Research on the Comprehensive Development Index of the New Energy Vehicle Market Based on Principal Component Analysis

Abstract

The rapid development of the new energy vehicle industry highlights its strategic value for economic and energy transformation, but existing research lacks systematic quantitative tools to assess market health. This paper proposes the New Energy Vehicle Market Development Index (NEVMDI), which integrates three dimensions—government policy, corporate innovation, and consumer demand—and uses principal component analysis to construct a dynamic assessment system to quantify the development level of China's new energy vehicle market from 2017 to 2024. The results show that the NEVMDI index increased from -2.33 to 3.74, with 2021 marking a critical turning point, reflecting the market's transition from policy dependence to market-driven growth. Policy precision, technological iteration, and demand segmentation are the core drivers of the index's improvement, while regional imbalances and infrastructure bottlenecks remain the primary constraints. This study provides a scientific tool for assessing market health and offers data support for policy optimization and industrial upgrading.