(Yicai Global) March 8 -- Retail sales of passenger cars in China rose 4.2 percent in February from a year earlier, driven higher by the growing popularity of new energy vehicles and despite the impact of the Chinese New Year at the start of last month.

Some 1.246 million vehicles were sold in February, according to figures released by the China Passenger Car Association today.

Luxury car sales fell 3 percent to 160,000, snapping the growth trend seen in January. Sales of Chinese brands jumped 14 percent to 540,000, with a 44 percent market share, while foreign brands sold 550,000, a 1 percent decline, the CPCA data showed.

Buoyed by strong NEV sales, BYD ranked second among all carmakers with 89,000 vehicles sold, second only to FAW-Volkswagen and surpassing SAIC Volkswagen.

New energy passenger vehicle sales reached 272,000, up 181 percent. The domestic retail penetration rate of NEVS was 21.8 percent, up from 8.1 percent in the same month last year. BYD sold 87,473 NEVs, Tesla China sold 56,515, and SAIC-GM-Wuling sold 26,046.

Vehicle exports in February reached 133,000, up 69 percent, the data showed. Among them, 45,300 were NEVs, maintaining strong growth, with 33,315 exported by Tesla China and 4,325 shipped out by SAIC Motor.

The CPCA said that demand may dip this month due to domestic refined oil prices hitting the highest level in 10 years and the slow recovery of industrial and commercial activities. But high oil prices directly push up the cost of fuel vehicles, which will further promote new energy and oil-electric hybrid technology.

Editor: Tom Litting