Chinese used-car dealers set five-year limit for electric vehicles

In China, about four out of five used-car dealers have stopped accepting fully electric vehicles older than five years because of concerns over battery lifespan and the cost of replacements. A three-year-old EV now fetches about 45% of its original price, a decline from almost 55% the previous year, according to the China Automobile Dealers Association. The country, home to 44 million EVs, is the first where a sizable fleet is entering an age-related depreciation phase, yet there is no standard way to gauge battery condition, complicating resale pricing.

Experts note that battery warranties typically cover eight years or 160,000 km, and a failed battery can cost a third of a new car. As Chinese EVs are exported in growing numbers, overseas markets will encounter the same valuation uncertainty once the vehicles age beyond five years.