China’s used-EV market is pricing battery uncertainty into the whole car

About four in five Chinese used-car dealers refuse fully electric vehicles older than five years, according to the International Energy Agency figures cited by Rest of World. Concern about battery life and replacement expense limits what dealers are willing to carry.

The China Automobile Dealers Association puts a three-year-old EV’s resale value at around 45% of its original price, down from almost 55% in 2023. Buyers therefore face depreciation as well as charging and operating costs.

The distinction is between a vehicle’s remaining usefulness and the confidence needed to trade it. A dealer who cannot confidently assess the battery or price a possible replacement may reject a car that is still usable. China’s much larger, more mature electric-car market offers an early view of this secondary-market problem, rather than proof that every EV battery fails after five years.