Hello Yesa, what is the latest Chinese HEV development?
The oil price has soared in Mar. due to Iran War, the purchasing tax has been reduced, and large-capacity hybrid electric vehicles (Hevs) have emerged. Chinese automakers have finally entered the HEV market.
This wave of energy fluctuations in 2026 has actually opened a window for Chinese automakers. Geely, Changan, Great Wall, and Chery all simultaneously increased their investment in HEVs. Changan has the Blue Whale Super Engine, and Great Wall uses the Guiyuan platform to connect HEVs and PHEVs. Essentially, they are filling in a piece of the puzzle that was previously overlooked: not plug-in, but as close as possible to the experience of electric vehicles.
On April 13th, Geely's i-HEV intelligent hybrid technology was released. The fuel consumption is only 2.22L per 100 kilometers. Its battery comes in two versions: 1.38kWh and 1.83kWh. However, it supports 60C discharge and has the feature of fast charging and discharging, meeting the requirements for high power output and long lifespan in HEV operation conditions. The cycle life can reach 50,000 times of shallow charging and discharging, and it is supported by a 15-year warranty.
(1.) The time for HEV has truly arrived
The purchasing tax has changed from "full exemption" to "reduction by half", the threshold for PHEV has significantly increased, 100 kilometers is just the starting point, and in fact, it needs to reach 150-250 kilometers to be competitive. At the same time, the insurance cost for new energy vehicles has become higher, and the cost advantage of using them has been reduced.
At this time, the position of HEV became clear at once: without a charging station, without changing usage habits, just refuel and go, but the fuel consumption can still be 30% lower than that of fuel vehicles. In addition, many users began to worry about the battery issue after 8 years. Some people who were originally considering electric vehicles started to turn to a more reliable choice.
In the past, HEV batteries were mostly within 2 kWh, mainly aiming to save fuel for the engine. Now they have reached over 5 kWh, and the logic is different. For urban commuting, the vehicle can use electricity for a longer period of time, and the engine will intervene later, resulting in a significant improvement in tranquility and smoothness; during acceleration, the motor can continue to output power, making the driving experience more like that of an electric vehicle. The parking scenario has also changed. Using the air conditioner, listening to music, and using the large screen can last for a certain period of time, and there is no need to frequently start the engine.
Just like SVOLT (BeeHive) Energy which achieves a battery capacity of 3.6 - 7.3 kWh and a battery cycle life of 40,000 times, Geely i-HEV has reduced the fuel consumption during disconnection from 4L to 3L level, while also integrating intelligent cabin and autonomous driving features into the vehicle. The past experiences that were exclusive to pure electric and range-extended vehicles are now beginning to shift towards HEV.
2) Not only technology, but also profits and going global
For auto manufacturers, this route is also more "calculable".
The battery usage is much lower than that of PHEVs and pure electric vehicles, resulting in much smaller cost pressure, more controllable profit margins, and the ability to continue leveraging the accumulated experience in engine and vehicle integration.
Looking at the global market, HEV is actually a proven mature model. There is no need for user education, and there is no well-developed charging infrastructure in many regions. When oil prices rise, demand increases.
In 2025, China's auto exports reached 8.32 million units. In 2026, as oil prices continued to rise, the acceptance of HEV in Europe, Central and South America, and Southeast Asia was rapidly increasing.
The strategies of Chinese automakers are also straightforward: They transfer their capabilities in electrification and intelligence, and use better cabin designs and more comprehensive autonomous driving features to create a vehicle that "doesn't require charging but is very functional".
Finally, the HEV market segment was actually determined by the market itself. Pure electric, plug-in hybrid, and HEV will coexist for a long time, each catering to different consumer groups. Japanese brands have accumulated a lot of experience in HEV technology. Chinese brands need to improve reliability and long-term reputation, but they already have their own pace in terms of intelligence.