As an emerging big country in automobile industry，China is in the process of car popularization. At the same time，China’s new energy vehicle development is in the forefront of the world. In 2016，the volumes of production and sales of new energy vehicles were more than half one million vehicles，and the holdings of them were beyond one million vehicles，more than 50% of the world’s holdings. However，we must know that the new energy automotive industry is large but not strong：lack of core technology，poor vehicle performance，high cost in manufacturing. New energy vehicles are less competitive in market than traditional cars. The new energy automotive industry is still in the incubation period and in need of national policy support. It is an important stage for new energy vehicles in the future of 3-5 years. China should adhere to the strategy of pure electric drive and focus on strengthening the core technology. The key is to make a breakthrough in the bottleneck of power battery and to improve the performance of pure electric vehicles.