Many automakers reported significantly lower January sales, but in the view of a local brokerage firm, China's new energy vehicle (NEV) market will begin to rebound in the next two months after seasonal factors subside.

China's wholesale sales of NEVs are expected to reach 1.5 million units in the first quarter and are on track to reach 9 million units for the year, corresponding to a 39 percent penetration rate, said CICC analyst Qiu Xiaofeng's team in a research note.

January was the low point for recent sales as China's purchase subsidies for NEVs expired at the end of last year, allowing some consumers to bring forward demand, and as car companies slowed production and sales during China's Chinese New Year holiday, the team said.

Retail sales of new energy passenger vehicles in China are expected to be 360,000 units in January, up 1.8 percent from a year earlier but down 43.8 percent from December.

Another report showed that China's new energy passenger vehicle wholesale sales in January are expected to be 410,000 units, down about 45 percent from December and essentially unchanged from a year ago.

After Tesla's price cut, price cuts by other car companies are also expected to spur accelerated demand release. In addition, the intensive launch of new models starting in February is expected to drive demand to recover beyond expectations.

CICC expects wholesale sales of new energy passenger vehicles in China to reach 1.5 million units in the first quarter, contributing about 15.7 percent to annual sales and a penetration rate of 30.2 percent.

Sales in the second through fourth quarters will contribute 20.7 percent, 27.6 percent and 35.9 percent of annual NEV sales, respectively, and penetration is expected to be 36.6 percent, 41.7 percent and 43.0 percent, respectively.