County youths are going crazy for the "Steamed Fish Head with Chopped Chili Car".

“Tesla has even expanded its sales to rural areas this year.” “In my hometown, an 18th-tier city, there are actually so many charging piles?”... On social platforms, netizens' discussions have revealed a new trend —

The stage for new energy vehicles has extended from the initially focused prosperous first - and second - tier cities to fourth - and fifth - tier cities.

Data confirms this shift. In just four years (from 2020 to 2024), the sales volume of new energy vehicles in third - tier and lower cities soared from less than 500,000 to over 5 million. Its growth rate not only outpaced the overall market, but also its market share jumped significantly from 32.1% to 47.1%, almost accounting for half of the market.

This strong purchasing power from the sinking market is reshaping the industry landscape. We can't help but wonder which new energy vehicle models are hot in the sinking market? Who are the buyers? And how do their car - buying preferences differ from those of consumers in first - and second - tier cities?

The most popular cars in lower - tier cities: Hongguang MINIEV, Xingyuan, and Seagull

The new energy boom and differences in the sinking market are first reflected in the list of best - selling car models. According to the sales ranking of car models in cities of different tiers in the first quarter of 2025 released by Yichebang, there are relatively large differences in the preference for car models among people in different tiers of cities.

Consumers in first - tier and new first - tier cities only love Tesla and Xiaomi. However, these two brands did not make it into the top ten of popular car models in third - tier and lower cities.

In third -, fourth -, and fifth - tier cities, the home court of new energy vehicles belongs to Wuling Hongguang MINIEV, Geely Galaxy's Xingyuan, BYD's Seagull, and Qin PLUS.

Similarly, in lower - tier cities, the acceptance of pure - electric vehicle models is not as high as that in higher - tier cities. There is still a certain market for fuel - powered vehicles, plug - in hybrid, and range - extended new energy vehicle models.

If we summarize first - and second - tier cities and third -, fourth -, and fifth - tier cities, in lower - tier cities, generally, micro - cars, small cars, and compact cars are popular. Only 2 medium - sized cars are among the top 10. There are more medium - sized cars, medium - large cars, and SUVs in higher - tier cities.

The difference is also reflected in the price. The most popular Wuling Hongguang MINIEV in third - tier and lower cities can be bought for as low as 31,800 yuan. The most expensive one among the top ten is the Passat, which costs no more than 145,800 yuan. The average reference price of the top 10 is 80,600 yuan.

In contrast, in first - and second - tier cities, the prices of the top three most popular car models are all above 200,000 yuan.

It is worth mentioning that although generally, lower - tier cities prefer micro - electric vehicles and small cars that focus on cost - effectiveness, the "sinking market" and "lower - tier cities" are not a monolithic entity.

For example, although Yangzhou, Jiangsu is a third - tier city, it is relatively economically developed. According to the ranking list of Dongchedi, the top - selling car model is the Xiaomi SU7.

Qiqihar, a fourth - tier city in northern Heilongjiang, consumers also pay attention to the impact of temperature changes. They not only consider the price but also the power. So the most popular one is not the pure - electric Hongguang MINIEV, but the plug - in hybrid BYD Qin PLUS DM, followed by the fuel - powered Volkswagen Lavida.

Price is the most concerned factor. Two types of people like to buy new energy vehicles

So, why do consumers in lower - tier cities start to buy new energy vehicles?

Subsidies and price discounts brought by policies are an important factor.

In fact, the "New Energy Goes to the Countryside" policy launched in 2020, combined with national subsidies, local tax exemptions, and "Two New" subsidies (trade - in and scrapping for renewal), has become the key to the increase in the penetration rate of new energy vehicles in lower - tier cities.

According to a report from Huaxia Times, boosted by the "New Energy Goes to the Countryside" policy, the sales volume of new energy vehicles in counties and townships increased from 25% in 2020 to 33.8% in 2024.

In terms of consumption ability, the "Insight Report on Small - Town Auto Market (2025 Edition)" by Yiche Research Institute shows that in 2024, among the average disposable incomes of car - buying families in cities of different tiers, the disposable incomes of families in lower - tier cities are generally lower than those in first - and second - tier cities. So when the demand for car use is combined with real - money subsidies, the price advantage becomes particularly prominent.

Compared with consumers in big cities who value the brand most when choosing a car, small - town users pay the most attention to the price when buying a car, followed by safety and brand.

However, although everyone generally pays attention to the price, the preferred car models and usage scenarios are not the same. We have noticed two typical groups of people.

Young and middle - aged people in small towns, with commuting needs, pursuing extreme cost - effectiveness, choose micro - electric vehicles

As shown in the above statistics, micro - electric vehicles are very popular in third - tier and lower cities.

Because of their shape resembling a fish head, micro - electric vehicles are also ridiculed as "Chopped Pepper Fish Head" cars and "Baby Buses" on various social media.

Especially in Liuzhou, a third - tier city in Guangxi, the Wuling Hongguang MINIEV is extremely popular. Some netizens even joke that it is a "specialty of Liuzhou". Data queried from Dongchedi shows that the top three best - selling cars in Liuzhou are all micro - cars, namely the Wuling Hongguang MINIEV, Wuling Bingo, and Wuling Bingo PLUS.

Perhaps because the headquarters of Wuling Motors is located in Liuzhou, these micro - cars can be seen everywhere on the local streets.

(Source: Xiaohongshu)  

"It's no exaggeration to say that the streets here are full of Wuling Hongguang MINIEVs." @Dongyi (alias), a post - 90s resident of Liuzhou, told DT Business Observation. Although his family already has two fuel - powered cars, it's not cost - effective to drive a fuel - powered car for his more than ten - minute commute to work. "So I bought a Wuling Hongguang MINIEV. The car price is less than 50,000 yuan, which is very cost - effective."

Since the whole city of Liuzhou is not very big, even a micro - car with a range of only more than 200 kilometers is completely sufficient for @Dongyi. "I basically only need to charge it once a week, and there is no range anxiety at all."

In addition, the small size of the car and the convenience of parking have also become the reasons for many people to choose micro - cars.

@Ms. Xie, also a post - 90s resident of Liuzhou, told DT Business Observation, "Whether it's commuting to work, sending my kids to school, or going to the mall, I'm very willing to drive a small car because it's easier to park than a big car. I just find it very convenient."

Even to facilitate the parking of various micro - cars, Liuzhou has demarcated many micro - parking spaces to meet everyone's needs.

In the early stage of life, willing to try new things. Driven by various subsidy policies, purchase an additional new energy vehicle

@Xu Chao (alias) from Liyang, a county - level city in Jiangsu, purchased a XPeng P7+ at the end of last year. Although his family already has two fuel - powered cars, due to various subsidy discounts and the desire to try out new energy vehicles, he bought an additional one.

The most direct motivation for his car purchase was the various policy subsidies, combined with the low cost of using a new energy vehicle, which was extremely cost - effective.

"The various subsidies in recent years have been really cost - effective, and the charging pile facilities in my city are very complete. Compared with fuel - powered cars, driving a new energy vehicle is very cost - saving. The money I used to spend on one tank of gas is almost enough for me to charge for half a year. The cost - effectiveness is very high."

@Xu Chao and consumers of this type pursue relative cost - effectiveness rather than absolute low prices.

During the car - buying period, @Xu Chao paid more attention to new - force brands such as Tesla, "Wei Xiaoli". "I'm not only interested in these new - force brands, but also because I just got married and had a baby, so I hope the car has a larger interior space."

According to the "2024 XPeng P7+ User Research Report" released by the Electric Vehicle User Alliance, most XPeng P7+ users are unmarried and newly - married young people, with an average age of 28.9 years old, and 45.6% are married.

The main motivations for users to buy cars are commuting to work, subsidies/discounts. The proportion of car purchases due to changes in family structure and family needs is relatively high, both exceeding 20%.

Car companies are vying for the sinking market. Consumers still have two major concerns

Currently, how are car companies of different brands deploying in lower - tier cities?

The number of outlets can, to a certain extent, reflect the brand layout. After all, stores can not only sell cars and provide after - sales services, but also serve as an offline advertising space for the brand.

In this "Battle of Going to the Countryside", several domestic brands are leading the way. The proportion of Geely Galaxy and BYD Dynasty's outlets in third - tier and lower cities both exceeds 50%.

Geely has driven a sharp increase in sales in lower - tier cities with its Galaxy series. The top - 2 popular small car Xingyuan mentioned above in third - tier and lower cities is under the Geely brand. BYD is making a two - pronged approach, with its Dynasty and Ocean series having a wide and in - depth layout of outlets in third - tier and lower cities.

However, just opening stores and laying out outlets is far from enough. Consumers in lower - tier cities have their own concerns and real pain points. Through interviews and research, we have found the following two main aspects.

On the one hand, there is still the problem of the coverage of charging infrastructure.

In big cities like Beijing, Shanghai, and Guangzhou, or in developed coastal areas, there are many and dense charging stations. But in many counties and even prefecture - level cities, it's a bit difficult to find charging piles, and the coverage rate is obviously insufficient.

"It's very difficult to find public charging piles, which directly discouraged my motivation to buy a new energy vehicle." said a respondent from a fourth - tier city in the north.

In addition, currently, the anxiety about the range of electric vehicles has not completely disappeared, but it varies depending on the situation.

Even @Dongyi and @Ms. Xie in Liuzhou, who love driving the Wuling Hongguang MINIEV in daily life, both choose fuel - powered cars when traveling long - distance during holidays.

"When going on a long - distance trip, I will definitely drive the family's fuel - powered car. After all, I still have to worry about the range on the way, and there may be a queue for charging. I can't guarantee that there will be convenient charging at the destination, so it's safer to drive a fuel - powered car." said @Dongyi.

So, in some lower - tier cities, the lack of "range security" and "charging convenience" for electric vehicles generally restricts some consumers' willingness to buy and use them.

On the other hand, in terms of after - sales service, it is difficult to repair and maintain cars in some cities.

"I sent my small car for repair several months ago, and it still hasn't been repaired." "What should I do if there is no after - sales service in my city? Go to the prefecture - level city?"... On social media, there is no shortage of complaints about the after - sales service of electric cars in counties.

Even a "god - car" like the Wuling Hongguang MINIEV is often criticized for its after - sales network and service experience in the sinking market, and it ranks low in the evaluations of research institutions.

The "Research on the After - sales Service Ability of New Energy Vehicle Brands in the Second Half of 2024" released by Jielan Road shows that among the after - sales service abilities of 26 new energy brands surveyed, Wuling ranks fourth from the bottom, lower than the industry average.

In contrast, leading new - start brands like Tesla, "Wei Xiaoli" and traditional luxury brands like BBA have more advantages in after - sales service reputation, but the penetration of these brands into counties is insufficient.

Conclusion

As the new energy vehicle market in first - and second - tier cities is gradually saturating, this "buying frenzy" sweeping the sinking market has undoubtedly opened up a new and imaginative blue ocean for car companies.