Xpeng G9 SUV is on display during the 20th Shanghai International Automobile Industry Exhibition at the National Exhibition and Convention Center (Shanghai) on April 18, 2023 in Shanghai, China.
VCG | Visual China Group | Getty Images
Chinese electric car startups Xpeng, Nio and Li Auto on Tuesday posted vehicle delivery numbers for July, showing growth but differing in strength, as competition in the Chinese market continues to ramp up.
Xpeng, which continues to be hit with losses, said it delivered 11,008 vehicles in July, up by 28% on the month. It is the sixth consecutive month of delivery growth, highlighting a recovery to Xpeng’s business.
related investing news
It is also Xpeng’s highest monthly delivery number of this year, after the company commenced deliveries of its latest car — the G6 Ultra Smart Coupe SUV — in July.
Despite the month-on-month upside, Xpeng’s July deliveries were around 4% under the same time last year.
Xpeng’s sales were also eclipsed by Chinese rivals Nio and Li Auto.
Nio said its July deliveries totaled 20,462, up 103.6% year-on-year and nearly double the June figure of 10,707 cars. Nio’s figures were helped by the release of the refreshed ES6 SUV, known as the All-New ES6, which was launched in May.
Li Auto delivered the most cars in July out of the three vehicle makers, with 34,134 vehicles in July, up by 227.5% year-on-year and 5% above June. It is the second consecutive month that Li Auto has surpassed the 30,000 vehicle delivery mark.
However, Warren Buffett-backed BYD was the overall biggest electric carmaker in July. The company said Tuesday that it sold 262,161 new energy vehicles last month, including battery and plug-in hybrid cars.
Competition in China’s electric car market continues to ramp up, as companies launch new models and a price war, stoked by U.S. giant Tesla, plays out. Nio made big price cuts to its cars in June.
The numbers come against a backdrop of slower-than-expected Chinese economic growth, following Beijing’s decision to remove strict Covid-19 control measures in December. Consumers in China remain cautious.
Last month, the Chinese government announced measures to bolster the economy in various areas, including support for the automotive sector. The administration wants to increase car ownership, particularly for new-energy vehicles, such as electric and hybrid cars.
In June, Beijing extended tax breaks for the purchases of electric vehicles, which may boost sales in the coming months.
