China’s EV Price War Intensifies: Leapmotor and Aito Hit Record Deliveries in May

As China’s electric vehicle (EV) price war heats up, leading players like Leapmotor and Huawei-backed Aito are reporting record-breaking sales in May, while other startups scramble to stay competitive in a fiercely evolving market.

Leapmotor Delivers Over 45,000 Vehicles – Up 148% YoY

Backed by global auto giant Stellantis, Leapmotor reported delivering 45,067 vehicles in May, marking a 148% year-on-year increase. A major driver behind this growth was the refreshed Leapmotor C10, a mid-size SUV starting at 122,800 yuan (~$17,045), launched on May 15. Over 13,000 units of the new model were delivered in May alone.

Aito, Powered by Huawei, Sets New Record

On June 2, Aito, the smart EV brand supported by Seres and powered by Huawei technology, announced it had delivered 44,454 vehicles in May – its highest monthly figure to date. The surge comes after Aito launched its ultra-luxury sedan, the Maextro S800, on May 30, priced from 708,000 yuan (~$98,000).

BYD Remains on Top but Feels the Pressure

Market leader BYD sold 376,930 vehicles in May, maintaining its dominance. However, to stay competitive, BYD slashed prices on 22 models on May 23, including a 20% price drop on its popular Seagull hatchback, now priced at just 55,800 yuan (~$7,750). The move triggered a dip in Chinese EV stock prices.

Despite robust sales, BYD faced scrutiny after reports alleged pressure on one of its dealers, Jinan Qiansheng, over cash flow issues – claims which BYD publicly denied.

Xpeng, Xiaomi, Nio – Mixed Results Across the Board

Xpeng delivered 33,525 vehicles, slightly down from April, but still posted a 230% year-on-year growth. It launched the Mona M03 Max and Plus models on May 28, priced from 119,800 yuan.

Xiaomi, a new entrant in the EV race, maintained its momentum with 28,000+ deliveries, and teased the launch of the YU7 luxury SUV, expected in July.

Li Auto delivered 40,856 vehicles, a 16.7% YoY growth.

Zeekr, owned by Geely, saw only 1.6% YoY growth, despite its offer of free driver-assistance tech since March.

Nio delivered 23,231 vehicles, reflecting 13.1% YoY growth. Its family-oriented brand Onvo contributed 6,281 vehicles, making May its best month yet.

Global Expansion Hurdles Ahead

With the domestic EV market reaching saturation and competition surging, Chinese automakers are eyeing overseas markets. However, tariffs from the EU and the U.S. are likely to stall efforts to expand into Western countries.

As a result, automakers are turning to emerging markets, particularly in Africa. For example, BYD officially entered Benin on April 24 via a partnership with CFAO Mobility, signaling a strategic shift in its global approach.

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Source: CNBC