology, reducing the fuel consumption of mid to large sized cars like Camry and Saina to 4-5 liters per 100 kilometers. And more luxury cars such as Mercedes Benz have basically popularized the 48V mild hybrid system, which can improve fuel economy through motor intervention at low speeds, reducing the WLTC comprehensive fuel consumption of medium and large sedans such as Mercedes Benz E-Class to 6-7 liters per 100 kilometers.

The fuel consumption has decreased, which saves consumers fuel and reduces costs. In addition, the mature technology and good economies of scale of fuel vehicles bring more reliable and consistent products. Compared to other complaints, there are fewer problems with fuel vehicles, and consumers' reputation naturally increases.

For example, many people are currently talking about intelligence, but in fact, the intelligence of fuel vehicles has already kept up with the pace of the times. Volkswagen's Passat and other products have not only extended and upgraded the central control screen and passenger entertainment screen, but also brought advanced intelligent driving capabilities, making the intelligent cockpit and driving experience of gasoline cars no less than current electric car products. Especially the all-new Audi A5L, which also uses Huawei's intelligent driving technology, its intelligent driving capabilities are on par with the first tier.

Changan's fourth generation CS75PLUS has not only upgraded its exterior design, but also made significant upgrades to its interior technology and luxurious atmosphere, including the installation of zero gravity seats and the use of AI models. Geely's China Star series, including the Xingrui and Xingyue L, are constantly being updated. In addition to being equipped with the Flymeauto infotainment system and upgrading to more powerful power configurations, the Xingyue L is also equipped with a CCD variable damping suspension system as standard across the range. The configuration, functions, and value to consumers are also constantly improving. The latest announcement shows that Geely's latest Qianli Haohan H3 driving assistance system has landed for the first time in fuel vehicles, fundamentally changing the shortcomings of Geely's fuel vehicle intelligence and boosting the overall intelligent optimization and upgrading of the fuel vehicle market.

Just as Geely's fourth generation Borui L won the third place in the SUV market in July after its launch, it is also due to the comprehensive upgrade of the intelligent cockpit, the improvement of user perceived product strength such as interior refinement and comfort configuration, which laid the foundation for the hot sales of this type of fuel vehicle product.

Of course, the most crucial factor is price. Due to fierce market competition, the prices of many gasoline powered vehicles have further declined. It used to be said that oil and electricity have the same price, but now there are many models with lower oil to electricity ratios, especially after BYD announced the 998 and 798, the downward trend of oil car prices has become even more crazy. For example, A-class fuel vehicles such as Changan Yidong and Geely Emgrand have directly raised their starting price to just over 50000 yuan, and their configuration and performance are the same as the original 100000 yuan level models.

The prices of traditional fuel vehicles from joint venture brands such as the Lavida, Sylphy, Civic, etc. have also been halved, with a starting price of only around 80000 yuan at the terminal; The starting prices of models such as Accord, Camry, Passat PRO, Teana, etc. have all reached over 120000 yuan. This means that with a car purchase budget of 100000 yuan, one can easily purchase models that were previously only available for 150000 yuan, which is equivalent to using the same money as buying a joint venture A-class sedan in the past to enjoy the experience of a joint venture B-class sedan now.

The product strength of fuel vehicles has been improving rapidly, coupled with the continuous increase in terminal market prices and various subsidies for replacement purchases, the cost-effectiveness of fuel vehicles has actually become higher in the past one or two years. Under such a price system and competition, gasoline cars are not only worry free, with affordable insurance and maintenance, and no anxiety when commuting, but consumer satisfaction will naturally increase significantly.

With the support of intelligence and the addition of significantly reduced prices, the gasoline powered cars are truly fragrant!

To be honest, new energy is really good. In terms of vehicle costs alone, it is indeed very cost-effective, but it is not really suitable for everyone and scenarios. Including some camping scenes and advertising effects, they are actually marketing products. Many consumers do not have these scene needs for their cars in their entire lives, because many office workers and laborers really don't have time to do these seemingly beautiful things. They just want a safe and durable means of transportation that can shelter from the wind and rain.

After experiencing rapid iteration, electric cars have become more attractive to old car owners, with low resale value, expensive insurance prices, and inconvenient energy replenishment in some areas. The cost of energy replenishment is comparable to that of gasoline cars, so it is reasonable to remove charm and cool down.