In the face of slowing demand and rising competition, Tesla (TSLA.O) slashed prices on some Model 3 and Y cars in China in January and offered cash discounts for some Model Ys from Feb.1, reversing five upward adjustments since late October.
Tesla lowered the starting prices of the basic versions of Model 3 and Y by 6% and 3%, respectively, in January, versus November when it raised their prices, Reuters calculations show.
Tesla’s biggest Chinese rival BYD (002594.SZ) saw NEV sales at 201,493 in January, the lowest since March 2023. Its sales were up 33.14% from the year earlier but down 40.92% from December when BYD pushed inventories to dealers at the year-end to meet its annual sales target of 3 million units.
Geely (0175.HK), which has brands like Zeekr, Geely and Lynk & Co, sold a total of 213,487 vehicles.
Among other EV brands, Huawei-backed Aito delivered 32,973 cars in January, up 636.83% from a year earlier and up 34.76% from the prior month, helped by sales of the new M7.
Li Auto’s (2015.HK) January deliveries fell 38.11% from December.
Total NEV sales to dealers by Volkswagen’s two joint ventures in China with SAIC (600104.SS) and FAW nearly quadrupled in January from a year ago to 19,428 units, CPCA data shows. The industry body releases full January data on Thursday.
The steep rise was due to the popularity of Volkswagen’s ID.3 hatchback. More than 10,000 units of the hatchback have been sold per month after the German automaker cut the starting price of the model to a level lower than BYD’s Qin EV in July.
Reporting by Qiaoyi Li, Zhang Yan and Sarah Wu; Editing by Himani Sarkar