R&D pressures, cost-cutting affect car quality, finds J.D. Power

Vehicle quality in China's internal combustion engine segment is deteriorating, as automakers struggle to balance accelerated electrification, cost pressures, and the rollout of advanced in-car technologies, according to the J.D. Power 2025 China Vehicle Dependability Study.

Industry-wide, owners reported 197 problems per 100 vehicles over the past six months, up 7 points from 2024. Premium brands averaged 181 PP100, while mass-market brands stood at 202 PP100.

The 2025 study surveyed 22,941 owners of vehicles purchased between February 2021 and June 2024, covering 166 models from 38 brands across 81 major Chinese cities.

Design-related issues — including flaws in infotainment, seating, air conditioning, and noise/vibration control — accounted for nearly half of all problems, rising 20 percent year-on-year, according to the study.

Malfunction-related problems also increased, highlighting an emerging tension between rigorous R&D validation and cost reduction across the industry.

Elvis Yang, general manager of auto product practice at J.D. Power China, long-term reliability and durability have historically been ICE vehicles' competitive edge over NEVs.

"But accelerated electrification and pricing pressures are testing manufacturers' ability to maintain these standards," he said. "The industry needs to address critical VDS issues across the entire vehicle lifecycle, from design and production to ecosystem updates."

The study found that owners of vehicles aged 1–2 years reported the most significant decline in quality, with long-term PP100 rising from 168 in 2023 to 195 in 2025.

Domestic brands experienced the steepest rise in design-related issues, with PP100 climbing 21.4 percent over three years.

Premium brands saw a 27.3 percent increase, while international brands rose more moderately at 16.2 percent, signaling systemic risks to quality stability.

Despite the challenges, certain models and brands stood out. Land Rover led premium brands with 157 PP100, followed by Porsche (165) and BMW (166).

Among mass-market brands, FAW Toyota ranked highest at 156 PP100, with GAC Toyota (158) and Changan Ford (172) trailing.

Chery topped Chinese domestic brands at 188 PP100, ahead of FAW Hongqi (192) and Geely (200).