Sales of new energy vehicles shot up 210 percent in the first seven months of this year, according to data released by the China Association of Automobile Manufacturers (CAAM) on Wednesday.

In the first seven months, about 1.23 million NEV cars were sold in China, a 210 percent rise compared to the same period last year.

In July alone, new energy vehicle sales rocketed to 246,000 units, maintaining an unstoppable upsurge since the start of 2021.

(Photo: agencies)

BYD, Tesla, SGMW, SAIC Motor and GAC AION ranked top five in July's NEV sales market, the CAAM data said. The A00 electric car was No.1 seller last month.

The surging NEV sales reportedly lessened the impact of a chip shortage in the wider auto industry.

Production of passenger cars shrank 9.5 percent in July. In response, some automobile companies reportedly branched out into the NEV industry.

"The strong performance of the NEV market represents the future of the car industry," Cui Dongshu, secretary-general of the China Passenger Car Association, said at a press briefing on Wednesday. "We should further explore the potential of NEVs and continue to increase their popularity among the public."