July in Baoding is scorching. But hotter than the weather is the scene at Great Wall Motor's Xushui Proving Ground. Global investors fly in from all over the world, drill into wind tunnel labs to check data, crouch in crash labs to verify safety, then sit into different power versions of the Great Wall Ora 5 to personally test and experience them at the test track.

This is the scene at the Great Wall Motor Global Exploration Day. Superficially it looks like a channel investment promotion, but deep down it is a "goods inspection": before global capital votes with their feet, they first vote with their seats and steering wheels.

This three-day "Great Wall Motor Global Exploration Day" is essentially a cross-border "goods inspection".

1, Ora's "Growth Studies"

In June, the Ora brand sold 10,806 units in a single month, a year-on-year increase of +229.15%, with cumulative series sales exceeding 584,133 units; in Brazil, the first batch of Great Wall Ora 5 units went on sale on June 24th, with 2,000 units sold out in 24 hours, and orders in Thailand exceeded 5,000. Starting in July, they will sequentially enter Australia, South Africa, Indonesia, and South America, a matter worth discussing in depth.

Ora didn't suddenly get it; someone had to admit first that the "pure EV cult" is wrong.

In mid-2025, Lu Wenbin was transferred from General Manager of Haval Technology to General Manager of Ora. He was the seventh boss of the brand. The first thing he did upon taking office, in his own words, was to "break the pure EV cult".

This sounds rather contradictory—Ora has been an EV brand since its establishment in 2018. The slogan "New Energy Vehicles that love women more" once helped it reap the dividends, but it also welded it to the small car + female tracks. When the pure EV penetration rate growth curve entered a plateau and the HEV ratio rose, continuing to sell only pure EVs is equivalent to giving half the market away.

The Great Wall Ora 5's approach is to directly put three sets of powertrains—pure EV/hybrid/fuel—into the same body shell—this is Great Wall's first realization of "one car three powertrains" on the same model. The industry calls this "Powertrain Co-line", which sounds easy to say but involves tens of billions in platform investment. Great Wall's solution is the "Guiyuan Platform"—native compatible with BEV/HEV/PHEV/FCEV/ICE five powertrains, covering SUV, Coupe, Wagon multi-categories.

Lu Wenbin had a sentence worth the whole industry to savor: "Even three years later, range anxiety will still affect some users' choice of pure electric vehicle models."—There is no standard answer globally, only scenario answers. In the past, Chinese car brands going overseas loved to talk about "one car to hit the global market", which is essentially betting domestic blockbusters on overseas luck; Great Wall Ora 5 turns it around. With the same architecture, flexible power combination adjustment, pure EV for Europe, hybrid for Southeast Asia, fuel for emerging markets, configuration without discounts, intelligence without shrinkage. This is the real weight of the four words "Born Global".

2, Technology Depth One Level Deeper

Regarding automotive technology, I am most afraid of seeing "Three Motors Six Modes" "AI Intelligent Switching" piled up as decorations. This time the "Coffee No-Spill Challenge" "Balloon Upright Challenge" at Xushui, looking like gimmicks, actually put the industry's long-standing difficult problems on the table—the "Smoothness" and "Speed" of hybrids are mutually exclusive under traditional configurations.

Let me say it in plain terms: Single-speed series-parallel is smooth at low speeds, but engine direct drive intervention inevitably causes jerks; to be fast, you have to let the engine intervene early, keeping "Smoothness" becomes impossible.

Great Wall's Hi2 Intelligent Hybrid System solution is a 2-speed DHT, 1.5T hybrid dedicated engine plus dual motors, with 2-speed transmission, first creation of P3 motor decoupling mechanism, enter direct drive at 70km/h, motor decouples to reduce loss during cruising. System power 166kW, torque 476N·m, WLTC fuel consumption 4.5L, full tank range exceeds 1,100km.

The key is not the numbers, but how the numbers were achieved. Great Wall Ora 5 traversed Beijing, Shanghai, Tianjin, Chongqing four direct-controlled municipalities, 3,004 km real road, normal AC, mountain climbing, altitude difference 1,445 meters, achieved 3.74L/100km fuel consumption, directly taking the Guinness World Record. It is two different things from those "running 1.X liters without AC at constant speed". Ora calls this "Active Smoothness"—not relying on sacrificing power for smoothness, but using motor torque compensation and two-speed calibration to actively eliminate jerks. This is the difference in engineering philosophy, not the difference in marketing jargon.

Pure EV version is also solid: range 480km/580km, 100km power consumption 11.6kWh, 4nm chip plus Coffee OS 3 intelligent cockpit, high spec with LiDAR, supports mapless city NOA and multi-floor memory parking. The 100,000-level brings down past 200,000-level, 300,000-level intelligent driving.

But the truly valuable detail is "Same Intelligence for Electric and Fuel". Regardless of choosing pure EV, hybrid or fuel, the three powertrains share one electronic electrical architecture, calibration team must serve three torque output characteristics at the same time. Only by achieving this step is the Guiyuan Platform's real technical ace.

3, Overseas Order Boom

2,000 units sold out in 24 hours in Brazil, not an accident but a plan.

Many attribute Brazil's order boom to "cheap". Flip through local records: Great Wall Ora 5 Brazil first launch promotion price 159,000 Reais (about 199,000 RMB), after July tariff increase slightly adjusted to 159,900 Reais, guarding the 160,000 threshold.

Where is this pricing interesting? In Brazil's big cities, middle class buying mainstream fuel compact SUV budget range is 180,000-220,000 RMB, long time monopolized by European, American, Japanese joint ventures, configuration still stays at fabric seats + mechanical gauges. Great Wall uses one imported pure EV SUV, price pressed into fuel car heartland, 204 horsepower (compare to same price Volkswagen T-Cross), standard compact SUV size (compare to same price BYD Dolphin)—Cross-Class Product Power hits same price point.

And Great Wall locked in sale on June 30th night before Brazil pure EV import tariff from 优惠恢复 35%, both competing on business sense and supply chain execution. After 2,000 units cleared in 24 hours urgently released 1,500 units new batch, Volkswagen T-Cross same week urgent price cut 10,000 Reais to 151,500 Reais defense. Brazil best-selling SUV urgent price adjustment and Ora 5 first day sold out occurred in the same week—this scene is more convincing than any sales number.

Thailand side is same: Right-Hand Drive Version rolled off line at Thailand factory, Bangkok Motor Show orders exceeded 5,000, hybrid version directly competes arm wrestling with Japanese brands, Great Wall adds 10 billion Baht investment target 2026 local sales increase 40%. Spain June 30th Madrid Gastrohub launch, over 200 guests, 80 top media, 25 dealers on site, announced continuous three years sponsorship of Spanish Basketball League ACB. Italy media event focused on "Chassis tuned for European roads + Hi2 Hybrid + High-end Interior".

Same car, three faces, each brilliant. European media first time seeing Chinese car not relying on low price, but relying on "Multi-Power Matrix" to knock on door.

4, Young People's First Car

From "More Loves Women" to "Global Fashion Boutique": Real Meaning of Positioning Dimension Upgrade

Behind Great Wall Ora 5 hot sales, the most key change is user portrait drastically expands. In the past Ora was stuck on "Female Exclusive" "Small Car" tags, now with Great Wall Ora 5 all-around model becoming popular, user pool has expanded to "Family First Purchase" and "Quality Trade-in" broad crowd.

"Young People's First Car" this question, in the past standard answer was "Good enough is fine"—limited budget must compromise repeatedly between appearance, space, power, quality. Great Wall Ora 5 logic is "Who says first car can't want it all": Natural Aesthetics Design Language (Dunhuang Green taken from Mogao Caves Mineral Green Pigment, Glacier Grey taken from Iceland Millennium Glacier), one car multiple power, one car multiple posture, one car multiple category, power versions different but design/intelligence/comfort/quality completely consistent.

Dense city users in China choose pure EV commute save worry save money; European old town streets narrow, private parking scarce, home pile installation threshold high, pure EV energy replenishment becomes pain point, hybrid version uses Three Motors Six Modes full speed range switching to save fuel smoothness; South America, South Africa, Indonesia infrastructure different, fuel version backup. Young people finally don't have to compromise for region or infrastructure difference—this is "Choose on Demand, Drive Freely" eight words truly landing appearance.

5, Go Global on Demand

These ten-plus years China car export, from early Chery Geely "Trade-style Export" to two years BYD NIO "Fleet-style Export", main line always "Use domestic blockbusters crush overseas". Great Wall Ora 5 gave new paradigm—not for each market develop separately, but for each market combine separately.

Guiyuan Platform modular concept lets localization adaptation from "Restart Project" downgrade to "Power Switch", R&D marginal cost spread to extremely low, response speed extremely fast. Ora internal calculation, Great Wall Ora 5 purchase cost 5% lower than same class opponent, maintenance cost 15% lower, global standard quality control brings higher resale value and more stable quality.

Financial view look is "New Quality Productivity Going Global", technical view look is "Platform Capability Realization", brand view look is Ora from "More Loves Women" to "Global Fashion Boutique Car Brand" dimension upgrade—Lu Wenbin set eight words "Global, Fashion, Boutique, Car", every one correcting past bias.

Great Wall Ora 5 Sports Version & GT official also published appeared, market future promising.

Final Words

When a company once welded "Female Exclusive" into brand gene car enterprise, dares to peel off label themselves, dares to admit "Pure EV Cult" is wrong, dares to use one car's three faces to knock on door of different continents—this self-revolution courage, more valuable than 10,806 numbers itself.

Xushui Proving Ground that cup of coffee not spilled, Brazil 24 hours cleared 2,000 units orders, Madrid Gym ACB logo and Ora 5 shining side by side, these scenes pieced together, is China car export from "Sell Cheap" to "Sell Right" turning point. Ora 5 may not be this model's end game, but it likely is China car "Go Global on Demand" narrative start.

Once the China Passenger Car Association released the pure electric retail ranking for the first half of 2026, the industry finally saw the true temperature of the market. The top ten seats underwent a complete shake-up, with long-standing top models collectively diving. Seagull, Qin PLUS, and other former top hits fell out of the head lineup, replaced by all-new products concentrated on the market in the past year. Many people say the pure electric market is not doing well, but looking closely at the data reveals that what is not doing well are old products, low price points, and stock models without technology. Truly new products that hit users' core needs are still surging against the trend.

No.1 Geely Star Wish

Geely Star Wish, which took the pure electric sales crown for the first half of the year, has mixed feelings. The result of 194,000 units looks impressive, but actually decreased slightly by 5.3% year-on-year. Against the background of the overall contraction of the entry-level pure electric market, holding onto this volume is already considered a win. This 60,000-level A0-class small car has ranked at the top for 16 consecutive months, the core being that it solves the pain points of commuter cars to the extreme. Rear-drive architecture, independent suspension, CATL cells, and fast-charge configurations are fully loaded on all models. Using superior specifications, it beats competitors at the same price point. Cumulative sales exceeded 800,000 units in less than two years.

Conversely, the 50,000 to 100,000 market is continuing to shrink. Leapmotor and other competitors have entered with lower prices and higher configurations. Plus, car profits are thin as razor blades. Star Wish's domestic market share has basically hit the ceiling. The next incremental growth can only be supported by overseas markets.

No.2 Tesla Model Y

Tesla Model Y, ranked second, sold 172,500 units in the first half of the year, with a slight increase of 0.6% year-on-year. It barely held onto its basic market position amid the blockade of domestic models. As the industry benchmark for the 250,000 to 300,000 pure electric SUV market, Model Y's core competitiveness has never been interior configurations, but mature powertrain systems, a supercharging network spread across the country, and Tesla's brand premium. Many family users choose it for peace of mind and value retention.

However, with new products from Li Auto, Xiaomi, and AITO taking turns siphoning users, Model Y's growth has long entered stagnation. The latest news is that the high-performance version of this car has completed MIIT declaration. It will likely maintain sales with facelifts and price adjustments in the second half of the year, but it is highly probable that its overall market share will continue to be eroded.

No.3 Li Auto i6

Li Auto i6 reached third place with 120,400 units, the brightest dark horse in the first half of the year, and marked that Li Auto's pure electric transformation is fully completed.

This 250,000-level family pure electric SUV completely continues Li Auto's product logic oriented towards family users. It does not compete on paper data like 0-100 km/h acceleration, but makes 800V high-voltage platforms, dual-chamber air suspension, and advanced intelligent driving standard configurations. It maximizes space, comfort, and energy replenishment efficiency, precisely hitting the pain points of urban family users.

Since its launch, this car has had monthly sales exceeding 20,000 for four consecutive months, directly accounting for 62% of Li Auto's total sales, siphoning its own extended-range L series. However, the 200,000 to 300,000 pure electric SUV market is the most competitive track this year. New products are flocking to the market in the second half of the year. It is not easy for the i6 to maintain current sales levels. Later, it will depend on new products like the i8 to take over.

No.4 Xiaomi YU7

Xiaomi YU7, as a popular model, sold 104,600 units in the first half of the year, ranked fourth. As a brand-new car launched only half a year ago, this result has exceeded industry expectations. This mid-size SUV focusing on sports and family, relying on Xiaomi's ecosystem traffic, reached a peak of nearly 38,000 units in the first month after launch, directly breaking the market pattern at the same price level.

However, the subsequent trend can be described as opening high and closing low. After the heat subsided, sales declined month by month until June, relying on the launch of the standard version and employee internal purchase discounts to return to the ten-thousand club. Ultimately, the 200,000-level pure electric SUV track is too competitive. Tesla Model Y is above, and cost-effective brands like Leapmotor are below. YU7's product strength has not pulled an absolute gap. Next, Xiaomi's focus will shift to its extended-range series. YU7 will likely maintain steady sales, making it difficult to replicate the explosion in the early stages after launch.

No.5 BYD Yuan UP

BYD Yuan UP sold 82,700 units in pure retail sales in the first half of the year, increasing by 14.7% year-on-year, making it BYD's new backbone in the entry-level pure electric market. It gained volume because it took over from Yuan PLUS. The old Yuan PLUS saw a cliff-like drop in sales. Yuan UP used lower pricing, newer designs, and BYD's mature powertrain system to quickly fill the market gap for pure electric SUVs under 100,000.

Plus, BYD's service network spread across the country and the reputation of Blade Batteries have extremely strong attraction for mass market users. However, there is bad news: Leapmotor A10 has overtaken Yuan UP in retail volume for two consecutive months. It is advancing step by step with a cost-effective strategy of larger space and higher configurations. In the second half of the year, it will be quite difficult for Yuan UP to continue climbing. It will likely hold its current market share and maintain stable output through capacity ramp-up.

No.6 Xiaomi SU7

Xiaomi SU7 sold 80,500 units in the first half of the year, dropping 48.3% year-on-year, with the ranking falling to sixth. The main reason is that the replacement gap dragged it down. At the beginning of the year, the old SU7 was discontinued to pave the way for the new model. Two months of delivery vacuum directly lowered the total for the first half of the year. After the new generation model was launched in March, it quickly returned to a monthly sales level of 20,000+, remaining the benchmark for 200,000-level pure electric sedans.

As Xiaomi's founding work, SU7 thoroughly opened up the capacity of the niche sports car market, even siphoning users from BMW 3 Series and Tesla Model 3. However, the sports car market itself has a low ceiling. Plus, with more and more competitors, SU7's sales have basically hit the upper limit. Next, it will be more about stabilizing output as the brand's basic market. The stage of explosive growth has passed.

No.7 NIO ES8

NIO ES8 accumulated 78,600 units in retail sales for the first half of the year, ranking seventh, being the absolute sales king in the high-end market above 400,000. The fully new ES8 can fight, the core is hitting the pure electric replacement demand of high-end family users. The swapping system solves energy replenishment anxiety. Luxury and service experience crush same-price BBA fuel cars. Users accounting for more than 97% are exchange/purchase users, of which 60% come from BBA owners.

Less than a year after launch, the new ES8 cumulative delivery broke 120,000 units, ranking the large SUV sales champion for six consecutive months, hard撑着 (proping up) the market capacity of the high-end pure electric market. Next, its own lower-positioned ES9 has already siphoned many users after launch. The 6-seater version has just started reservations. Plus, the high-end market itself has limited capacity. ES8's main goal for the second half of the year is to hold onto the basic market of the high-end market.

No.8 Wuling Hongguang MINI

Once the national god car Hongguang MINI EV sold only 72,800 units in the first half of the year, dropping 57.4% year-on-year, falling directly from the top spot to eighth. It is known as the most tragic fall among old models.

The loss of speed of Hongguang MINI is not caused by a single reason. On one hand, the A00-class microcar market is contracting overall. Adjustment of purchase tax policy has significantly shrunk the cost-performance advantage of low-price cars. On the other hand, user consumption upgrades are obvious. Adding 20,000 can buy a small car with larger space, higher configuration, and longer range. Many users who watched MINI EV finally bought Bingo, Star Wish. Wuling itself is clear about the problem. The fifth-generation model changed to a four-door structure, added fast charging and safety configurations, but it still could not stop the downward trend.

No.9 Changan Qiyuan Q05

Changan Qiyuan Q05 sold 71,600 units in the first half of the year, breaking into ninth, a true comeback dark horse.

This car had little presence last year. After price reduction and configuration increase in April this year, it took off directly. It pulled the entry-level range to 506km, even downgraded laser radar to the 80,000 level. Using a "technology equity" strategy, it precisely hit the pain points of home users. It sat firmly as the pure electric compact SUV sales champion for three consecutive months. Changan's capacity also kept up with the rhythm. After the Nanchang factory was put into production, bottlenecks were gradually relieved. The overseas market also bloomed synchronously. Thailand launched in half a month, and orders broke 3,000. After capacity is fully released in the second half of the year, Qiyuan Q05 sales still have rising space. It is expected to冲击 (attack/strive for) the first echelon of entry-level pure electric.

No.10 MG4

Ranked tenth, MG4 sold 70,800 units in pure retail sales in the first half of the year, purely relying on overseas market endorsement. This 100,000-level pure electric hatchback has been selling well in Europe for several years. It has ranked as the China-brand European sales champion for 11 consecutive years. Overseas sales share far exceeds domestic.

In the domestic market, MG4 began to gain volume gradually after its refresh last year. Rear-drive architecture and five-link independent suspension chassis quality are unique at the same price level. The MG4X version launched this year even downgraded semi-solid-state batteries. The technology普惠 (universal benefit) strategy was very effective. Domestic monthly sales have exceeded 10,000 for 9 consecutive months. However, hatchbacks themselves are a niche market in China. MG's brand voice is far less than mainstream autonomous brands. There will be no big breakthroughs domestically. Next, its incremental growth will still come from overseas. Maintaining steady state domestically is sufficient. It is a model that relies on the global market to amortize costs.

Summary

After reading the top ten ranking, you can see that the pure electric market has long passed the barbaric growth period where any car can be sold by just building it. The logic now is very clear. The low-end market is continuously shrinking. Consumption upgrading is the big trend. Old products that do not iterate quickly will be eliminated quickly. New products that truly hit user needs, have proper configurations, and reasonable prices can still break through against the trend even in an environment where the overall market is declining. Competition in the second half of the year will only be more intense. More new products will be concentrated on the market. The price war will continue. Looking at the ranking by the end of the year, the rankings may have to change one more time.

Recently, Geely Holding Group announced its performance for the first half of 2026, once again becoming the focus of industry attention.

Data shows that Geely Holding Group's total sales volume in the first half of 2026 reached 1,934,842 units, setting a new historical record. Among them, new energy vehicle sales reached 1,100,893 units, a year-on-year increase of 10%, with new energy penetration rate further rising to 56.9%. In the first half, Geely Automobile Holdings Limited (0175.HK) sold 1,422,958 units, setting a new high for the same period; new energy vehicle sales (including Geely, Lynk & Co, Zeekr) were 799,454 units, a year-on-year increase of 10%, with a new energy penetration rate of 56%.

According to CPCA data, Geely Automobile's domestic terminal retail sales volume in the first half of the year was 1.021 million units, ranking first in China's passenger car domestic sales for the first half of 2026, and also the only domestic brand to exceed sales of one million units.

However, to truly understand Geely's "new historical record" this time, one cannot only look at the total volume of 1.93 million units, nor stay only at the domestic first place of 1.021 million units. What is more worth asking is: Against the backdrop of slowing industry growth, divergent user demands, and intensifying global competition, what exactly does Geely rely on to beat the market?

It can be said that Geely's performance in the first half of the year was not just a refresh of sales records, but a concentrated realization of its long-term system capabilities once again.

In Geely's first-half performance report, several "Firsts" stood out especially.

Among them, Geely China Star sales reached 581,000 units, firmly holding the first place in domestic brand fuel vehicle sales; Zeekr delivered 178,000 units, a year-on-year increase of 97%, with delivery growth rate ranking first in the luxury new energy market. At the same time, Geely Xingyuan monthly sales broke through 50,000 units, cumulative sales exceeded 750,000 units since listing, continuously reigning as the sales champion across all brands and categories, becoming a genuine national hit.

These "Firsts" seem to come from different tracks, but together reveal an important characteristic of Geely's growth: running fast, and walking steadily. Among them, China Star stabilizes the fuel vehicle base, continuing to maintain leadership in the stock market; Zeekr accelerates upward breakthrough, and Xingyuan continues to scale up in the mainstream new energy market.

Fuel and new energy, mainstream and high-end, scale and value, different sectors are not simply a zero-sum game, but gradually forming a mutually supportive growth structure. This balance is precisely the most worthy part of attention in Geely's first-half performance.

Supporting this balanced growth, on one hand is a multi-brand lineup with clear positioning and wide coverage; on the other hand, it is the continuous deepening of the "One Geely" strategic integration.

Not long ago, Geely Holding Group Chairman Li Shufu publicly stated that they will orderly close, cancel, and merge relevant redundant entities of Geely Automobile Group Co., Ltd., focusing advantageous resources to strengthen the core listed platform of Geely Automobile Holdings Limited. This more precise resource allocation for different market cycles and user needs is also further improving the operating efficiency and anti-cycle ability of the entire group.

From this perspective, what Geely truly deserves attention to is not just how many "Firsts" were captured, but behind these "Firsts", a growth system balancing scale, structure, and efficiency is forming. This ability to hold the base while continuously opening up new volume is the key for Geely to traverse industry cycles and maintain long-term leadership.

Another important growth lever for Geely comes from the overseas market.

From the performance in the first half of the year, Geely's overseas business is entering an accelerated realization period. Its overseas sales reached 474,228 units, a year-on-year increase of 158%, exceeding the total export sales of 2025. More worth noting is that its overseas growth is not mainly relying on traditional fuel vehicles for volume, but simultaneously upgrading towards new energy and high-end. Its new energy product export sales in the first half were 277,000 units, a surge of 585% year-on-year, with new energy proportion reaching 58%. This means Geely's overseas business growth logic is gradually shifting to relying on new energy technology, product experience, and brand value to open up incremental space.

Among them, Geely Galaxy new energy products entered the top sales ranks in multiple overseas markets; Zeekr won championships in niche markets of countries such as Thailand, Malaysia, Mexico.

This global synergy is also reflected in the performance of other brands under Geely Holding Group. Among them, Volvo Cars sold 325,000 units in the first half, of which new energy sales were 161,000 units, a year-on-year increase of 3.8%, with new energy penetration rate 50%. Pure electric model deliveries grew for 9 consecutive months, and new energy transformation continued to breakthrough.

In addition, Polestar Cars sold 30,400 units in the first half, setting a new historical record, achieving sales breakthroughs in major markets such as the UK, Germany, and South Korea. Proton Cars sold 100,300 units in the first half, a year-on-year increase of 39.1%, creating the best sales performance since 2011. It is worth mentioning that the Proton e.MAS 7 PHEV launched in February of this year continued to sell well, leading the Malaysian plug-in hybrid niche market.

Of course, a new historical record is only an interim result. Another issue worth noting is, with Geely having already stood on a new step, what cards does it have in hand for the second half of the year?

From the currently released information, Geely's new product and technology offensive in the second half of the year remains dense. First is Geely Galaxy TT. As a mid-to-large pure electric sedan, its body length reaches 4999mm, wheelbase is 2920mm, and it will match the Qianli Haohan H7 assisted driving solution. From the product positioning perspective, Galaxy TT targets young consumers' needs for sports design, smart experience, and personality expression, and also means Geely Galaxy will further extend to the higher value pure electric sedan market.

While products break through upwards, Geely's technical base is also continuing to upgrade. On July 16, Geely Galaxy's global first "Thunder 16-in-1 Intelligent Electric Drive" is about to be launched, native adapted to 800V high voltage platform, and 16 categories of functional modules including motors, silicon carbide electronic control, whole vehicle thermal management, etc. are highly integrated. The "16-in-1" will also be systemically integrated to further optimize whole vehicle space, weight, energy consumption and cost, continuously enhancing Geely Galaxy's competitive barrier.

Additionally, the imminent arrival of Galaxy Warship 700 also means that Geely will officially enter the new track of plug-in hybrid hard-core SUVs, which combines growth potential and profit margins.

For an enterprise that has already stood at the forefront of the Chinese automobile market, "selling more" is only the first stage; how to improve efficiency while expanding scale, how to maintain business quality during new energy transformation, and how to replicate domestic competitiveness to the global market are the questions that must be answered to become a world-class automobile group. And Geely is steadily walking on this path of advanced development.

Editor's Note: Geely Group's performance in the first half of the year can be called bright, but in the automotive market where variables are ever-present, its challenges for the second half of the year remain.

On July 15th, Geely Holding Group released the mid-year sales performance report: Total vehicle sales for the group from January to June reached 1.93 million units, setting a new high for the same period in history; among them, new energy vehicle sales reached 1.1 million units, a year-on-year increase of 10%, with the new energy penetration rate climbing to 56.9%. This means that for every 100 cars sold by Geely Holding Group in the first half of the year, nearly 57 were new energy vehicles, and the group as a whole has entered the harvest period of electrification scale.

As the core listed entity under Geely Holdings, Geely Auto's sales reached 1.43 million units in the first half of the year, with new energy sales (including Geely, Lynk & Co, Zeekr) at 799,000 units, a year-on-year increase of 10%, and a new energy penetration rate of 56%. Sales data from the group to the core brand outline a traditional Chinese automaker that started with fuel vehicles, and in the background of intensifying industry stock competition, how to complete a structural transformation through a multi-brand matrix and global layout.

Multi-brand matrix synergy, new energy becomes the main axis of growth

Geely's ability to refresh records in the first half of the year was not pulled by a single brand, but the result of synergy between the three major brands Geely, Lynk & Co, and Zeekr in different sub-segments.

The Geely brand, which targets the mainstream home market, achieved cumulative sales of 1,100,373 units in the first half, of which the China Star series sold 580,580 units, continuing to firmly rank among the top sales of domestic brand fuel vehicles, playing the role of a "ballast" for the basic market. What truly drives the volume increase in new energy is Geely Galaxy—cumulative deliveries in the first half reached 519,793 units, with single-month sales in June at 108,206 units, a year-on-year increase of 20% and a month-on-month increase of 32%. The Star Wish under the Galaxy brand broke 50,000 units in a single month, with cumulative sales since launch exceeding 750,000 units, becoming the core product in Geely's new energy volume-selling camp.

Lynk & Co, positioned in the mid-to-high-end hybrid market, achieved cumulative sales of 144,215 units in the first half, with new energy vehicle sales at 93,597 units, and the proportion of new energy products reaching 65%, stabilizing the mid-to-high-end hybrid sub-market by relying on the EM-P hybrid family promoted by the simultaneous launch of three car models. Zeekr continued its strong performance on the high-end luxury track, delivering 178,370 units in the first half, a significant year-on-year increase of 97%; single-month deliveries in June were 35,169 units, a year-on-year increase of 111%, achieving consecutive five-month year-on-year and month-on-month double growth, with global cumulative deliveries officially breaking through 820,000 units.

From the perspective of the group as a whole, June single-month Geely Auto new energy sales reached 161,449 units, a year-on-year increase of 32% and a month-on-month increase of 21%, with new energy sales proportion of the group's total sales exceeding 67%—equivalent to nearly 7 out of every 10 Geely new cars sold being new energy vehicles. This structural change marks that Geely's "oil and electricity simultaneous promotion" transformation rhythm has entered a new stage dominated by new energy.

It is worth noting that Geely's new energy transformation is not at the expense of abandoning fuel vehicles. The China Star series still maintains strong competitiveness in the fuel vehicle market, and this "fuel ballast, new energy volume" dual-track strategy enabled Geely to hold its basic market share in the domestic auto market in the first half. Data from the China Passenger Car Association shows that in the ranking of narrow passenger vehicle manufacturer retail sales from January to June, Geely ranked first with 1.021 million units and an 11.7% share, being the only domestic brand to break the million-unit mark in the first half.

Overseas business leaps, globalization enters harvest period

If new energy penetration rate is the most eye-catching internal change in Geely's first half, then the explosion of export business is its most prominent external highlight.

Data shows that Geely Auto's first-half overseas export sales reached 474,228 units, a year-on-year increase of 158%—this number has already exceeded Geely's total export volume for the full year of 2025. June single-month overseas export sales broke the 100,000 unit threshold for the first time, reaching 102,874 units, with a year-on-year increase of 157% and a month-on-month increase of 21%, achieving consecutive six-month year-on-year and month-on-month double growth.

A more critical change lies in the export structure. In the first half, Geely's new energy product export sales were 277,189 units, surging 585% year-on-year, accounting for 58% of the total export volume. This means Geely's main overseas products have completed the switch from traditional fuel vehicles to new energy vehicles, with new energy products gradually becoming the core driving force for overseas market growth.

Geely Holding Group's overall global layout also landed at multiple points in the first half: Geely signed Swiss dealers to strengthen the European market, Lynk & Co 900 launched in Vietnam and Qatar, Geely Xingyuan EX2 began local production in Brazil, Binyue Cool launched in South Africa; Zeekr topped the Malaysia luxury pure electric sales list, 007 GT has launched in 16 European countries, flagship model Zeekr 9X plans to go to the Middle East in Q3, and will subsequently expand into US/Europe and Central Asian markets.

Overseas high-end brands also performed steadily. Volvo Cars first-half global sales were 325,000 units, with new energy sales at 161,000 units, a year-on-year increase of 3.8%, with new energy penetration rate reaching 50%, and pure electric vehicle deliveries growing for 9 consecutive months. Polestar first-half sales were 30,400 units, achieving sales breakthroughs in markets such as the UK, Germany, and South Korea, setting a new high for the brand at the same period in history. In the Southeast Asia and commercial vehicle sector, Proton first-half sales were 100,300 units, a year-on-year increase of 39.1%, achieving the best half-year performance since 2011; Farizon New Energy Commercial Vehicles first-half sales were 88,000 units, a year-on-year increase of 41.3%, with overseas export sales ranking at the forefront of the new energy commercial vehicle industry.

Geely Group's performance in the first half of the year can be called bright, but in the automotive market where variables are ever-present, its challenges for the second half of the year remain. Intensifying domestic car market stock competition and unrelenting price war pressure, Geely brand and Lynk & Co brand first-half cumulative sales declined year-on-year by 5% and 6% respectively, indicating that the fuel vehicle basic market still faces contraction pressure; and in the overseas market, geopolitical tensions, trade barriers, and the difficulty of localization operations will also rise synchronously with the expansion of export scale. Whether Geely can continue its growth momentum in the second half depends on the volume pace of Galaxy and Zeekr, the development progress of Middle East and European markets, and the balancing ability of resource allocation between fuel vehicles and new energy.

Geely Holding Group total sales reached 1,934,842 units in the first half of 2026, setting a new all-time record. New energy vehicle sales amounted to 1,100,893 units, up 10% year-on-year, with a penetration rate reaching 56.9%. In the first half, Geely Holding Group maintained a high-quality growth trend, accelerated internationalization and new energy transformation comprehensively, demonstrated development resilience across cycles, and outperformed the industry through steady operations.

In the first half, Geely Automobile Holdings Limited (0175.HK) sold 1,422,958 units, reaching a new high for the same period; New energy vehicle sales (including Geely, Lynk & Co, Zeekr) totaled 799,454 units, up 10% year-on-year, with a new energy penetration rate of 56%. Among them, Geely China Star sales reached 581,000 units, firmly holding the No. 1 spot among domestic brand fuel vehicles; Geely Galaxy sales reached 520,000 units, with multiple core products continuing to perform strongly; Lynk & Co sales reached 144,000 units, with new energy products accounting for 65%; Zeekr deliveries reached 178,000 units, up 97% year-on-year, with delivery growth rate ranking No. 1 in luxury new energy.

Geely Automobile's global expansion continued to break through, with overseas sales of 474,228 units in the first half, up 158% year-on-year, already exceeding the full-year 2025 export sales. Geely Automobile's overseas business accelerated towards high-end and new energy integration, with 277,000 units of new energy product exports in the first half, a surge of 585% year-on-year, accounting for 58% of new energy. Geely Galaxy new energy products firmly ranked in the top sales tier in multiple markets, while Zeekr took the championship in niche markets in multiple countries such as Thailand, Malaysia, and Mexico.

Star Wish will be produced at the Geely-Renault Brazil Plant

Volvo Cars (VOLCAR-B.ST) sold 325,000 units in the first half, of which new energy sales were 161,000 units, up 3.8% year-on-year, with a new energy penetration rate of 50%. Pure electric vehicle deliveries grew for 9 consecutive months, with new energy transformation continuing to break through.

Polestar Automotive (PSNY) sold 30,400 units in the first half, setting a new all-time record, achieving sales breakthroughs in major markets such as the UK, Germany, and South Korea.

Proton Cars sold 100,300 units in the first half, up 39.1% year-on-year, achieving the best sales performance since 2011. Besides maintaining steady growth in the fuel vehicle business, Proton also made progress in new energy transformation. The Proton e.MAS 7 PHEV launched in February this year continued to sell well, leading the Malaysia plug-in hybrid niche market.

Farizon New Energy Commercial Vehicle sold 88,000 units in the first half, up 41.3% year-on-year. Overseas export sales firmly ranked No. 1 in the new energy commercial vehicle industry, topping the new energy commercial vehicle markets in countries such as the UK, UAE, and Australia.

On the 40th anniversary of its founding, Geely Holding, led by the "Taizhou Declaration", deeply advanced the "One Geely, Fully Leading" 2030 Strategy. In the first half, facing a complex and changing market environment, Geely Holding Group continued to consolidate its leading position through steady and high-quality development, accelerating the realization of the enterprise vision of "leading the green intelligent mobility ecosystem".

Surprisingly, this year's World Cup soccer tournament actually had a 'negative impact' on car sales.

The market analysis report for June released by the CPCA mentioned that with the World Cup starting, the time and budget of car buyers were diverted. Implicitly, cars aren't selling well, and even the World Cup is to blame.

This is not just passing the buck. In the first half of this year, the China auto market was indeed very difficult, where any minor factor could affect final transactions.

According to data, national passenger car retail sales were 8.701 million units in the first half, a year-on-year drop of 20.2%. The drop in June alone widened to 23.2%. Statistics from CAAM also show that total vehicle sales including exports were 15.017 million units, a year-on-year decline of 4.1%.

Fortunately, just like a football match, halftime does not mean the end. In the first 100 matches of this World Cup, based on 90-minute results, 40 matches had different halftime win/draw/loss outcomes compared to the final result.

The second half for automakers has just begun. Whether they can rewrite the score depends on what cards each company holds. But one thing is unquestionable: Only leading automotive enterprises that seriously 'prepare' and have a stable 'chassis' have the opportunity to continue leading.

More Difficult Than Sales Decline is Profit Squeezing

A retail drop of 20.2% is already enough to catch the eye, but the more troublesome pressure compared to sales decline is hidden in the automakers' profit statements.

Data from the National Bureau of Statistics shows that in the first five months of this year, industrial enterprise profits above a certain scale nationwide increased by 18.8% year-on-year, while automobile manufacturing industry profits fell by 19.8%.

During the same period, the automobile industry achieved revenue of 420.96 billion yuan, a 1.4% year-on-year increase, but the profit margin was only 3.4%. Back in 2017, this figure was around 8%.

Revenue barely grew while profits plummeted, indicating that insufficient demand is only part of the pressure. Price competition continues, raw material prices like lithium carbonate and aluminum have risen, and R&D, channel, and marketing investments are hard to shrink synchronously with sales. For many automakers, even if cars are sold, the profit remaining on the balance sheet is decreasing.

This pressure is more intuitive when falling on specific enterprises.

In the first half, Li Auto delivered a cumulative 193,500 units, down 5.13% year-on-year, and saw single-month sales decline for two consecutive months; XPeng delivered 165,000 units, down 15.8% year-on-year. New force automakers that used to maintain high-speed growth are also beginning to face growth pressure brought by the expansion of sales volume bases and intensified product competition.

The situation on the profit side is even more severe.

On July 12, Seres released performance forecasts, expecting a net loss of 1.5 billion to 1.8 billion yuan in the first half, while the net profit for the same period last year was 2.941 billion yuan. This means its performance decreased by more than 4.4 billion yuan compared to the same period last year. Price hikes in raw materials such as memory chips and lithium carbonate have pushed up costs, compounded by book adjustments of certain existing assets, significantly impacting its profitability.

The pressure is also transmitting to the channel end. In June, the dealer inventory warning index reached 57.2%, continuing to remain above the prosperity-thriving line; more than 70% of dealer stores did not complete their half-year sales targets. Slower inventory turnover and expanded terminal discounts further compressed the profit space for dealers and automakers.

The new energy market is no exception either. The penetration rate of new energy in June has reached 62.8%, but new energy passenger car retail sales still dropped by 14% in the first half. The substitution of new energy for fuel vehicles continues, but no longer naturally equates to the total growth of the auto market.

Insufficient domestic market growth has also made exports an important direction for automakers to seek new growth and diversify operational pressure.

Exports Contribute Growth, Going Overseas Shifts to Local Operation

Data from CAAM shows that in the first half of the year, China's auto exports reached 5.096 million units, a 65.3% year-on-year increase; June alone exports were 1.037 million units, a 75.1% year-on-year increase, with monthly export volume standing at the million-unit level for the first time.

While domestic demand shrinks, exports have become an important fulcrum for many automakers to maintain scale. However, from exporting whole vehicles to building factories overseas to opening channels with international partners, the paths chosen by each company are not the same.

Chery remains the vanguard of exports. In the first half, Chery Group exported 943,800 units, accounting for nearly 70% of total sales; June alone saw exports of 191,100 units, breaking the record for single-month exports by Chinese automakers.

BYD's overseas focus is shifting from whole vehicle exports to local manufacturing. In the first half, BYD sold 789,400 units overseas, a 68% year-on-year increase; June overseas sales accounted for more than 40% of its total monthly sales. With factories in Brazil and Thailand coming into production successively, BYD is gradually spreading capacity 'beyond tariff barriers'.

Geely and Leapmotor's export growth rates are equally outstanding. Geely exported 474,200 units in the first half, a 158% increase year-on-year; first-half export volume has already exceeded that of the full year of 2025. Leapmotor utilized Stellantis' channels and factory layout to go overseas, exporting nearly 100,000 units in the first half, also exceeding the full previous year. Borrowing from a mature global system allowed Leapmotor to save the time needed to build its own channels and capacity.

SAIC's overseas sales in the first half were 735,000 units, a 48.7% year-on-year increase, accounting for about 36% of the group's total sales. Overseas manufacturing, channel, and brand systems accumulated over the years have become an important buffer in this round of domestic market adjustments.

Changan is also accelerating the transformation from product exports to local operations. The 2.0 version of the 'Sea Accepts Rivers' plan released in April proposed long-term, local, and systematic approaches, promoting global business extension into manufacturing, investment, service, and brand operations. With the landing of multiple results such as Brazilian President witnessing the Brazil factory production start, the 20,000th whole vehicle coming off the line at the Thailand factory, and Qiyuan Q05 launching in Uzbekistan, overseas localization layout is gradually showing results. In the first half, Changan delivered 402,000 units overseas, a 35.1% year-on-year increase, accounting for about one-third of the group's delivery volume.

In May, Changan reached a global official cooperation agreement with the Portuguese National Football Team. Carrying out sports marketing in the World Cup year can also be seen as a step where its overseas investment extends from channel construction to brand operations.

As the proportion of overseas sales in the enterprise's total portfolio continues to increase, export numbers are no longer the only standard for measuring the effectiveness of globalization.Tariff policies, certification standards, and consumption habit differences in different markets are significantly distinct. Channels, after-sales, local production, and brand building all require long-term investment, and may not directly translate into profits in the short term.

Therefore, in the second half of the year when evaluating automakers' overseas performance, sales volume is still the foundation, but local operation efficiency, brand recognition, and profit quality will become more important. Whether exports can truly precipitate into long-term growth depends on whether automakers can move from 'selling cars' to 'operating locally'.

Viewing Sales Proportion: Domestic Market Is Still the Main Battlefield

The rapid growth of overseas markets has not changed the basic proportion of the domestic market.

Data from CAAM shows that domestic car sales in the first half were 9.921 million units. Although down 21.1% year-on-year, the scale is still close to twice that of exports, accounting for about two-thirds of total auto sales. Calculated by half-year alone, one percentage point of market share is close to 100,000 units. No mainstream automaker would give up easily.

Domestic market competition is already fierce, but overseas giants have also not chosen to leave.

Data from the CPCA shows that in June, domestic retail of mainstream joint venture brand new energy passenger cars increased by 45% year-on-year. Volkswagen plans to launch more than 20 electrified models in China this year. The locally developed CEA electronic/electrical architecture has entered mass production with the first model, and subsequent models will also be launched successively within the year. As joint venture brands accelerate local R&D and new energy transformation, competition intensity in the domestic market will continue to increase.

Facing internal demand pressure, domestic independent brands are also looking for breakthrough points from different directions such as products, technology, organization, and capacity.

BYD stabilizes the sales basic disk while supplementing infrastructure. June sales reached 403,500 units, achieving year-on-year positive growth again; Megawatt flash charging is also starting to move from conferences to implementation, and charging networks are gradually spreading nationwide.

Geely is asking internal efficiency.Li Shufu proposed 'stopping, merging, transferring, and transforming' redundant entities, compressing repeated brand and R&D investments, and concentrating resources further on main platforms. In the first half, Geely stabilized overall sales volume with 1.423 million units.

New forces in the growth phase have also not stopped expanding. Leapmotor delivered 356,500 units in the first half, a 60% year-on-year increase, becoming the new force with the highest sales volume. The A10 launched in March entered the top three in SUV sales in three months, and the flagship model D19 cut into the fiercely competitive mid-to-large SUV market, promoting volume sales and brand elevation along two lines simultaneously.

Xiaomi delivered more than 180,000 units cumulatively in the first half. Compared to the 550,000 annual target set at the beginning of the year, monthly delivery volume in the second half needs to be increased to above 60,000. Expanding capacity and accelerating deliveries will become the core task of its second half.

Changan Auto achieved deliveries of 1.1956 million units in the first half, with 402,000 units delivered overseas (up 35.1% year-on-year), and new energy deliveries of 456,000 units (up 5.2% year-on-year). In the second half of this year, Changan Auto will concentrate on promoting product launches and technology implementation, continuously promoting the strategic synergy of Avatr and Deepal frontend independence and backend integration, while accelerating the application of self-developed intelligent technology.Currently, the Tiandu intelligent driving assistance function has been successively applied to Qiyuan Q07, A06, and the new Q05. According to the mass production plan announced in May this year, the Qiyuan Q06 launching in the second half will be equipped with Tiandu Pilot on all models, becoming an important node for Changan's self-developed assisted driving solution to further expand its application.

The domestic market still has a semi-annual scale of nearly 10 million units, and replacement demand will not disappear into thin air. The issue is, facing the increasingly dense new car launches and continuously increasing price pressure, automakers not only need to compete for sales but also need to try to repair profits.

In the second half, whether new cars can quickly gain volume, whether technology can be converted into experiences consumers are willing to pay for, and whether scale growth can bring operational efficiency improvements will jointly determine the performance of automakers in the domestic market.

Final Remarks:

In the first half of this year, the pressure on China's auto industry was reflected simultaneously at both sales and profit ends.Exports grew rapidly, providing a new scale fulcrum for automakers; but the domestic market still determines the basic disk of most enterprises and is the most intensely competitive main battlefield in the second half of the year.

The key to follow lies in whether overseas layout can precipitate into continuous orders and local operating capabilities, whether domestic new products can form scale delivery, and whether technology investment can truly be converted into revenue and profit.

For automakers that have completed a certain amount of preliminary layout, subsequent performance depends on whether products, technology, and global reserve can be timely redeemed for sales and income.

For the entire industry, simply pursuing sales volume is no longer enough; delivery speed, cost control, and profit quality will become equally important.

Halftime has passed, but the outcome has not yet been determined.

This year is a milestone year for Chinese automakers going global. According to new car sales statistics from the European Automobile Manufacturers Association, in May, sales of Chinese brand cars in Europe surpassed Japanese brands for the first time.

Following this, SAIC Group also sparked a wave of enthusiasm in the UK. On July 8, SAIC MG held a technology conference in London, bringing the most cutting-edge intelligent and electric technology back to the brand's birthplace; On July 9, SAIC MG appeared at the Goodwood Festival of Speed, where two concept cars, the two-door electric compact MG Go! and the coupe SUV Cyber Concept, shone brightly. The heritage of a century-old brand and the strength of a technological ace sparked sparks, as Chinese automakers ignite the global automotive market with intelligent and electric innovation technologies.

Scene of MG UK Technology Conference

At the same time, SAIC's overseas market also submitted an excellent half-year exam report: Sales overseas in June reached 146,000 vehicles, a year-on-year surge of 61.2%, setting a historical high. In the first half of this year, SAIC's overseas market cumulative sales reached 735,000 vehicles, a strong increase of 48.7% year-on-year, ranking among the leaders in the industry. Driven by the "Glocal Strategy", SAIC is transforming from selling cars to full-chain global expansion, continuously deepening overseas value chain construction.

Comprehensive Technological Advancement, Polishing the Product Name Card

At the technical brand level, SAIC is systematically building global intelligent labels for "Hybrid+ Hybrid Technology", "SolidCore Solid/Semi-Solid Battery Technology", and "i-Smart Intelligent Driving Technology". At the UK technology conference, the MG brand showcased MG Plug-in Hybrid+ Hybrid, SolidCore Semi-Solid Battery, and MG Parking Smart Cockpit and Assistive Driving. In addition, MG became the first automotive brand globally to achieve mass production of semi-solid batteries; The IM AD intelligent driving system of IM Motors has covered five continents globally; The global activation volume of the overseas travel i-Smart system has exceeded one million.

Scene of MG UK Technology Conference

At the Goodwood Festival of Speed, the MG brand unveiled globally two concept models: the two-door electric compact MG Go! and the coupe SUV Cyber Concept, stunning the entire audience. The design inspiration for the two models comes from MGB GT, MG 6 R4 Group B Rally Cars, MG EX181 Streamlined Racing Cars, and other classic brand models, showcasing brand heritage and future vision.

MG GO! Concept Car

MG Cyber Concept Concept Car

At the product implementation level, SAIC will achieve massive product global deployment in the next three years: Full powertrains cover ICE, HEV, PHEV, EV four forms, adapting to energy policies and consumption habits of various countries; At the same time, SAIC is creating over ten new overseas models including SUV, sedan, MPV, pickup, comprehensively covering household, commuting, high-end driving, long-distance travel, outdoor and other full scenario needs, connecting global mainstream market segments.

From Frankfurt to London, from technology exhibitions to runways, SAIC MG advances in leaps and bounds, showcasing a new name card of Chinese intelligent manufacturing to the world with more cutting-edge technology and newer models.

Deepening Regional Markets, Serving Global Users

While technology sails overseas, the pace of SAIC deepening the global market is also accelerating. Currently, SAIC's products and services cover over 170 countries and regions worldwide, forming 1 "300,000-class" market (Europe) and 5 "50,000-class" markets (Americas, Middle East, Australia & New Zealand, ASEAN, South Asia), with overseas cumulative sales exceeding 7 million vehicles.

Europe is SAIC's largest overseas market. The MG brand has won the "Chinese Brand European Sales Champion" for 11 consecutive years and has become the first Chinese automotive brand to exceed 1 million cumulative sales in Europe. In the first half of this year, MG brand sales in Europe exceeded 190,000 vehicles, a year-on-year growth of over 20%. On July 1, MG brand established a direct sales company in Belgium and Luxembourg, which is also an important step for SAIC to implement the "Glocal Strategy" and take root in local Europe. From leading Chinese automotive brands in sales scale to deepening the European market and building long-term user relationships, MG is realizing a transformation from "selling cars" to "managing", thereby better improving service capabilities, listening to customer needs, achieving agile responses to market dynamics, and precise control of customer experiences.

MG Brand Appears at Goodwood Festival of Speed

Not only in Europe, SAIC is blooming in multiple points globally by continuously deepening local markets. In Thailand, the MG brand launched the new service strategy "MG SMILE" in May, solving local user concerns such as price transparency, dealer commitment fulfillment, and consumer rights protection with a full-process service standard system, and providing lifetime warranty for three-electric systems for pure electric models. With the support of new service standards and lifetime warranty policies, the new MG URBAN went on sale in Thailand on June 24, bringing high-quality products and services of Chinese intelligent manufacturing to more Thai users.

MG URBAN

In Central Asia, in June this year, multiple models such as SAIC Volkswagen Tiguan L Pro, Passat Pro, Teramont X, Teramont Pro, T-Roc New, Lavida New entered the Uzbekistan market, achieving the "zero breakthrough" for SAIC Volkswagen in the Central Asian market. Previously, the SAIC Group Almaty MG Flagship Store officially opened in April this year, SAIC joined hands with Allur, Kazakhstan's largest automotive production and assembly enterprise to achieve localized production and model adaptation for customer needs. The two brands join hands to explore the Central Asian map, providing more intelligent models and higher-level services for local consumers.

Good news also came from the commercial vehicle sector. Recently, SAIC Hongyan formally reached a strategic cooperation agreement with a top port major customer in Thailand for 1,000 new energy heavy trucks. The first batch of complete vehicles has completed packing and boarded ships in batches, setting off from domestic production bases to Thailand. This also marks that SAIC Hongyan, relying on independent core three-electric technologies, full-scenario customization capabilities, and a comprehensive overseas local service system, breaks the monopoly of foreign brands in the Thai heavy truck market, showcasing the complete industrial chain of Chinese commercial vehicles and the hard power of green intelligent manufacturing to the world.

From monthly sales breaking the best historical record to technology label formation and localization deepening landing, behind SAIC's overseas market report card is the systemic effectiveness of the Glocal Strategy "Global Automotive Brand + Localized System Ecosystem". Facing the future, SAIC will continuously accelerate the transformation from complete vehicle overseas to value chain overseas, writing a new chapter of Chinese intelligent manufacturing in the global automotive industry landscape.

GAC Group released a half-year performance report for 2026. The numbers are quite shocking — net loss for the first half estimated at 4.06 billion to 4.57 billion yuan. The net profit after deducting non-recurring gains and losses was even worse, with a loss of 4.8 billion to 5.6 billion yuan. More than 4 billion yuan, losing over 20 million yuan per day, it doesn't look very ideal.

But look at another set of numbers — GAC sold 773,100 vehicles in the first half, a year-on-year increase of 2.35%. New energy vehicle sales accounted for over 60%. Independent brands sold 346,000 vehicles, a surge of 35.69%. AION was even more fierce, 181,600 vehicles, a year-on-year increase of 67.08%. Overseas exports 121,500 vehicles, a year-on-year increase of 132%, the semi-annual export scale is already close to last year's full year level. Sales are up, new energy transformation is accelerating, and exports are doubling — but the books show an even bigger loss. How is this account calculated?

 GAC Group

What does the official say?

GAC's announcement was very straightforward, three reasons:

First, domestic market competition intensified, independent brands continued to increase sales investment, plus changes in product sales structure, and rising upstream raw material costs, leading to a decline in independent brand profits.

Second, joint venture brands are facing operational pressure. Specifically, terminal sales decline, continued increase in sales investment, rising raw materials, etc., are all important factors, and the company's investment income decreased year-on-year.

Reason for Loss 

Third, exchange rate fluctuations caused exchange losses, adding another blow. Obviously, GAC Group gave a relatively clear interpretation of the reasons for the loss in the first half.

To translate, it might be that independent brand profits are not as high as before, joint venture brands are under greater pressure, and exchange rates also caused a certain loss to profits.

Combining all the above factors, GAC Group is expected to incur a loss in the first half of 2026. Moreover, the loss amount is expected to reach 4.06 billion to 4.57 billion yuan, which is quite high.

However, Car Universe World believes that if you only focus on the word "loss", you might miss the real story.

Loss Forecast Announcement 

Joint Ventures: One "Under Pressure", One "Steady"

GAC Group official data shows, GAC Honda sold 68,300 vehicles in the first half, a year-on-year decline of 55.82%, almost 60% down. June single month 14,000 vehicles, although it increased more than 50% month-on-month, it fell 53% year-on-year.

The joint venture giant that used to sell 700,000 annually, now the average monthly sales of the first half is over 10,000 units. Accord, Fit, Vezel, Integra these classic models, monthly sales generally not as high as before.

Obviously, from the sales perspective, in the first half of 2026, GAC Honda still declined significantly, reaching over 50%, bearing a certain amount of pressure.

Production and Sales Express 

But the performance of GAC Toyota is different, the overall performance is still steady. Moreover, under the situation that domestic car market joint venture brands are under pressure overall, its sales volume is stable and rising.

GAC Group official data shows, in the first half of 2025 GAC Toyota sold 356,000 vehicles, monthly average sales close to 60,000 units. Year-on-year increase 3.29%. March, April, May for three consecutive months topped the sales list of joint venture car companies. July 2nd, GAC Toyota also welcomed the 10 millionth mass-produced vehicle rolling off the assembly line, joining the "million-unit level large factory".

Moreover, Car Universe World found, supporting GAC Toyota is not low-price volume-selling cars, but the Camry, Highlander, Sienna three major flagships continuing to exert effort, smart electric hybrid double engine vehicle proportion reached 54% . Boxi brand sold 52,000 units in the first half, Boxi 3X consecutive 10 months holding joint venture pure electric sales champion.

One continues to bear pressure, one steady, this joint venture card, GAC has not finished playing yet.

 Boxi 7

Independent and Overseas Markets, The Real Highlights

Car Universe World believes, if there is anything eye-catching in GAC's first-half performance report, it must be the overseas market and the surge in independent sales.

Official data shows, first half of 2026, GAC Trumpchi cumulative sales 164,000 units. Compared to the same period last year, sales increased by 12.36%.

AION rose even harder. Official data shows, first half of 2026, GAC AION cumulative sales 181,000 units. Compared to the same period last year, sales increased by 67.08%.

In terms of overseas markets, first half independent brand exports 121,500 vehicles, year-on-year growth 132%, semi-annual export scale already close to last year's full year. Americas, Asia-Pacific, Middle East, Africa, Europe five major regions simultaneously achieved high-speed growth.

 Trumpchi E8

Mexican market, AION ES and AION UT both entered the top ten in new energy BEV sales. Bolivia, GAC brand consecutive months holding China brand passenger car sales champion. Singapore, Thailand, Malaysia, Indonesia — GAC's overseas map is blossoming in multiple points.

GAC's overseas target set at the beginning of the year was 250,000 vehicles for the full year, striving for 300,000 vehicles. First half completed 121,500 vehicles, completion rate close to half. When the domestic market is too hard to compete, overseas became GAC's strongest growth curve.

 AION N60

The Account of Transformation, Cannot Look Only at the Present

The "Panyu Action" launched in 2025 is being implemented step by step.

Headquarters moved to Panyu, closer to the production frontline. Feng Xingya said an interesting sentence — "We moved the office to the place closest to the gunfire, so that those who hear the gunfire can call for it." Business Unit (BU) restructuring finished, Hyper AION BU formed first, January 2026 Trumpchi BU also established. GAC independent brands have formed a new operating architecture centered on BU.

Cooperation with Huawei also produced results. Jointly created high-end brand "Qijing" first model GT7, launched in Hangzhou on June 26th. Price 209,900 to 329,900 yuan, launched 24 hours big deposit orders broke 5200 units, Post-90s, Post-00s user proportion over 60%. Pre-sale 5 hours orders broke 10,000. 90 cities nationwide 300 stores gradually launched.

Qijing GT7 is equipped with Huawei Qiankun Intelligent Driving ADS 5. This is GAC's first car with deep cooperation with Huawei, and also a hard battle facing the market after the "Panyu Action".

These moves are all "money" in the short term — R&D needs money, channels need money, brand building needs money. But looking at a longer time dimension, these investments are storing power for the next stage. GAC positioned 2026 as the "Internal Renovation" critical stage, likely this is the meaning — first solidify the foundation, then talk about building high-rise buildings.

 AION N60 

Conclusion of This Article:

GAC's full-year target set at the beginning of the year was 2 million vehicles, first half completion rate less than 40%. Second half needs to sell nearly 1.23 million vehicles, monthly average over 200,000 vehicles. Under the current situation of joint venture pressure and intensifying new energy competition, how hard this task is, no need to say more.

But Car Universe World believes, the cards GAC holds are not finished playing yet. Joint ventures have GAC Toyota stabilizing, independent brands have AION and Trumpchi rushing, overseas releasing volume, Qijing just started.

How to play these cards, when to play them, perhaps will become an important factor for GAC Group when to walk out of the pain of transformation. These, we still let time give an answer.

Transformation is always bitter first then sweet, and never looking only at the present. What do you think? Let's chat in the comments.

Statement: This article involves relevant events, originating from brand official or authoritative media messages, for reference only, specific based on official information. If there are information, data discrepancies caused by typos, based on official information. Hope everyone looks rationally, do not believe rumors, do not spread rumors.

Article Statement:

This article is original writing of Car Universe World, reviewed by Ling Qing/Liu Shuai, Total Issue 14186, some pictures from the internet, marked source data and related materials are all citations. Car Universe World original copyright owned, infringement will be investigated.

In the past two years of the Chinese auto market, price wars, technology wars, and global expansion wars have advanced intertwined. In the first half of 2026, as these variables accelerate simultaneously, the complexity and intensity of market competition have also been pushed to a new historical height. Looking back at the first half of 2026, the Chinese auto market was full of magical colors. The density of new car launches and the intensity of upgrades have once again refreshed external cognition.

Under such a competitive rhythm, hit products are becoming fewer. Products that can maintain continuous global hot sales, keep monthly sales exceeding 10,000, and maintain high heat and word-of-mouth are extremely rare.

Deepal S05 is one of this "very small number" camp.

According to the latest June global sales data released by Deepal S05, the June global sales achieved 18,369 units, a year-on-year increase of 78.86%.

Not only that, Deepal S05 also won the sales champion of 120,000-180,000 RMB-level compact SUVs for 4 consecutive months from March to June this year. Its global hot sales map has already covered 73 countries and regions worldwide, and the global cumulative sales have broken through 240,000 units.

Just looking at the data, this series of numbers is enough to explain the market's recognition of Deepal S05. You should know that currently, the vast majority of products generally face the "Valley of Death" effect. The hot sales cycle of a new car is extremely short, while Deepal S05 has achieved monthly sales exceeding 10,000, continuous topping, and fully blooming results domestically and globally.

If numbers are just the result, then what is truly worth questioning is clearly what Deepal S05 got right behind this set of hot sales data?

In our opinion, there are three key passwords for hot sales behind this. The first is the satisfaction of rigid demand in product power.

In the compact new energy SUV sub-market, although market choices are rich, with layout from independent to joint ventures, the product power involution around configurations, prices, materials, etc., is arguably fierce, but Deepal S05 did not blindly pile materials nor obsess on showing off skills. Instead, it anchored the highest frequency, most real vehicle usage scenarios for users, spending every bit of cost on the "edge" users can perceive.

In terms of range, compared to the mainstream 500 km level of most products in the same price range, Deepal S05's pure electric range can reach up to 620 km. For complex climates, Deepal S05 is also equipped with the world-first Micro-core High-Frequency Pulse Heating Technology and Heat Pump Air Conditioning System, which can effectively solve the problem of range attenuation in low temperatures.

In terms of recharging, Deepal S05 directly standardizes 3C supercharging technology across the entire series, requiring only 15 minutes to complete SOC 30%-80% energy replenishment. In terms of safety, Deepal S05 also equips the entire series with CATL + Golden Bell Battery technology. Safety certifications far exceed new national standards, building the most basic trust foundation for users with unseen hard power.

In terms of space, relying on the 2880mm class-leaping wheelbase and CTV body-battery integration technology, seating space close to a mid-size SUV was achieved within the size of a compact SUV. Plus the storage combination of a 159L front trunk and a 492L trunk, Deepal S05 has written the two words "practical" into every detail.

Not greedy for many, not seeking complete, aiming for rigid demand, achieving the best in class in the scenarios users use most frequently. This is exactly the product philosophy of Deepal S05 standing out in configuration involution.

The second is Deepal Automobile's forward-looking global vision and agile global layout speed.

In the new energy compact SUV sub-market, the vast majority of Chinese brands still focus their focus on the stock game in the domestic market, and overseas strategies often stay in the "long-term planning" stage. But Deepal S05, based on a globally unified manufacturing and quality control system, quickly advanced into 73 countries and regions worldwide in just over a year.

From Southeast Asia to Middle East and Africa, from Central and South America to European core markets. The pace of steps, the extent of coverage, is almost impossible to find a second sample in the same class of models.

Beyond speed, depth is also worth paying attention to. In the overseas market, Deepal S05 also won multiple authoritative recognitions such as the German iF Design Award, Thailand Annual Best Rear-Wheel Drive Compact Electric SUV, Chile Autocosmos 2026 Best Recommended Model, FIPA Americas Automotive Journalists Association Annual Hybrid Model Award.

These authoritative awards from different regions and different evaluation systems all point to one conclusion: Deepal S05's product strength can stand up to the most rigorous scrutiny globally. According to planning, Deepal S05 will enter 150+ countries and regions worldwide in the future. The continuous expansion of the global map means that the Deepal S05 phenomenon of monthly sales exceeding 10,000 and continuous hot sales will be the norm.

The third is the dissemination at the cultural level and the satisfaction of emotional value.

Current market competition is no longer just a simple battle of product power, especially when the rise of the main young consumer army, the satisfaction of emotional value has also become an important part of each car company's competition soft power. For this form of competition, Deepal S05 also had insight early on.

In May this year, Deepal Automobile officially signed to become the global official partner of the Portugal National Team. At the Lisbon announcement site, Deepal Automobile delivered Deepal S05 to the team and simultaneously launched a 1,000 km Europe long-term test.

With sports spirit as the emotional link, under the hot promotion of the World Cup, Deepal S05 not only won more market exposure but also further solidified the global consumer market's image cognition of its "global flagship product". This will also form key empowerment for its upcoming global journey.

In summary, product competitiveness lays the foundation, global map expands increment, product emotional value reversely empowers hard power. Three layers advance, linked rings. This itself is a complete hot sales closed loop. And this closed loop, undoubtedly, will also usher in continuous self-reinforcement and expansion as Deepal S05 enters more countries and regions, the global user base continues to expand, and product power continues to evolve.

Recently, Kia China announced that sales in June 2026 reached 25,791 units, with a month-over-month growth of 15.8% and a year-over-year growth of 11%. Single-month sales exceeded 20,000 units for 3 consecutive months, and cumulative sales from January to June reached 118,114 units. In the first half of this year, facing the overall downward pressure in the auto industry, Kia China firmly implemented the "In China, For China" strategy. Through measures such as strengthening brand image, improving product competitiveness, expanding service channels, and optimizing user experience, it achieved double growth in sales year-over-year and month-over-month for 2 consecutive months, showcasing steady development momentum and strong corporate resilience.

Meanwhile, facing the environment of overall pressure in the global auto market, Kia's global sales in June reached 295,720 units, and cumulative sales in the first half reached 1,630,988 units, growing 2.7% year-over-year against the trend, setting a new high for first-half sales again! Among them, Sportage and Seltos ranked first and second in Kia's global single-model sales with 303,203 units and 177,148 units respectively.

Currently, the 2026 US-Mexico-Canada World Cup is in full swing. As an official partner cooperating with the International Football Federation (FIFA) for nearly 20 years, Kia not only sponsored 660 operational vehicles for this tournament but also brought a "World Cup Co-branded Gift" to Chinese consumers: Consumers who visit the store for a test drive before July 31 can participate in the lottery to win prizes such as a purchase voucher worth up to 5,000 yuan, a Kia x World Cup x Adidas merchandise set; sharing test drive experiences, one can also receive a limited edition Kia x World Cup x Adidas official football. At the same time, Kia also provided a 2,500 yuan purchase tax subsidy for 3 "Fixed Price" models: New Sportage, K3, and Sonet, and gifted a 2,000 yuan fuel card / electric card to customer groups including university graduates, newlyweds, newborn families, as well as faculty, medical staff, media practitioners, etc., fully demonstrating full sincerity towards Chinese consumers.

It is worth mentioning that as a partner of the International Football Federation (FIFA) for nearly 20 years, Kia possesses exclusive rights to select official ball boys and girls globally. For this World Cup, Kia selected 104 teenagers aged 10 to 14 to serve as ball bearers globally. On July 3, the 2026 US-Mexico-Canada World Cup Knockout stage Round of 16 match between Spain and Austria was held at Los Angeles Stadium. Under the cheers of tens of thousands of fans, 11-year-old girl Liu Shuying, the only Chinese official ball bearer of this World Cup, walked onto the green field with world's top players and personally handed the match ball to the referee's hands.

In the first half of this year, from the nationwide "Fixed Price" car purchasing policy launched at the beginning of the new year to fuel card subsidies, purchase tax reductions, and multiple privileges successively implemented, Kia China continued to reward Chinese consumers with super-value car purchasing plans, effectively lowering consumers' car buying threshold, making prices more transparent, and car buying more worry-free. Thanks to a series of super-value car purchasing policies, sales of Kia's star models grew significantly compared to the same period last year. This also validates Kia's reliable global quality, excellent driving and riding comfort, outstanding fuel economy, and other advantages, which are winning recognition and trust from more and more Chinese consumers.

In addition to actively integrating global top-tier event resources, Kia China also deeply cultivates domestic Chinese sporting events. In the first half of this year, Kia China has sponsored the Yancheng Marathon for 6 consecutive years and became the main sponsor of the "Jiangsu Super League" Yancheng Team for 2 consecutive years. Not only providing all-round support for Yancheng local events, it also organized official volunteer shuttle fleets, invited children from special groups to watch Jiangsu Super League matches, planned the "Little Ball Boy Dreams Come True" Program, and created exclusive experience activities for car owner families such as free viewing, factory visits, new car test drives, extending the brand warmth to every participant inside and outside the venue, continuously conveying a positive and warm brand image.

In terms of products, Kia China combined Kia's global quality and China's intelligent technology advantages, using high-quality, high-intelligence, and high-value products to respond to Chinese users' diverse expectations for quality mobility. In April this year, the "Global Urban SUV Pioneer" with global cumulative sales exceeding 8 million units, the New Sportage from Kia, was relaunched. The new car inherited "Sportage"'s 33-year history and 5 generations of models' reliable quality, comprehensively improving in styling design, space experience, intelligent technology, safety configuration and other dimensions. The "Renewed Fixed Price" starts from as low as 109,900 yuan, and the main-selling 1.5T Prestige Edition "Fixed Price" is only 124,900 yuan. Compared to the old model, 13 configuration upgrades were implemented, further meeting Chinese users' needs for more comfortable and intelligent mobility.

It is worth noting that the Kia New Sportage has been on the market for over 100 days and still maintains the excellent result of "zero customer complaints" for new car quality. This not only proves its solid product quality but also highlights the world-leading manufacturing standards and quality control strength of Kia China No. 3 Factory. As Kia's global core production base, Kia China No. 3 Factory fully benchmarks against international first-class manufacturing standards, introducing advanced tools such as Kia Global Quality Management System (GQMS), MES Manufacturing Execution System, and IQIS Production Finish System, building a full lifecycle quality management system covering R&D, manufacturing to after-sales. It is precisely by embedding rigorous quality control standards throughout the entire production process that at the "2026 China Automotive Product Quality Trend Symposium" jointly hosted by China Auto Quality Network and Kearney Consulting, Kia China No. 3 Factory was rated as "2025 Automotive Quality Excellence Factory", highlighting its benchmark status in manufacturing quality among joint-venture enterprises.

It is also worth mentioning that on June 5, at the Israel "2026 Annual Car" selection, the Kia New Sportage stood out among competitors and won the "Annual Compact SUV" award, validating its comprehensively advanced product value and leading product power in the same class again!

In terms of channel construction, Kia China persisted in promoting the expansion and improvement of terminal channels, continuously deepening cooperation with large dealer groups represented by United Crown, Blue Pool, Jiangsu Zhixing, Guoao, Zhongchi, etc., strengthening service networks and promoting the deployment of standard services. In the first half of this year, Kia China partnered with partners to add 28 new outlets. In particular, the first Global SI 2.0 Standard Flagship Store jointly built by Kia and Longjiu Group in Guangxi since April this year not only filled the gap in high-quality mobility services in the Guangxi region but also brought efficient and convenient comprehensive service experiences to local users.

For a long time, Kia China has always regarded customer service as the cornerstone of the brand's long-termism. In the first half of this year, relying on globally unified high-quality service standards, Kia China continuously optimized the service ecosystem covering pre-sales, in-sales, and after-sales stages, creating high-quality service experiences for the full lifecycle. In pre-sales and in-sales stages, Kia China optimized customer experiences around key touchpoints such as store visits, test drives, signing, and delivery, gaining wide trust from consumers and industry authoritative institutions. In the 2026 China Purchase Customer Experience Index Research SM (PXI) released by J.D. Power, Kia scored 806 in Purchase Customer Experience Score, ranking fourth in mainstream traditional energy brands and second in joint-venture brands, continuously entering the top five mainstream brands and top two joint-venture brands of this list, showcasing deep accumulation and leading strength in user service and car buying experience fields.

（Source: J.D. Power China Purchase Customer Experience Index Research SM (PXI)）

In the after-sales service field, Kia China continuously brought more efficient and higher-quality service experiences to users around service management system upgrades, service quality control optimization, service facility implementation, and application. At the same time, by regularly holding Service Consultant Skills Competitions and Maintenance Technician Skills Competitions, Kia China continuously improved the service level of its service teams through the method of "promoting skills through competition, service upgrade". At the 12th Kia Global Skills Competition held this year, Maintenance Technician Guo Wenlei from Jinan Jinwantong Store won the overall silver medal of the competition, fully demonstrating Kia China's maintenance technicians' solid professional foundation and excellent service capabilities.

In the first half of this year, Kia China continued to consolidate the development pattern where domestic and foreign sales progressed together and continuously expanded global export business. To date, Kia China has cumulatively exported vehicles exceeding 617,000 units, with export sales exceeding 6.79 billion US dollars, building an export matrix consisting of 6 models including EV5, Sportage, Seltos, K5, Cerato, and Rio, covering 91 countries and regions worldwide including Australia, Mexico, Saudi Arabia, etc. Engine exports also achieved remarkable results. In June, 7,491 units of engines were exported, with cumulative exports of about 531,000 units, sold to countries such as Russia, Czech Republic, Slovakia, South Korea, Vietnam, Malaysia, India, Kazakhstan, Turkey.

In addition, in the environment of overall volatility and adjustment in the auto industry, Kia China firmly implemented the people-oriented long-term development philosophy, focusing on building a workplace culture of harmony between enterprise and employees, mutual empowerment. At the Jiangsu Provincial Corporate Culture Excellent Results Launch Event held in April this year, Kia China won the "2024-2025 Jiangsu Provincial Corporate Culture Excellent Results First Prize" with the project "Building a New Communication Engine to Achieve Cultural Aggregation and Leap" for systematic innovation and excellent results in the field of corporate culture, becoming a benchmark example for corporate culture construction in joint-venture enterprises.

Deeply cultivating the Chinese market for 24 years, Kia China has cumulatively gained the trust of over 6.85 million users. In the future, Kia China will firmly implement the "In China, For China" development strategy, continuously improve in dimensions such as brand value, product quality, channel network, and service experience, bringing travel experiences far exceeding expectations to more Chinese consumers.

The global automotive industry is welcoming a deep transformation towards electrification, intelligence, and globalization. Industry competition is no longer limited to product comparisons, but extends to an all-around contest in technological R&D, brand building, industrial chain layout, and overseas markets. As a backbone domestic central state-owned automotive enterprise, Dongfeng Motor is steadily advancing the "Oriental Wind 2030" strategy. In 2026, the opening year of the "15th Five-Year Plan" development plan, relying on cutting-edge technologies, diverse new energy products, and a global layout, the market performance in the first half of the year was brilliant, achieving sales "five wins", highlighting development resilience in fierce industry competition, and carving out a high-quality development path towards new technologies, upward growth, and the globe.

In the first half of 2026, Dongfeng Motor's cumulative total vehicle sales reached 1.021 million units, with all five core indicators outperforming the industry benchmark. Overall sales growth rate was 1.1 percentage points better than the industry; domestic market cumulative sales were 831,000 units, growth rate 9.6 percentage points higher than the industry, firmly stabilizing the local base; new energy vehicle sales reached 493,000 units, up 27.5% year-on-year, growth rate leading the industry by 21.2 percentage points, showing significant results in green transformation; independent brand sales reached 725,000 units, up 13.6% year-on-year, growth rate exceeding the industry by 13.2 percentage points, with the independent upward strategy landing and proving effective; overseas exports surged 97% year-on-year, global layout entering a rapid realization phase. These bright data points are not short-term market dividends, but the result of Dongfeng's long-term deep cultivation in intelligent self-research, green tracks, and global channels.

2026 is designated as Dongfeng Motor's "Technology Realization Year". The enterprise takes the "Tianyuan Intelligence" plan as a key driver, continuously breaking through intelligent core technologies and building an autonomous and controllable intelligent car underlying system. In the cockpit field, Dongfeng launched a complete Tianyuan Smart Cockpit product matrix, covering all sub-segments from high-end to mainstream. Among them, Tianyuan Smart Cockpit Plus is the first domestic integrated cockpit and driving platform, integrating 3D immersive vehicle control interaction and intelligent driving SR rendering technology, equipped with a self-developed AI large model, creating a new generation of intelligent cockpits that are intuitive, easy to understand, and convenient to operate, to be batch-mounted on domestic chip benchmark models. In the AI field, the self-developed "Taiji Large Model" passed the Generative AI filing with the National Cyberspace Administration, deeply collaborating with the Tianyuan vehicle architecture and vehicle operating system, building a smart security defense line while implementing AI in vehicles. At the same time, Dongfeng released the OpenWorld Multimodal Real Road Dataset Open Plan, opening massive real-world road data to the industry, providing important support for autonomous driving world models and vehicle embodied intelligence R&D, assisting the coordinated development of the domestic intelligent driving industry.

Automotive-grade chips are the core hardware foundation of intelligence. Dongfeng continues to attack chip domestication, with multiple self-developed products filling domestic blanks. The all-domestic high-performance automotive MCU chip DF30 completed verification, adapted for engine ECU, and has been mounted on Epai 007, Mengshi M817, and other models to promote mass production; the automotive high-side driver chip INH025X performance benchmarks international top products, selected in the central enterprise science and technology innovation results catalog, cumulative installations over 350,000 units, significantly reducing dependence on foreign core components. Intelligent upgrades were simultaneously landed in manufacturing. In January this year, the world's largest 16000T integrated die-casting production line went into production, used for battery box production, and Dongfeng became the only enterprise in the industry to achieve whole vehicle front-mid-rear fully integrated die-casting layout. The production line carries a large number of industrial robots and self-developed intelligent systems, capable of reducing costs and increasing efficiency, and improving battery collision protection capabilities, first applied to Epai M8. The world's single largest medium and heavy commercial vehicle smart factory put into production at the same time is equipped with 288 collaborative robots, welding and painting automation rate 100%, relying on digital twin and AI quality inspection technology, production efficiency increased by 30% compared to traditional factories, smart manufacturing strength remains at the forefront of the industry.

Green and low carbon is the core direction of automotive industry transformation. Dongfeng landed the "Tianjing Zero Carbon" plan, adhering to the "Pure Electric Foundation, Hydrogen Leadership, Diverse Layout" route, creating a new energy product matrix covering all power types, adapting to various mobility scenarios. In the first half of the year, multiple new products were launched centrally, fully covering all sub-segments. In the high-end new energy sector, Voyah Taishan Ultra, Taishan X8 completed delivery, consolidating high-end brand positioning; Mengshi M817 broke the industry bottleneck where luxury off-road comfort, intelligence, and performance are difficult to balance; the new brand Yijing launched flagship six-seat SUV Yijing X9, setting new generation vehicle standards from three dimensions of safety, comfort, and driving control. In the home market, Epai M8 six-seat SUV directly hits the pain points of multi-child family travel, pre-sale orders broke 10,000 on the first day; 2026 model Aeolus L7 EV consolidates the 100,000 yuan level pure electric SUV market; Nano 06 Smart Fun Version downgraded intelligent configurations, lowering car purchasing thresholds; Fengxing Haixiang T5, Haixiang V6 focus on affordable commuting market, enriching mass green travel choices.

Hydrogen business relies on over 20 years of technology accumulation to form differentiated advantages. Dongfeng built a 20kW to 400kW full-coverage hydrogen power platform, holding over a thousand hydrogen energy invention patents, technology continuously converting into commercial orders. Self-developed 400kW fuel cell stack passed national standard 10,000-hour durability test in May, becoming the first domestically rated "Durability Star" metal bipolar plate stack. Commercialization landing sped up, signed 1,500 hydrogen heavy truck big order in March, mass put into use in Three Gorges Water Transportation Engineering in June, promoting hydrogen heavy trucks into mainline logistics, ports, sanitation, infrastructure and other scenarios. Currently Dongfeng hydrogen fuel vehicle cumulative sales exceeded 9,000 units, demonstration operations covered over 40 cities nationwide, operation scale industry first. R&D system upgraded simultaneously, 2026 Dongfeng established Basic and Pioneer Technology Research Institute, Global Design Center put into use, "Three Countries Six Places" R&D network formed; led to establish Hubei Solid State Battery Innovation Consortium, uniting 18 industry-university-research units to attack next-generation battery technology, landed the province's first new energy vehicle academician workstation, relying on top teams to attack automotive new materials, consolidating long-term green technology competitiveness.

Around "Sky Sail" globalization strategy, Dongfeng innovates overseas cooperation models, perfecting R&D, production, and sales integrated overseas layout. This May, Dongfeng signed deepening strategic cooperation agreement with Stellantis Group, paving the way for entering European new energy market. Domestically, six parties injected over 8 billion yuan to empower Dongfeng Peugeot-Citroën, promoting brand intelligence and green transformation; overseas planning both sides jointly build European joint venture, coordinating new energy vehicle local R&D, production, distribution and procurement, building a stable export platform. Logistics guarantee aspect, Dongfeng renewed strategic cooperation with COSCO SHIPPING, strengthening cross-border vehicle and parts logistics, improving global supply chain risk resistance ability.

Passenger car overseas implementation high-low end dual-line layout, affordable models and high-end brands simultaneously put in effort. DONGFENG BOX, 007, MAGE, and other models sold hot in Europe, Latin America, Africa markets due to high cost-performance; Voyah, Mengshi enter Saudi, UAE, Egypt, and other Middle Eastern countries, completed exclusive tuning for local high temperature and sand environment; Voyah captured high-end users with new Chinese style luxury, Mengshi off-road performance gained foreign enthusiasts' favor. Commercial vehicles adhere to one place one policy, scenario customization: customized V5 tractor for Saudi long-distance logistics; launched two differentiated delivery models for Peru fresh fruit transport; Southeast Asia deployed full series light and heavy trucks, Malaysia single batch delivery 830 units, signed 500 units; adapted to Australia right-hand drive regulations launched light logistics vehicle CAPTAIN.45. Channel network continues to expand, Dongfeng overseas authorized marketing outlets reached 1,600, covering over 150 countries worldwide, over 30 overseas markets sales doubled, overseas channel deep cultivation effectiveness highlighted.

Standing at the "15th Five-Year Plan" opening new starting point, Dongfeng Motor takes "Tianyuan Intelligence", "Tianjing Zero Carbon", "Sky Sail" three plans as core lever, steadily promoting four industrial ecology construction. Next step, enterprise will continue to deep cultivate product iteration, core technology self-research, global market expansion, constantly enrich new energy product matrix, break through intelligent vehicle hardware and software key technologies, perfect global production and sales channels, go all out to shape technology-oriented, international, and youthful brand image, seize development opportunities in the global automotive industry transformation wave, assist domestic automotive industry high-quality transformation and upgrading with SOE responsibility.

Extra! Extra! Foreign automakers are actually subcontracting for Chinese brands!

Recently, Nissan officially announced that one of the two production lines at its Sunderland, UK factory will start manufacturing Chery vehicles from April 2027.

As for why this reversal happened, on one hand, because the fallen giant, Nissan, has run out of funds...

Since incurring losses in Fiscal Year 2024, within two years, Nissan's losses have exceeded 1.2 trillion yen (approx. 50.7 billion RMB), facing severe financial difficulties.

In this situation, for Nissan to survive, it can only reduce production capacity and tighten its belt.

Last May, Nissan announced closing 7 factories globally and cutting 20,000 jobs. The Sunderland factory utilized less than half its capacity last year, so it naturally became a "target for adjustment".

Cooperating with Chery not only earns subcontracting fees but also maintains factory operations, naturally a win-win.

On the other hand, Chery also wanted to open a new chapter in the UK market through localization. After all, Chery just won the single-vehicle sales champion in the UK for May, with unrivaled popularity.

So, what exactly did Chery do? How did it suddenly rise overnight?

Today, let's talk about this properly!

01. A Rare Triple Win

Regarding this issue, after the cooperation was finalized, a local union representative in the UK accidentally told the hard truth in an interview.

Sunderland factory is the largest existing complete vehicle factory in the UK by volume, with an annual capacity of 600,000 units, providing 6,000 job positions. Moreover, the UK official provided 100 million pounds in real cash for the factory's electrification transformation and upgrade.

For British people, how Nissan considers it doesn't matter, who it subcontracts to doesn't matter. The important thing is the UK retained an EV factory and saved the jobs of 6,000 local workers.

Since recently "Chinese cars appearing on British roads has become more frequent", it is reasonable to let British workers manufacture Chinese brand cars!

And Chery is one of the representatives of Chinese cars filling up the streets of the UK.

Taking the past March and April, Chery Group's total sales in the UK, the sum of the three brands Chery + Jaecoo + Omoda, is already second only to Volkswagen, ranking second in brand sales.

Jaecoo 7 even won the single-vehicle sales champion for March and May without any qualifiers, widely praised by users in the UK.

Interestingly, this car has been discontinued domestically, it is the Chery Explore 06 priced at 99,900-169,900 RMB.

And unlike its plain look domestically, in the UK it transformed, with price and identity turning into a noble gentleman—converted to RMB as high as 263,800-317,600 RMB!

So, where exactly is this car strong?

First, the Jaecoo 7 offers three power forms: gasoline, HEV hybrid, and PHEV plug-in hybrid, meeting user needs for different power forms.

Secondly, the product power of Jaecoo 7 is also excellent:

Appearance design fits local aesthetics, praised by users in the UK as "Affordable Range Rover";

Compact Off-road Light SUV positioning, is perfectly suitable for UK country dirt roads and narrow urban roads;

Moving on to new energy, the PHEV version of Jaecoo 7, accounting for 85% of sales, can provide 56 miles (90 km) pure electric range, sufficient for UK users' daily commute.

Plus lower fuel consumption compared to ordinary fuel cars, and 360 horsepower breakthrough performance, simply shocking the British—this inconspicuous little thing, is it even fiercer than a MINI JCW?!

So logically, the Jaecoo 7, a car whose prototype didn't make much splash in China, sold out completely in the UK with a new shell.

02. Low-key Development, Quietly Stunning

Some people think, Jaecoo 7's explosion in the UK market is purely an accident.

Others think British people eat too poorly normally—where fried fish and chips are considered national snacks, what major sights could they have seen? Family cars often cost 200,000-300,000 RMB, life must be very bitter...

But think from another perspective, if you are an old Londoner with a Union Jack, at first you might not realize the prototype of Jaecoo 7 is a Chery from China.

Omoda and Jaecoo are Chery's brand new brands specifically created for going global in 2021/2023.

Neither targets Chinese users, nor are new cars sold in China.

Although Jaecoo and Omoda don't have the long history accumulation and good user base like Volkswagen or Toyota. But fortunately there is no historical burden, won't be labeled with cheap, poor quality stereotypes.

Specifically, the brand name of Jaecoo is a combination of German Jäger (Hunter) + English Cool, mainly focusing on rugged SUVs;

The brand name of Omoda is a combination of two English words Oxygen (Oxygen) + Moda (Modernity), mainly focusing on fashion trends.

While positioning is distinct, both brands share a common point: both strive to provide excellent smart EV experiences for overseas users.

So, without deep knowledge of the brand background, the UK user perspective only sees two very cool, very fashionable, with good smart and electric experiences, and high cost-performance new foreign brands.

We standing from God's perspective naturally know Jaecoo 7 and Omoda 7 both originate from Chery Explore 06.

But at the product level, these two really on the same-source architecture and technology, made completely different distinctions in design and interior, forming a product synergy through complementation.

One could say, Chery used a more advanced shell, rebranding strategy, thoroughly exploited the technical dividend of the domestic new energy industry chain's dimensional strike overseas.

If the product can fight, Jaecoo and Omoda naturally can explode with amazing growth speed.

In just 3 years, this "twin star" brand's global sales have broken one million, becoming the youngest and fastest automotive brand in world car history to break the one million sales milestone.

03. Overseas King, Blooming Outside the Wall

So the question arises, how did Jaecoo and Omoda suddenly emerge?

Simply put, it's backed by Chery Group's strong support.

Detailed, we need to review what Chery has been doing overseas these years.

First, the data:

Chery ranked first in export of Chinese brand passenger cars for 23 consecutive years;

In 2025, Chery Group's vehicle export volume was 1.344 million units, just one car company accounted for one-fifth of the national passenger car export sales...

This year January-May, Chery Group cumulative sales were 1.1 million units, of which export volume exceeded 750,000 units, accounting for 68%.

Obviously, today Chery, total sales are dominated by the overseas market.

Such eye-catching overseas performance, on one hand benefits from Chery's early layout in overseas markets.

As early as 2001, when many independent car companies were just starting to build cars, Chery launched complete vehicle export business.

And since the second year of going overseas, Chery has been consecutively ranked first in Chinese brand passenger car exports.

On the other hand, it stems from Chery persisting in localization operations from the beginning.

In 2003, Chery built a factory to make cars in Iran in joint venture form, the Chery sedans produced at that time were Chinese enterprises producing sedans abroad for the first time.

And what's rare is, for over twenty years Chery has formed effective long-term operations in the Iran market.

From joint venture, models bearing joint venture brands, to acquiring shares, producing own brand models. Currently, Chery has become Iran's 3rd largest car company, Iran's largest foreign-invested car company.

Going out early + good awareness, made Chery's overseas path walk quite solidly.

In recent two years when Chery officials discuss overseas strategy, often emphasize "In somewhere, For somewhere, Be somewhere", which means "Where, For Where, Become a Local Member".

Take a look, this slogan and Volkswagen's "in China, for China" ("In China, For China") mentioned in recent two years actually means the same. It shows in this matter of going overseas, high achievers always have slightly similar viewpoints.

In fact, as mentioned above, when Chery enters new markets, it often adopts the method Volkswagen used when entering China market — establishing joint ventures with local enterprises.

In 2024, Chery announced officially entering the Spanish market.

To open the local market, Chery didn't even rush to promote its own brand, but after establishing a joint venture with local enterprise, first resurrected a Spanish brand EBRO with over 70 years of history.

The joint venture took over a closed car factory in Barcelona, the first model produced was named EBRO S700, Spanish Prime Minister evaluated this project as "a symbol of the entire Spanish re-industrialization process."

Although EBRO S700 is essentially the overseas version of Tiggo 7 PLUS, its background sentimental significance, indeed provided strong emotional value to Spanish local consumers.

And the factory provided 1,000 job positions, which is also a solid benefit for the locals.

For Spanish people, this is a win-win.

Of course Chery itself didn't lose out, this project made Chery become the first Chinese car company to own a complete vehicle production base in Europe and achieve mass production, later Chery also prepares to produce its own brand models in the same factory, such as Omoda 5.

Officially, Chery's overseas strategy in Spain has been stamped by Chinese and Spanish governments as "a model of cooperation".

Developed to 2025, Chery already owns 16 complete vehicle assembly factories overseas, production bases spread across Russia, Brazil, Thailand, etc.

And now, Chery's business also covers 130+ countries and regions, boasting over 6.59 million overseas users, and an international overseas team of over 20,000 personnel with over 85% local employees.

So Jaecoo and Omoda's explosion overseas is not two new brands fighting alone, but Chery Group, this overseas king, "carrying them along with its power".

04. Final Thoughts

According to CPCA data, this May, national passenger car market retail was 1.51 million units, down 22.1% YoY; January-May, cumulative retail 7.1 million units, down 19.5% YoY.

Not only is fuel car sales collapsing under high oil price impact, this year January-May domestic new energy retail sales also declining.

In the background of domestic auto market turmoil and intensified competition, going overseas has become a growth space all car companies must grasp.

For Chery, the systemized overseas capability built in the first twenty-plus years, has become a firewall today contributing stable sales and profits for the group.

Chinese cars walking onto the world stage, necessarily accompanying the change of global car landscape.

Chinese cars are being sold to the whole world, today Chinese car companies' factories are also opening all over the world.

I believe, in the future one day, Chery and other Chinese car enterprises will be like Toyota, most of global sales not coming from native factories, but overseas localization production.

And at that time, overseas consumers will also trust Chinese brand cars just like trusting Toyota.

Author: kimsu

"There is always a way when a car reaches the mountain; wherever there is a road, there are Toyota vehicles." For a long time, Toyota's "Toyota emblem" symbolized "fuel efficiency, durability, and high resale value," a golden reputation in the auto industry that was hard to shake.

However, entering 2026, this golden reputation has cracked. According to Nikkei, Toyota's sales in China in May were 102,300 units, a 32% year-on-year decline, marking the fourth consecutive month of year-on-year decline. The myth of paying a premium and waiting six months to collect the car has now faded under the surging tide of electrification.

"Legend" Fades, Toyota Faces Dilemma

Toyota's situation has become increasingly severe. In 2025, it could still defend the honor of the Japanese camp with sales of 1.78 million units in China, a slight increase of 0.23% year-on-year, becoming the only Japanese brand with positive growth in China. But entering 2026, the decline is obvious.

At a time when the NEV penetration rate has exceeded 60%, Toyota's once proud fuel vehicle lineup inevitably became the core "bleeding point." Taking the "National Icon" Corolla as an example, Autohome data shows that this model, which once dominated the A-class family car market for years, has seen monthly sales drop from a peak of nearly 40,000 units to around 3,000 units, far from even a fraction of its peak; the originator of urban SUVs, RAV4, saw average monthly sales exceeding 10,000 units after entering 2026, doing quite well, but the fact that the entry-level model's dealer price dropped to 140,000 yuan proves that this "God Car" that once couldn't be grabbed even with a 20,000 yuan premium has now been forced to the point of "trading price for volume".

Camry, which once attracted countless family users with its hybrid system, also couldn't escape. Monthly sales over 10,000 units still seemed common, but the model with an official starting price of 171,800 yuan now has a dealer price of under 140,000 yuan. It can be said that Toyota is currently maintaining its own dignity by "trading price for volume".

Toyota's dilemma in China is inseparable from its misjudgment of the electrification wave. This is a common issue among Japanese brands. When Chinese car manufacturers were going all out for new energy, Japanese brands showed an obvious passive attitude in electrification transformation. Akio Toyoda even publicly lashed out at "Electric vehicles are overhyped", and questioned the environmental friendliness of electric vehicles. This strategic misjudgment caused Japanese brands to miss the transition window.

Under various factors, Toyota's once dominating advantage of "fuel saving + high resale value" was gradually filled in. In the fuel vehicle era, Toyota's THS hybrid system was indeed the fuel-saving benchmark. But under the current situation where new energy technology is increasingly mature, its economic advantage no longer has absolute dominance. Represented by domestic plug-in hybrid technologies such as BYD DM-i and Geely Leishen, the fuel consumption when the battery is low has generally entered the 3L-4L/100km range, and they have pure electric range capabilities. For users with home charging conditions, choosing them is often more cost-effective.

Regarding resale value, looking at the May China Auto Resale Value Report released by the China Association of Automobile Distributors, although Toyota still ranks at the top, the resale value shows a downward trend and has been surpassed by domestic brands Trumpchi and Tank. The main reason is that the downward movement of the price system has affected the traditional premium space of used cars. In the long run, the "price war" will certainly dilute the brand value Toyota has accumulated for many years.

Embracing China's Support

Is Toyota's current dilemma due to being too stubborn? Actually, it is not entirely so, but also because the interest relations behind it are too complex.

China Auto Expert Jia Xinguang once stated, the root of Japan's auto industry's dilemma lies in path dependence. Japan's auto industry's supply chain is constructed with "Engine-Transmission" as core technology. It is extremely powerful and has almost insurmountable barriers. Mature technology brings market success, market success brings interest solidification, interest solidification eventually forms transition resistance.

Akio Toyoda also stated frankly, the cost for traditional car companies to fully shift to pure electricity is huge, which could lead to 5.5 million job losses. This is not a small number, Japan's total population is also just over 120 million. Such a result is undoubtedly a catastrophe. Huge fuel vehicle assets and interest chains let Toyota not be able to "all in" pure electricity like startups. Toyota dares not bet, and cannot afford to bet.

In addition, Jia Xinguang also pointed out that in the electrification and intelligence era, about 70% of Japan's fuel vehicle industry chain's technical accumulation cannot be reused across domains, which also leads to Toyota's reaction being relatively slow in the new energy vehicle wave. The pure electric model bZ4X launched in 2022 was a relatively intuitive example. Due to insufficient localization, backward intelligence and other issues, the Chinese market did not accept this car, leading to an official price cut of 30,000 yuan soon after launch for survival. Even so, it could not win back the hearts of Chinese consumers. Autohome data shows that the highest monthly sales of bZ4X was only 1,735 units.

Toyota chooses to further deeply bind with China and persist to the end. For example, establishing the China Chief Engineer system, the first "China R&D led" bZ3X performance was indeed commendable. Cumulative delivery broke through 100,000 units in 14 months, setting the record for the fastest breakthrough of 100,000 units for joint venture new energy. However, its subsequent sales performance fluctuated. Sales in March 2026 dropped to 3,689 units. Sales in April rose back to 10,027 units. It has not yet reached the stable period.

But bZ3X's performance clearly gave Toyota a clear signal: Borrowing strength from China is the way out. First, "Borrowing" people. Currently, Toyota's China Chief Engineer team has expanded from 4 to 7 people. China's local team now has more product definition rights. Second, "Borrowing" Chinese technology. Since we are half a beat slower in software-defined cars, let's work with domestic top autonomous driving suppliers like Momenta, Huawei, Pony.ai. For example, some Toyota models now have intelligent driving assistance systems jointly developed with Momenta. In the field of autonomous driving, the first mass-produced L4 autonomous driving bZ4X Robotaxi cooperated with Pony.ai has been rolled off the assembly line and conducted road testing. Subsequent commercial operation is also in preparation. This open collaborative stance is the inevitable choice for Toyota not to fall behind in the intelligent technology track.

There is also a phenomenon that is quite interesting. According to Nikkei, in the Southeast Asian market once known as the "Japanese Car Backyard", Toyota also made unprecedented adjustments to its supply chain. Not only does it purchase parts produced by Chinese companies in Thailand, but also urges local Tier-1 suppliers to join in. It is reported that this move can help Toyota reduce costs by 30%. It can be seen that although sales in the Chinese market have declined, "Made in China" and "Chinese supply chain" have become an indispensable "lifeline" in Toyota's global strategy. No wonder at the April 2026 Beijing Auto Show, Toyota did not emphasize "Japanese Technology" as usual, but aggressively carried the slogan "with China, for China" and released the "TO YOU" brand concept. After all, from all aspects, China is indeed a "highly desired asset".

Toyota is currently experiencing no small dilemma, not only sales decline, but financial report is also under significant pressure. Although compared to other Japanese brands, Toyota Fiscal Year 2025 did not fall into loss, still resilient but the fact of net profit down 19.2% year-on-year and operating profit down 21.5% year-on-year is still not optimistic. For Fiscal Year 2026, Toyota gave an operating profit expectation of 3 trillion yen, which will be about 20% lower than Fiscal Year 2025. This means Toyota will fall into a profit decline predicament for three consecutive years.

However, to say Toyota's "Golden Reputation" has completely failed is probably too early, after all, as long as Toyota can put down its stature, truly put the slogan "with China, for China" into practice, and launch products that truly understand the needs of Chinese consumers, it still has a big opportunity to continue to stay in this card game.

In China's 2026 automotive market, an unprecedented "extreme 'ice and fire' contrast" is taking place. CPCA data shows that January to May domestic standard passenger car cumulative retail hit 7.099 million units, down 19.5% year-on-year. Fuel-powered vehicles encountered an even greater avalanche, with May fuel vehicle retail sales plummeting 39% year-on-year; among them, domestic brands dropped 39%, mainstream joint venture brands declined 41%. However amidst this "decline", BYD Group's January to May NEV cumulative sales exceeded 1.405 million units, securing the top spot for both Chinese car brands and NEV sales.

While the overall market declines and competitors compete fiercely, why is BYD riding the wave to lead? Piercing through the surface of sales figures, the three structural changes truly worth noting are...

“Counter-Trend Logic” in Downward Market: YoY Sales Decline ≠ Competitiveness Decline

Let's look at a set of data easily misinterpreted. BYD's January to May total sales were 1.405 million units, down 20.32% year-on-year. Looking at this number alone, some might conclude "BYD is done". But viewed in industry context, the conclusion is completely different.

First, base effect. 2025 same period sales were built on the policy dividend of full tax exemption for NEVs, whereas from January 2026 tax exemption changed to half exemption. Demand overhang brought by policy retreat is industry-wide, not unique to BYD.

Second, trend reversal. In May alone, BYD sales were 383,500 units, up 0.3% year-on-year, and up 19.4% month-on-month. This marks the first year-on-year turn positive for monthly sales since 2026, ending the previous 8 consecutive months of decline. Against the backdrop of the overall industry still in deep decline, BYD braked first, with clear turning point signals.

Third, share expansion. January to May, BYD ranked second in auto group sales rankings (1.405 million units), market share 11.5%; in NEV manufacturer rankings, with 766,000 units cumulative sales, it ranked first, market share as high as 20.7%. The cake is shrinking, but BYD's cut of the share is growing bigger.

Growth Engine Switch: Overseas Becomes Second Growth Pole

If domestic sales are BYD's basic platform, then the overseas market is becoming the real incremental engine.

In May, BYD overseas sales broke 160,000 for the first time, reaching 160,600 units, up 80.4% year-on-year, setting a new historical high. January to May overseas cumulative sales were 616,900 units, up 64.9% year-on-year. More worth noting is the structural change; May overseas sales share reached 41.9%.

What does this mean? Nearly half of BYD's sales come from the overseas market. While domestic sales were down 24.1% year-on-year, overseas filled the gap with over 80% growth rate. BYD is transforming from a "Chinese NEV automaker" to a "Global NEV automaker", this transition is far more important than monthly sales ups and downs.

From the model perspective, Seagull, Song PLUS, Yuan series continue to sell hot overseas, SHARK pickup sales exceeded 4,000 units for two consecutive months. From capacity perspective, BYD has laid out overseas factories in many locations including Thailand, Uzbekistan, Brazil, Hungary. From strategy perspective, BYD expects annual exports of 1.7 million units, up another 62% year-on-year. Overseas business high growth not only hedged domestic market downward pressure, but also optimized overall profit structure with higher per vehicle ASP and profitability.

Technology and Scale "Double Moat": Barriers Others Can't Learn

Sales are just results; what truly supports BYD's continuous leadership is the double moat built by technology and scale.

On the technology end, Flash Charge is redefining EV experience. March 2026, BYD launched 2nd Gen Blade Battery and Flash Charge technology; charging from 10% to 70% takes only 5 minutes at room temperature, 10% to 97% takes only 9 minutes; even in sub-zero 30℃ extreme cold, charging from 20% to 97% takes only 3 minutes more than room temperature. This is not parameter piling, but systematic attack on "slow charging" and "difficulty charging in low temp", the two electrification world problems. As of May, BYD has laid out 6,682 Flash Charge stations in 321 cities nationwide, planning to reach 20,000 stations by year-end. Models equipped with Flash Charge tech, such as 3rd Gen Yuan PLUS, Fang Cheng Bao Bao 5/ Bao 8 Flash Charge version, Denza N9 Flash Charge version, have launched densely.

On the intelligence end, data flywheel of 3.15 million vehicles is accelerating. As of May 28, BYD ADAS vehicle stock exceeded 3.15 million units; "Heavenly Eye" generates over 200 million km daily. The more data, the faster algorithm iteration; the better the algorithm, the better user experience. This is a typical "Data Flywheel" effect. BYD committed first to guarantee city pilot safety for one year, and announced all series models optional for "Heavenly Eye B" smart driving solution.

On the scale end, 8 models monthly sales breaking 20,000 "army group operations". In May, Dynasty Series Yuan, Song delivered 56,691 units, 51,370 units respectively; Ocean Series Seagull, Dolphin, Seal, Sea Lion, Song PLUS, five models all broke 20,000. BYD Song even took May all models sales top with 75,825 units. Releasing volume for multiple models simultaneously tests supply chain stability, production efficiency and cost control capability; this is exactly the systematic advantage brought by 1.4 million units scale.

Conclusion:

China's 2026 automotive market, competition logic has completely changed. Marginal effect of price wars is decreasing, tech wars and experience wars have just begun. In a market where overall trends are downward and policy dividends are fading, BYD proved a simple truth with 1.405 million units cumulative sales: what truly determines whether an enterprise can grow continuously is technology, scale, and globalization capability.

Domestic sales are bottoming out and recovering, overseas market continues high advance, Flash Charge technology and intelligence strategy dual-wheel drive. BYD's leadership does not come from a single dimension advantage, but from systematic barriers built from multiple dimensions. For the whole industry, BYD's case also provides a clear signal: NEV competition first half is about who gets on the car first, second half is about who runs further.

On June 12, the BJ30 Traveller 150,000 unit off-line ceremony with the theme of “150,000 Loves, Arriving in Highlight”, and the launch event for the all-new Highlight Edition model were successfully held at the BAIC Zhuzhou Super Factory.

In light of the current domestic automotive market environment, light off-road SUVs are becoming a hot choice in the family car sector. Consumers no longer only value urban commuting capabilities but also hope the vehicle can cater to short-term outdoor travel needs. In the past, models with professional off-road attributes were often priced too high to enter ordinary families. However, BJ30 Traveller quickly gained market recognition relying on its affordable pricing, mature hybrid technology, and balanced comprehensive strength. This new model launch, combined with high replacement subsidies and multiple purchase benefits, further lowers the entry threshold for light off-road models, allowing "off-road equality" to gradually move from concept to reality.

Zhang Guofu, Vice President of BAIC Group and Chairman of Beijing Off-Road, stated at the event that BJ30 Traveller is the product in China's light off-road SUV sector that achieved 150,000 sales units the fastest. The 150,000 unit market achievement is recognition from global consumers of the model's quality, representing phased results in the development of domestic hybrid technology and also highlighting the comprehensive strength of Chinese automotive manufacturing.

Three Core Advantages Building Comprehensive Product Power for the Model

Relying on over 60 years of professional off-road technology accumulation from Beijing Off-Road, BJ30 Traveller has built three core characteristics around power, space, and usage costs, forming differentiated competitive advantages.

In terms of power and passability, the vehicle is equipped with an industry-leading triple-motor four-wheel drive six-mode HEV hybrid system, and is also the first box-style SUV in the country to adopt such a hybrid architecture. The entire system consists of a hybrid dedicated engine with 41% thermal efficiency and front and rear dual drive motors. The engine is responsible for energy saving during long-distance travel, and the dual motors are responsible for real-time energy replenishment and instantaneous power output respectively. The vehicle's intelligent four-wheel drive system responds in only 30 milliseconds and can release peak torque in 0.5 seconds. Six working modes can automatically switch according to road conditions, always keeping the power system in the optimal operating state. In addition, the vehicle is equipped with an energy center lock, four-wheel electronic limited slip mechanism, as well as Intelligent Electronic AT

S All-Terrain Control System, capable of handling complex outdoor road conditions such as sand and mud with ease.

Space performance is the core highlight of family vehicles. BJ30 Traveller adopts a three-row seven-seat layout, with a vehicle wheelbase reaching 2820 mm and space utilization reaching 66%. The vehicle's standard trunk volume is 1496 liters. After the rear seats are fully folded flat, it can form a flat space with a length of 1.92 meters. Even for passengers 1.8 meters tall, sitting in the third row allows ample activity space. The entire vehicle is equipped with 38 storage points, capable of properly storing everyone's belongings, fully meeting the storage needs for multi-member family travel.

In terms of ownership economy, this model has realized peace of mind for the entire process of purchasing, using, and maintaining the vehicle. Previously, automotive bloggers from five countries—South Africa, Indonesia, UAE, Poland, and Mexico—jointly conducted actual tests. The vehicle maintained an overall fuel consumption within 5 liters per 100 kilometers under different regional road conditions, and the range with a full tank could exceed 1,000 kilometers. As an HEV hybrid model, the vehicle does not need to rely on charging piles and can be used normally by refueling, greatly saving energy replenishment time. At the same time, the first owner can enjoy lifetime warranty for the whole vehicle. This vehicle has no safety concerns brought by high-voltage battery packs, the maintenance process later is simple, parts supply is sufficient, further reducing long-term ownership costs.

All-New Highlight Edition Debut, Three Dimensions Fully Upgraded

Relying on the solid product foundation of the current model, BJ30 Traveller Highlight Edition has completed all-around optimization, achieving advancements in appearance, power performance, and driving experience to adapt to more users' vehicle usage needs.

In terms of appearance design, the new car continues the classic box-style body shape, with tough body lines combined with exquisite detail design, balancing ruggedness and fashion. The iconic five-arc star-ring through-type lighting group has a high recognition. The vehicle is equipped with a full set of trendy modification kits, exclusive star-ring style wheels, and same-color front and rear sport bumpers, creating a stronger sports atmosphere. The interior adds an orange trim color, paired with metal texture panels, further enhancing the cabin quality, catering to the aesthetic preferences of consumers of different ages.

Power configuration has received targeted strengthening. The new car is equipped with a dedicated AGM battery with a longer service life, and the cycle usage count is three times that of a regular battery. The vehicle adopts turbocharging technology originating from Porsche, with the whole vehicle charging efficiency reaching 99%. The rear drive motor power has been increased from 55 kW to 70 kW. In scenarios such as starting at intersections, merging on ramps, and emergency avoidance, power response is faster, and driving safety is improved.

Driving and riding comfort has been further optimized. The body height brings an open driving view. The vehicle is equipped with seat heating, seat ventilation, and steering wheel heating functions to cope with travel in different seasons. The vehicle is equipped with a rainfall sensing system, which can automatically close the windows when it rains; 64-color ambient lighting can change with the music rhythm, creating a comfortable and relaxed atmosphere inside the car, turning the cabin into a mobile leisure space.

Multiple Purchase Benefits Lower User Entry Threshold

In order to give back to the support of the vast number of consumers, the official launched five limited-time purchase benefits based on a 30,000 Yuan replacement subsidy, which both new and old users can participate in. The first is a warranty benefit, the first non-operating owner can be gifted a lifetime warranty for the whole vehicle worth 6,000 Yuan; The second is a financial plan, providing multiple purchase choices such as zero down payment to alleviate financial pressure; The third is a referral reward for old customers, when an old owner introduces a new user to successfully purchase a vehicle, they can get up to 800 Yuan JD.com shopping card; The fourth is system upgrade rights, the vehicle can enjoy lifetime free OTA upgrade; The fifth is traffic service, the vehicle's basic traffic is free for life, entertainment traffic enjoys a two-year unlimited usage policy.

Combined with the World Cup event node, the brand simultaneously launched the "Passionate World Cup, Win Big Prize in Highlight" activity. Consumers who complete vehicle purchase at any authorized store nationwide can get event betting qualification. If the World Cup champion team and final score are predicted accurately, an additional 50,000 Yuan purchase subsidy can be enjoyed.

Real Vehicle Disassembly + Factory Visit, Dual Verification of Vehicle Quality

The most concerned segment of this event is the CCTV Finance-led 150,000-kilometer real vehicle disassembly live stream. The 150,000-kilometer driving mileage is basically equivalent to nearly 10 years of car usage for an ordinary family, with high reference value. The disassembly results show that the vehicle engine turbine carbon deposit is extremely low, power output remains stable; the transmission case has no leakage problems, internal gear wear is extremely low; the battery pack has no swelling, fluid leakage, performance attenuation, and other phenomena. The vehicle subframe, suspension arms, and other chassis parts have no rust or oil seepage, and the overall state is not much different from a new car, which is enough to prove the solid materials and excellent durability of mechanical components.

The live stream camera also entered the BAIC Zhuzhou Super Factory to reveal the high-quality production source of the vehicle. The factory welding workshop adopts fully automated robot operation, and the glue coating precision error is controlled within the range of hair thickness, effectively improving the body structure strength; more than 5,000 tons of large stamping equipment completes the body panel one-piece molding, ensuring the body lines are neat and the structure is balanced. The painting workshop uses environmental-friendly water-based paint, the emission of harmful substances inside the car has decreased significantly, the new car odor is weak, and at the same time the paint surface has excellent sun protection and anti-corrosion capabilities. The factory sets quality control checkpoints at every production process, ensuring the quality consistency of every off-line vehicle from the production end.

Market Summary and Brand Outlook

Overall, BJ30 Traveller relies on three major advantages of hybrid technology, large space, and low fuel consumption to precisely cut into the home light off-road niche market. The 150,000 unit sales achievement is the market's direct recognition of product power. The launch of the Highlight Edition, on the original basis, fills in detail configurations, superimposes high replacement subsidies and multiple rights, and further improves the cost-performance ratio of the model.

For ordinary family users, this model can not only meet daily urban commuting but also handle scenarios such as weekend short-distance off-roading and long-distance self-driving, with the multi-use attribute being very prominent. Looking at Beijing Off-Road's overall product matrix, BJ30 Traveller focuses on the affordable home light off-road market, BJ40 Extended Range Long Endurance Edition is aimed at professional off-road enthusiasts, different models form complements, covering multi-level consumption needs.

In the future, Beijing Off-Road will continue to rely on its own off-road technology heritage, continuously optimize the product matrix, polish product details, and accompany users to explore diverse travel life with high cost-performance and high-reliability models.

On June 12, the "150,000 Loves, Highlight Arrival" BJ30 Adventure Edition 150,000 Units Production Run and Highlight Edition Launch Press Conference was grandly launched at the BAIC Zhuzhou Super Factory. Relying on market reputation and hardcore product strength, BJ30 Adventure Edition successfully won the title of the fastest Chinese light off-road SUV to reach 150,000 units in sales. At the same time, the new BJ30 Adventure Edition Highlight Version officially debuted. The brand simultaneously launched major purchase benefits, with the entire series enjoying a 30,000 yuan super trade-in subsidy, super trade-in price starting from 69,900 yuan, and Highlight Version trade-in price starting from 82,900 yuan. CCTV Finance live-broadcast the teardown of the actual vehicle driven for 150,000 kilometers, intuitively verifying the solid quality of Beijing Off-Road's deep cultivation in the car manufacturing field with direct testing, and also allowing China's smart manufacturing strength to go viral again.

As a professional brand that has cultivated the off-road field for over 60 years, Beijing Off-Road has always promoted off-road equality, bringing light off-road life into thousands of ordinary families. A cumulative market presence of 150,000 units is the trusted choice for 150,000 global users, and also the best evidence of BJ30 Adventure Edition's product strength. Zhang Guofu, Deputy General Manager of BAIC Group and Chairman of Beijing Off-Road, stated that the 150,000 units achievement is not only a breakthrough in sales speed, but also a quality benchmark forged by millions of users. The advanced HEV hybrid technology equipped with BJ30 Adventure Edition is both a brilliant answer to the brand's R&D and a strong voice of Chinese smart manufacturing towards the world.

Relying on the brand's years of off-road technology accumulation, BJ30 Adventure Edition reshapes the light off-road SUV market standards with three core advantages: super off-road capability, super spaciousness, and super fuel economy.

In terms of power performance, this car is the first domestic box-shaped SUV to be equipped with an HEV hybrid system, featuring a unique tri-engine four-wheel drive six-mode hybrid architecture with outstanding strength. The 41% high thermal efficiency hybrid dedicated engine is paired with front and rear dual motors, each performing its duties to achieve multiple advantages of long range, strong replenishment, and instant burst; intelligent four-wheel drive with 30ms response, outputting peak torque within 0.5 seconds, assisted by energy center lock, four-wheel electronic limited slip and smart electric ATS all-terrain control system, easily and calmly conquering complex road conditions such as mud and sand, giving users full confidence to go into the mountains and wilderness.

In terms of space performance, the 2820mm extra-long wheelbase creates a three-row seven-seat spacious layout, with a vehicle room rate of up to 66%. The 1496L large capacity trunk combined with the rear seats that can be folded flat creates an instant 1.92-meter leisure big bed. Even for passengers 1.8 meters tall, sitting in the third row is not cramped at all. The 38 refined storage spaces throughout the car fully accommodate the storage needs of family travel, making every journey free and comfortable.

In terms of usage cost, BJ30 Adventure Edition balances the three major advantages of saving money, saving time, and saving worry. Overseas automotive bloggers from five countries including South Africa, Indonesia, and the UAE jointly tested it. The fuel consumption per 100 kilometers is controlled within 5 liters, and the range with one tank of fuel exceeds 1000 kilometers. As an HEV hybrid model, it does not rely on charging piles; just refuel and go, greatly saving charging time. In addition, the first owner enjoys a lifetime warranty for the whole vehicle. Parts supply is convenient and maintenance costs are low, eliminating user concerns about car usage from the root.

The newly launched BJ30 Adventure Edition Highlight Version this time, based on the original product strength, achieves comprehensive advancement in three dimensions: appearance, performance, and experience, creating a new choice for all-around travel.

In terms of appearance, the classic box-shaped styling blends a tough presence with refined aesthetics, with exclusive five-arch star ring through lighting groups providing high recognition. The inspiration trend modification kit, custom star ring wheels, and sporty bumper complement each other. The new orange interior paired with metal texture trim panels balances trendy texture and home atmosphere, catering to the aesthetic pursuits of consumers of different ages.

Performance has been fully upgraded. The vehicle is equipped with a long-life AGM dedicated battery, with a cycle life reaching 3 times that of ordinary batteries; equipped with the same high-end turbocharging technology, with a charging efficiency of up to 99%. The rear motor power is increased to 70 kilowatts, with rapid response for starting, lane changing, and emergency handling, making the power performance more capable.

In terms of driving experience, the Highlight Version transforms into a mobile comfortable living room. The higher body brings an open driving view. Seat heating, ventilation, and steering wheel heating functions are all available; intelligent induction wipers can automatically complete window closing operations. The 64-color rhythmic ambient light changes lighting and shadows with music, creating a pleasant and comfortable driving environment in both city commuting and outdoor travel.

To reward the support of a large number of users, Beijing Off-Road officially launches a 30,000 yuan super trade-in policy, with no limit on brand or vehicle age; both new purchase and trade-in users can enjoy benefits. On top of this, the brand adds five exclusive favors: free lifetime warranty for the whole vehicle worth 6,000 yuan, flexible financial plans such as 0 down payment, old customer referral can win up to 800 yuan JD card, whole series models lifetime free OTA upgrade, basic traffic lifetime free + entertainment traffic two years unlimited. Multiple benefits further lower the car purchase threshold. Coinciding with the World Cup, the brand simultaneously launches a betting activity. Buying a car at the store allows participation in event betting. Guessing the champion and final match score correctly can also get an additional 50,000 yuan car purchase subsidy.

Quality comes from craftsmanship, strength fears no test. At the press conference site, CCTV Finance joined Beijing Off-Road to live-stream the first network-wide car teardown of a BJ30 Adventure Edition with a mileage of 150,000 kilometers. This mileage is equivalent to nearly 10 years of car usage for an ordinary family. The teardown results show solid quality: very little engine carbon buildup, power status is still full, gearbox has no leakage, internal parts wear is negligible; the battery pack is intact, with no bulging, leakage, or degradation issues; the chassis subframe and suspension system are clean and neat, with no rust or oil seepage phenomena, and the overall vehicle condition is comparable to a new car.

The camera also enters the BAIC Zhuzhou Super Factory to reveal the manufacturing foundation of excellent quality. Fully automated welding robots work precisely, with glue application error controlled at the level of a hair, solidifying the car body safety base; 5000-ton level stamping equipment forms the car body panels integrally, shaping smooth and tough car body lines; fully automatic painting process combined with eco-friendly water-based paint greatly reduces the volatilization of harmful substances, and the new car interior has no odor. A full-process rigorous quality control system safeguards every offline vehicle.

From the 150,000 units sales milestone to the all-new launch of the Highlight Version, Beijing Off-Road has always adhered to the original intention of making cars. With professional off-road technology, extreme product experience, and affordable pricing, it makes light off-road life within reach. In the future, Beijing Off-Road will continue to enrich the product matrix, with BJ30 Adventure Edition, BJ40 and other fine models, accompanying thousands of users to gallop in cities and rush to mountains and seas, unlocking more highlight journeys with the vast number of car owners.

May's new car sales rankings just came out, revealing a reality some have to admit: Pure fuel cars are heading towards the end, at least in the Chinese market.

Not a single fuel car in the top 16 models

According to CPCA statistics, the top 16 passenger vehicle retail sales models in May were all new energy vehicles, not a single fuel vehicle model, which is the first time in my recollection.

Bo Yue L appeared at 17th place, which can be said to regain some face for fuel cars.

CPCA Secretary General Cui Dongshu stated that "Cold Fuel, Hot New Energy" was the biggest focus of the May auto market, with the speed of electric substitution exceeding expectations.

In particular, among the top 10 selling models, Geely Xingyuan ranked first with 38,751 units, Tesla Model Y ranked second with 28,911 units, Xiaomi SU7, Leapmotor A10, and Li Auto i6 ranked from third to fifth respectively, while Model 3, Wuling Hongguang MINIEV, AITO M6, Yuan UP, and Titanium 7 PHEV occupied the 6th to 10th places in order.

Among them, 8 models were pure electric vehicles, and the top 6 were all BEVs, with electric vehicles being very strong.

This is also a trend-based change. In January this year's top 10 sales, there were still 7 fuel cars, 6 in February, 5 in March, only one Geely Binyue in April ranking 8th, and zeroed out in May. The speed of change is overwhelming.

Whether it is Binyue or Boyue, they can be called the standouts among fuel cars, but both fell out of the TOP 10 camp.

Back in 2025, fuel cars still held half of the TOP 10, still the market boss. Before that, Sylphy, Lavida, Sagitar, etc. dominated the list for a long time.

TOP 10 is also the weather vane of the auto market. Is it that fuel cars are not trying hard enough? Of course not. Previously high-and-mighty luxury brands had to conduct significant promotions, with some model prices even approaching a 50% cut, such as Jaguar Land Rover dropping by 50%, and BMW dropping by over 300,000 yuan.

Joint venture fuel cars are also ruthless when cutting prices. Nissan Sylphy Classic terminal price starts at 50,200 yuan; VW Sagitar official price dropped to 79,800 yuan, a decrease of about 33% compared to the old model guide price of 119,900 yuan, a drop of 50,000 yuan; Honda Civic entry-level vehicle price only is about 90,000 yuan; VW Tharu after discount is 82,900 yuan, a drop close to 40%.

Sales still did not see much improvement, indicating consumers are not too interested, fuel cars have already become a "niche category", fast becoming sentiment cars.

New energy vehicle penetration rate reaches 62.9% high

At the same time, new energy vehicle penetration rate is rising. According to CPCA statistics, May new energy retail penetration rate continued to break 60% to reach a historical high of 62.9%, which is worlds apart from January's 38.6%.

What does this concept mean? It's equivalent to every 3 passenger vehicles sold, 2 are new energy vehicles, seizing the market initiative.

This year January to May, domestic auto market decline is around 20%, but during the same period new energy passenger vehicle wholesale sales reached 5.306 million vehicles, year-on-year growth of 1.7%, forming a sharp contrast with the general market trend.

Penetration rate improvement is not strange, what is strange is the speed of improvement. One reason is the Middle East War causing soaring gas prices, highlighting the advantage of low usage cost for new energy vehicles.

At the same time, new energy vehicle experience is continuously improving: trendy exterior design, smart and smooth cockpit, trouble-free assisted driving, scientific spatial layout, precisely grasping young people and family users' purchase preferences.

Conversely, traditional fuel cars, for many years product innovation lagging, high fuel consumption, lagging intelligence, high usage cost shortcomings continuously highlighted, slowly lost market competitiveness.

From the supply side, even "cold" joint venture car companies have become enthusiastic, which may also be forced by circumstances. According to CPCA statistics, May new energy joint venture models sales year-on-year growth 51%, fuel cars year-on-year decline 41%.

HEV Gas-Electric is also growing

New energy vehicle penetration rate improvement reflects the acceleration of electrification. Of course, electrification is not limited to new energy vehicles, gasoline-electric hybrid HEV not relying on charging is also one of the directions.

According to CPCA statistics, May gasoline-electric hybrid passenger vehicle wholesale 92,000 vehicles, year-on-year growth 26%, month-on-month growth 28%.

Among them, GAC Toyota (35,560 units), FAW Toyota (27,999 units), SAIC Passenger Vehicles (12,758 units), Geely Automobile (6,677 units), Changan Ford (2,809 units), Dongfeng Motor (1,984 units), Dongfeng Honda (1,955 units), GAC Honda (1,198 units) are the standouts among them.

It is worth mentioning that Chinese brands Geely, SAIC, Changan, GAC, etc. are also rapidly catching up in the HEV field, and found new markets overseas.

Pure fuel cars hope for export

Fuel cars are collapsing at a visible speed domestically, but overseas markets still have vast room, especially in Southeast Asia, Middle East, Russia, South America, where charging infrastructure is insufficient, fuel cars are still the absolute main force.

The most intuitive impression is, BYD's total sales far exceeded Chery, but the latter's export volume is more than the former, and mainly sold are fuel cars. Chery fuel cars swept Middle East, Latin America and Russia, BYD electric vehicles deep cultivated Thailand, Brazil, Europe, etc.

2024 China fuel car export volume reached 4.574 million vehicles, accounting for 78.1% of total auto exports, this ratio has been stable around 3/4 since 2020; 2025, fuel car exports 4.483 million vehicles, accounting for 63.16% of total exports 7.098 million (CAAM data); until this year May, this ratio is still at 46%.

Equal Rights for Fuel and Electric? Save fuel cars?

Actually, comparing new energy vehicles with fuel cars is a bit unfair, the former's advantage partly comes from electric drive experience, partly from policy dividends: exempt purchase tax, green plate convenience, cheap electricity fees, and bypassing the road tax base in the fuel tank.

Fuel cars did suffer a silent loss. As the saying goes: "Fill a tank, half is tax." Although this statement is a bit exaggerated, the reason is roughly the same. Taking current 92 Octane Gasoline as an example, consumption tax, VAT, Urban Maintenance and Construction Tax, Education Surcharge, Local Education Surcharge added up, account for about 1/3 of gas price. The lower gas price, the higher proportion of fixed consumption tax.

New energy vehicles also occupy roads, occupy parking spaces, cause congestion, also wear road surfaces, and cause greater harm, especially large new energy SUVs, ranging from over 2 tons, but because not refueling, naturally bypass the refined oil consumption tax this old interface.

Now relevant departments and media are calling for new energy vehicles to "reduce weight", possibly laying the groundwork for taxing based on vehicle weight.

Due to user experience differences, even achieving "Fuel and Electric Equal Rights", fuel cars still cannot get rid of the fate of decline, just slightly delay the process. (Author | DA Bin)

In this early summer of 2026, what we see is not just a set of record-breaking numbers, but the complete logic of a Chinese brand moving from quantitative change to qualitative change.

On the first day of June 2026, when most car companies were still making a final sprint for the 'half-year exam', Geely Automobile has delivered a remarkable May performance report: monthly sales of 237,637 units, achieving year-on-year and month-on-month double growth for three consecutive months.

This is not just a simple sales sprint, but more like a carefully choreographed 'technical symphony'. Under the current high penetration rate of new energy, Geely did not fall into pure price wars, but chose a harder path — using the confidence of fully self-developed technology to reshape the value benchmark of every segment market. Through these cold numbers, we try to explore: How exactly did Geely make 'technical belief' take root in users' hearts?

The 'Multi-dimensional Chess Game' Behind Sales: From Single-unit Breakthrough to Army-style Operations

If the automotive market is compared to a battlefield, then Geely in 2026 is no longer a warrior holding a single weapon, but a well-equipped, clearly divided modern army.

First to come into view is the performance of ZEEKR. Delivery volume of 34,377 units, up 81.8% year-on-year. This number itself means that the discourse power in the high-end pure electric market is shifting. Interestingly, ZEEKR did not dilute its 'luxury technology' brand concentration due to pursuing scale. On the contrary, the proportion of ZEEKR Series 9 and Series 8 is close to 50%, and the average transaction price per vehicle grew counter-trendly by 52.4%. This shows that in the high-end market, users are willing to pay for ultimate technical experiences.

The launch of the new generation flagship MPV ZEEKR 009 can be called a 'technical show'. Full-stack 900V high-voltage architecture, 10-minute charging replenishing 510 kilometers, 0-100 acceleration 3.9 seconds. These parameters might have existed only in concepts a year ago, but now are actually put into the car. Especially its equipped Thor-U chip, with 700 TOPS computing power. This is not just an accumulation of computing power, but infinite possibilities reserved for future all-scenario intelligent driving control. ZEEKR is proving that Chinese brands can not only make luxury cars, but also define the technical standards of luxury cars.

Turning attention to LYNK & CO, this 'Born Global' brand is undergoing a profound 'electrification metamorphosis'. May sales 20,732 units, new energy share up to 70.8%. The newly launched LYNK & CO 10 and LYNK & CO 10+ no longer only emphasize 'sport', but propose a 'controllable, stable' driving experience. On TCR China and CTCC race tracks, LYNK & CO 03+ TCR racing cars won multiple championships. This transfer of 'race track genetics' to civilian products built a unique brand moat. LYNK & CO is telling the world in a very new way: Electrification does not equal boredom, driving fun can still be precisely tuned.

As the sales cornerstone, Geely Galaxy and Geely Brand have shown amazing system strength. Geely Galaxy Starship 7 EM-i, completing the 'Excessive Standard Bilateral Serial Limit Crash Test' in the French UTAC laboratory, verified 'Chinese-style safety' in a way that was almost harsh. In A-class and B-class markets, Geely Star Wish, Boyue, Emgrand, and other models not only held their basic market share, but through the empowerment of AI technology, achieved intergenerational leadership in the comfort and intelligent experience of family cars.

From 'Parameter Involution' to 'Value Symbiosis'

After going through the 'parameter arms race' of the past few years, the 2026 automotive market began to return to rationality. Users no longer only look at driving range, but value charging efficiency, safety redundancy, and the stability of intelligent experience. Geely's brilliance lies in that it realized this early on, and began to implement technology from 'paper' to 'road'.

Intelligence is no longer an option, but a standard configuration

Geely's published 'Qianli Haohan Intelligent Driving China Full-domain Travel Report' revealed a stunning fact: the activation rate of assisted driving was as high as 93.8%. This means the vast majority of Geely owners have already formed the habit of using intelligent driving. Accumulated avoidance 8.9 million times, AEB automatic emergency braking successfully triggered 2.4 million times. Behind these data is the safety of countless families. Geely's logic is clear: The core of intelligence is safety, is liberating users' energy, not creating anxiety.

Safety is the Gene Carved into the Bone

On Euro NCAP test tracks, in Italy's Misano circuit, on Australia's wilderness roads, Geely's products are undergoing the harshest environment tests globally. From ZEEKR 7X topping sales in Australia to Geely Starship 7 EM-i performing well in crash tests, Geely is defining Chinese car safety with global standards. This 'Full-domain Safety' concept gives Geely's products the confidence to face established European and American car companies when going global.

From 'Product Output' to 'Value Output'

May overseas export sales 85,144 units, reaching a new high again. Behind this number, Geely's globalization strategy has entered the 'deep water zone'.

In the past, Chinese car companies going global were often seen as synonymous with 'cost-performance ratio'. But now, ZEEKR 7X became the best-selling luxury pure electric SUV in markets such as Mexico and Malaysia, Geely Star Wish topped the charts in markets such as Brazil and Indonesia. This shows that what Geely exports is not just products, but a set of 'Chinese Value' including design, intelligence, and safety.

Strategic cooperation with the England National Team, becoming the 2026 World Cup (Mexico/Canada/USA) broadcast partner, these moves seem to be marketing, but are actually a global resonance of brand values. The fighting, transcendence, and team collaboration in sports spirit aligns perfectly with Geely's brand core of 'Great due to joy' and 'Born Global'. Geely is using a subtle yet impactful way to make global users produce emotional identification with Chinese brands.

What did Geely do right?

While writing this article, I repeatedly thought about a question: In the fierce competition of 2026, why could Geely maintain year-on-year and month-on-month double growth for three consecutive months?

The answer may be hidden in the strategic synergy of 'One Geely'. Geely did not let each brand fall into internal friction, but built a multi-level matrix covering mainstream, high-end, and luxury. Each brand has a clear positioning, and at the same time can share the technical dividends of the group in three-electric, intelligent driving, and safety architecture.

More importantly, Geely maintained a kind of 'long-termism' stability. Whether it is continuous investment in the CMA architecture, or iteration of Thor hybrid technology, or refining the Qianli Haohan intelligent driving system, Geely did not seek success in haste, but was waiting for the 'critical point' of technology. When the market returned to rationality from frenzy, those solid technical reserves became the sharpest weapons.

Move Towards the New, Not Just Cars

Looking back at the 2026 Chinese automotive market, the first half of new energy is drawing to a close, and the second half of intelligence has just opened.

Geely's May performance report is not just a victory in sales, but also a victory in technology route. It tells us that the essence of the automotive industry has not changed: Good products are always the core, the ultimate purpose of technology is to serve people

From the Hangzhou Bay manufacturing base, to Italy's race tracks, to Australia's streets, Geely Automobile is telling a new story about 'China Intelligent Manufacturing' to the world with a steady and powerful pace. In this story, there are no exaggerated slogans, only respect for technology, sincerity to users, and the purest love for the 'car making' matter.

When technical belief becomes a habit, the explosion of sales is just a natural result. For Geely, 238,000 units is just a new starting point, the true stars and seas are still ahead.

According to the latest production and sales data for BYD's May 2026 obtained by "Zao Dong Che", 383,453 new energy vehicles were sold that month, continuing to claim the champion of new energy vehicle sales among Chinese automakers. BYD has now maintained the top spot in domestic new energy vehicle monthly sales for 60 consecutive months. As of now, BYD's cumulative new energy vehicle sales have exceeded 16.5 million units, continuously consolidating its industry-leading advantage.

In detail, BYD's Dynasty Series and Ocean Network continued to sell well, selling a total of 330,215 units in May, continuing to become the core force for BYD's sales growth. Regarding high-end brands, Fang Cheng Bao and Denza sold a combined 46,489 units in May. Among them, Fang Cheng Bao sold 30,186 units, up 139.7% year-on-year, reaching a new high for the year; Denza sold 16,303 units, continuing to maintain a growth trend; YangWang sold 286 units, up 105.8% year-on-year. The full matrix working together drove continuous growth in BYD Group's sales.

In terms of intelligence, as of May 28, the number of vehicles equipped with assisted driving exceeded 3.15 million, with Di Tian Yan generating over 200 million kilometers of data daily. On May 28, BYD announced the launch of Urban Pilot Safety Backstop Service, becoming the world's first automaker to simultaneously achieve "dual backstop" for Urban Pilot and Smart Parking. Smart driving that dares to backstop is truly reliable.

Within three days after the press conference, daily active user count for City Pilot on vehicles equipped with Di Tian Yan A and B assisted driving systems increased by 50%. Prior to the launch of Smart Parking Safety Backstop, the usage rate had increased from 21% to over 90%. BYD Group Chairman and President Wang Chuanfu stated: “Daring to backstop is true safety.” 

Since the launch of Smart Parking Safety Backstop last July, the usage rate of Di Tian Yan Smart Parking function has increased from an initial 21% to 93% now, and the Smart Parking accident rate is almost zero. Based on confidence in Di Tian Yan technology and a commitment to consumers, BYD has once again taken the lead in promising to backstop Urban Pilot Safety: Starting today, within one year, for new users from the day they pick up the vehicle, and for old owners upgrading to Di Tian Yan 5.0 via OTA, all will enjoy 1 year of Urban Pilot Backstop. When users use Urban Pilot functions compliantly, if a traffic accident with liability occurs, direct economic losses that should be borne by the vehicle (including vehicle repair costs, third-party property damage, personal injury losses) will be directly compensated by BYD.

Comparing to common smart driving insurance in the industry, BYD's Urban Pilot Backstop is entirely free, has no limit, and will not affect commercial insurance premiums for the following year. Since then, BYD has become the world's first enterprise to have "dual backstop" for Urban Pilot and Smart Parking safety, using concrete actions to make assisted driving truly integrate into users' daily travel and life, enabling users to gain safety experiences.

BYD's technical confidence to dare to backstop comes from the three unique advantages of Di Tian Yan: First is the scale advantage, with BYD's assisted driving vehicles exceeding 3.15 million units, ranking first among Chinese automakers; second is the data advantage, with Di Tian Yan generating over 200 million kilometers of data daily, ranking first among Chinese automakers; and last is the R&D advantage, with the assisted driving R&D team having over 5,000 engineers, with the team size ranking first among Chinese automakers.

Technical innovation continues to transform into product competitiveness. After the launch of the 2nd Gen Blade Battery and Flash Charge Technology, models such as the 3rd Gen Yuan PLUS, Fang Cheng Bao Leopard 5 Flash Charge Version, Leopard 8 Flash Charge Version, and Denza N9 Flash Charge Version have successively launched. Meanwhile, the Tang on Dynasty Network will launch in mid-June, and Denza N8L Flash Charge Version, Seal 08, and Sealion 08 will also launch successively, further expanding BYD's Flash Charge product matrix.

In the just passed May, BYD's overseas market continued to maintain high-speed growth. Passenger cars and pickup trucks sold 160,177 units overseas, up 80.7% year-on-year, creating a new historical high. Models such as Seagull, Song PLUS, and the Yuan Series continued to sell well, and the SHARK Pickup truck exceeded 4,000 units for two consecutive months. As the product matrix continues to enrich and the global layout deepens, BYD's globalization process will continue to advance rapidly.

On May 18, 2026, BYD officially launched DM Technology in the Indonesia market. With more flexible energy management capabilities and higher energy efficiency performance, this technology will provide new energy mobility solutions covering multiple scenarios for Indonesian consumers.

According to Zhao Yue, General Manager of BYD Indonesia Branch: "Since the passenger car business entered the Indonesia market in January 2024, BYD has gained wide recognition from local users, with about 90,000 new energy vehicles currently driving on Indonesia's streets and alleys. Under the double drive of government policy support and market demand growth, the Indonesia new energy vehicle market continues to expand, with EV penetration rate increasing from less than 1% in 2022 to about 20% in the first quarter of 2026, and the electrification process significantly accelerating. The introduction of DM Technology means that BYD is no longer just providing products of a single energy form in Indonesia, but is starting to provide a more complete mobility choice logic. We hope to enable users to no longer need to choose between city commuting and long-distance travel through DM Technology, making it a daily travel mode that can be used without pressure."

It is understood that Indonesia is vast in area, inter-city travel demand is frequent, and charging infrastructure is still in the process of continuous improvement, so consumer demand for multi-scenario new energy vehicle models that can balance daily commuting and long-distance travel continues to rise.

DM Technology uses electric drive as the core driving logic, presenting pure-electric-like quietness and efficiency in city commuting; in long-distance travel, it collaboratively guarantees range and travel freedom through an intelligent energy management system, thereby achieving comprehensive coverage of multi-scenario travel needs.

And in the crossover field, on local time May 21, Denza joined hands with Swiss luxury jewelry and watch brand Chopard to create the global unique Denza Z9GT Chopard Edition with exquisite craftsmanship, donated to the 32nd Cannes amfAR Charity Gala. As a highly anticipated charity event during the Cannes Film Festival, the gala aims to raise funds for AIDS research. On that night, the Denza Z9GT Chopard Edition was hammered down at 700,000 Euros (approx. 5.55 million RMB), becoming one of the most anticipated auction items on site.

Adhering to Denza's concept of "Extraordinary Technology, Driving Luxury", Z9GT becomes an ideal carrier for the excellent dialogue between Chinese tech performance and Swiss craftsmanship. Denza brings flagship GT models, frontier innovative technology, and the Yi San Fang Platform; Chopard adds splendor to this work with its inherent luxury style, profound heritage, and exquisite craftsmanship, turning the whole vehicle into a jewelry art piece in motion.

Interestingly, on local time May 14, BYD partnered with European famous independent film production company Mediawan to establish an award aimed at inspiring new film talents — Dream Building Award (Build Your Dream Award) in Cannes, France. The award ceremony is held concurrently with the Cannes Film Festival, annually awarding the best feature film debut released in French theaters within the past 1 year. The jury is chaired by famous Chinese director Chen Kaige, with members including French famous actor, director, and screenwriter Mélanie Laurent, French actor Hafsia Herzi, and other international film industry authorities.

Chen Kaige serves as the Chairman of the Dream Building Award Jury. Since the 1980s, Chen Kaige has gained international fame for his outstanding artistic achievements and has become an important representative figure promoting the development and evolution of Chinese cinema. In 1993, his film "Farewell My Concubine" won the highest award of the Cannes Film Festival — the Palme d'Or. Chen Kaige stated: "There are countless young people around the world harboring the dream of becoming film directors. Holding the Dream Building Award during the Cannes Film Festival, this award set specifically for new film talents, is a highly meaningful and precious thing for them."

From sales growth to overseas breakthrough, from tech innovation to intelligent popularization, the scorecard delivered by BYD in May reflects the continuous upward development trend of China's new energy vehicle industry. As the new energy vehicle industry accelerates development, the global competitiveness of Chinese brands is rapidly improving.

June 9, at BYD Shenzhen HQ Hexagon Building, a group of guests arrived — BYD shareholders.

On this day, BYD held the 2025 Shareholder Meeting.BYD Chairman and President Wang Chuanfu faced shareholders' sharp questions directly, and also provided a series of positive news:

• Generation 2 Blade and Flash Charging battery capacity is ramping up, this year's car sales depend on battery production;
• This year's overseas sales are expected to exceed the original target of 1.6 million vehicles;
• Future L3, L4 will definitely land earlier, once regulations land, BYD will launch L3 products, "BYD will take off quickly";
• By 2030, in terms of scale, BYD will be able to achieve true global No. 1…

What are the details and reasons for these "positive" news? Let's take a look together.

01

This Year's Sales

At the start of 2026, BYD's momentum was not good.

According to the June 1 sales bulletin, cumulative sales for the first 5 months were 1.405 million vehicles, a year-on-year decrease of 20.3%.

However,BYD sold 383,500 vehicles in May, a slight year-on-year increase of 0.26%, and a month-on-month surge of nearly 20%. Especially the year-on-year increase turned positive for the first time in 10 months, meaning BYD has turned around.

Wang Chuanfu pointed out that the purchase tax for new energy vehicles was halved this year, causing many consumers to purchase early last year. Therefore, consumption of new energy vehicles dropped sharply in January and February. Since BYD only makes new energy vehicles, it was greatly affected. However, after efforts in March and April, and coinciding with fuel price increases, sales recovered.

Additionally, BYD released the second-generation Blade Battery and Flash Charging technology. Public and consumer reactions were enthusiastic, but sales did not reflect much. Why is this?

Wang Chuanfu stated that the Generation 2 Blade Battery and Flash Charging technology solved a major pain point in electrification and received high praise from domestic and international sources. However, he admitted that current capacity is not enough,capacity is ramping up with a monthly increase of 20,000 to 30,000.

He revealed,this year the company's sales will depend on battery production. "With the improvement of our battery capacity, I believe this year will have good output. Greater output will come next year. Once our capacity ramps up well next year, I believe both domestic and international markets will exert force simultaneously."

BYD's Generation 2 Blade and Flash Charging battery technology coincides with a new stage of new energy vehicle consumption — the proportion of extended-range and plug-in hybrids continues to decrease,the proportion of pure electric is increasing more and more, reaching a two-thirds proportion by the end of April this year.

And consumers at this time, no longer worry about range, but still have doubts about recharging convenience, winter range, and recharging. Therefore,BYD's Generation 2 Blade Battery and Flash Charging technology, as well as "Flash Charging China" flash charging station construction, come at the right time.

Data Source: Terminal Insurance Data

Especially, although BYD led the plug-in trend, in the pure electric market, its own proportion is different from the whole industry.Whether in 2025 or the first 5 months of 2026, plug-in hybrids account for more than half in BYD passenger cars.

However, accompanied by Generation 2 Blade Battery and Flash Charging technology, BYD's pure electric will increase promotion efforts. BYD sources revealed,now in accepted orders, the proportion of pure electric has reached 60-70%, this is precisely the result of support from Generation 2 Blade and Flash Charging technology.

02

Intelligent Driving Outlook

Besides Generation 2 Blade Battery and Flash Charging technology, BYD's Intelligent Strategy Launch Event on May 28 also triggered industry attention.

In the Q&A session, many shareholders were also concerned about intelligent driving issues.

Regarding the current L2+ intelligent driving assistance system, Wang Chuanfu adhered to the attitude of co-developing and innovating with partners, and also emphasized his own advantages.

"Whole vehicle intelligence is embodied intelligence. BYD was the first to propose Mass Intelligent Driving, hoping that AI technology results can be quickly implemented on cars. BYD now has 3.15 million intelligent driving vehicles implemented globally, with 200 million kilometers of driving data every day, providing a good foundation for BYD's future implementation of higher-level intelligent driving."

Wang Chuanfu expressed optimism on autonomous driving. "According to the current development of AI technology, everyone can see,future L3, L4 will definitely be implemented earlier."

Wang Chuanfu mentioned that BYD has made full preparations from chips, algorithms, data, ecosystem, and other aspects,once regulations land, BYD will launch new products compliant with L3 relevant requirements, and move from China to the global market,including training centers in Europe, South America, Southeast Asia, Middle East, etc., are all ready. He said, "Once regulations land, BYD will take off quickly."

03

Overseas and Total

This year although BYD car sales declined, there were obvious highlights — exports.

First 5 months, BYD overseas sales were 614,000 vehicles, up 64.7% year-on-year.

Wang Chuanfu stated that in the overseas market, Chinese new energy vehicles have strong competitiveness. Whether from price, enterprise, technology, and other aspects, they have surpassed local peers, thus achieving good growth."Originally at the beginning of the year we set 1.6 million (overseas sales target). I think it will exceed."

However, Wang Chuanfu emphasized stable growth in exports, proposing localized production and service strategies, such as factories in Brazil, Hungary, Thailand, driving local supply chains, pulling employment, tax revenue, and reflecting social responsibility. "We hope to maintain stable, continuous development."

Based on expectations for domestic and international markets, Wang Chuanfu stated that BYD will maintain continuous growth for the next three to five years.Expectations are BYD will "achieve great growth by 2030", "Five years later, BYD will be able to achieve true global No. 1 in scale."

At the Shareholder Meeting, there was an interlude. A shareholder who participated in 2025 attended again, complaining that the stock price was undervalued and investment was stuck. Wang Chuanfu responded, "Our potential is recognized by everyone, but our stock price hasn't reflected it yet. On behalf of management, I understand and thank everyone for their support."

Wang Chuanfu said, hoping shareholders remain patient,"Shareholder better returns will definitely be achieved."