Li Auto Sets Ambitious Goal to Lead China’s Premium Car Market by 2024
Li Auto, an emerging Chinese automaker, has its sights set on outpacing luxury car giants BMW, Mercedes-Benz, and Audi in its domestic market by 2024.
The company’s CEO, Li Xiang, reportedly confidently proclaimed on Tuesday, “We would strive to become the no.1 premium car brand in China in 2024 in terms of sales.”
He revealed that with production scaling up, Li Auto is poised to achieve a monthly delivery milestone of 40,000 units in the upcoming fourth quarter.
Launched in 2015, the company has shown a swift growth trajectory. They’re gearing up to debut their first solely battery-powered MEGA model by year’s end.
Li is optimistic about its reception, stating it’s anticipated “to be the top-selling model among all cars priced above 500,000 yuan ($69,315) with all types of fuels in China.”
As the EV market sees continuous flux, with brands like Nio and Xpeng facing challenges after Tesla’s aggressive pricing move earlier this year, Li Auto has managed to carve a niche for itself. Its focus on extended-range hybrid vehicles tailored for families has enabled the firm to expand its market share for cars priced over 300,000 yuan and to register growing profits.
Showcasing its robust performance, Li Auto reported its third consecutive positive net income in the last quarter, marking a staggering 147% growth from the first quarter.
With a delivery of 173,251 cars in the year’s first seven months, reflecting a 145% jump from last year, the automaker is on track to exceed 100,000 vehicle deliveries in the next quarter alone.
To give this ambition context, monthly sales figures from luxury brands BMW, Mercedes-Benz, and Audi have hovered between 31,500 and 70,000 units in this year’s first half, as per China Association of Automobile Manufacturers’ data.
In summary, as Li Auto speeds ahead with new model launches and production hikes, the next few years promise a dynamic shift in China’s premium automotive landscape.
