Meanwhile, BYD, which sells EVs in the 100,000 to 200,000 yuan price bracket, said it sold 302,459 units in March, a surge of 147.3 per cent from February. The monthly deliveries were the highest since the Shenzhen-based carmaker set an all-time high of 341,043 deliveries in December.
But these monthly sales figures might not be enough to dispel the gloom that shrouds the world’s largest automotive and EV market amid intensifying competition.
What price war? Tesla raises price of its Model Y electric car in China
What price war? Tesla raises price of its Model Y electric car in China
“A recovery in March allowed the EV makers to breathe a sigh of relief, following woeful sales in February,” said Eric Han, a senior manager at Suolei, an advisory firm in Shanghai. “But difficulties are looming, as new rivals such as Xiaomi are luring consumers away from established brands.”
Xiaomi, traditionally a smartphone vendor, said last week that it had received more than 80,000 orders for its first production model, the fully-electric SU7 sedan, within 24 hours of presales starting.
An eight-day sales break during the Lunar New Year holiday knocked the mainland EV market off its feet, with nearly all key players reporting a slump in sales in February.
Xiaomi makes waves in crowded EV market with its keenly priced SU7 model
Xiaomi makes waves in crowded EV market with its keenly priced SU7 model
It has since slashed the prices of nearly all of its cars by 5 to 20 per cent.
Xpeng offered an about 10 per cent discount on its bestselling sport-utility vehicle, the G6, to bolster sales. Li Auto marked down prices of its vehicles by 10,000 yuan to sustain its market share while Nio distributed free coupons to owners that use its battery swapping technology.
Greater Bay Area firms’ expertise will drive EV growth in China: Xpeng, BYD
Greater Bay Area firms’ expertise will drive EV growth in China: Xpeng, BYD
On Monday, Nio, which traditionally does not lower the prices of its EVs, said that drivers who replaced their petrol vehicles with its EVs would receive a “subsidy” of 10,000 yuan each.
In the first two months of this year, Tesla sold 70,022 units in China, up 15.2 per cent from the same period in 2023.