3 new China-based Tesla rivals see sales surge as BYD leads

HONG KONG: Not only China-based BYD which is now a formidable electric car-maker but three other Tesla (NASDAQ:TSLA) rivals have also seen their sales surge in June in China as demand for EVs come back to track.According to a report in the South China Morning Post, Beijing-based Li Auto hit an all-time high of 32,575 deliveries last month, up 15.2 per cent from May.

While Shanghai-based Nio delivered 10,707 cars in June, three quarters higher than the volume a month earlier, Xpeng (NYSE:XPEV), based in Guangzhou, delivered 8,620 units, its highest monthly sales so far in 2023.

The three EV builders, listed in both Hong Kong and New York, are being considered as China's best response to Elon Musk-run Tesla.

Tesla, however, does not reveal its monthly sales for the Chinese market.

However, data from the China Passenger Car Association (CPCA) showed that its Shanghai Gigafactory delivered 42,508 vehicles in May, up 6.4 per cent from the previous month.

In the first quarter this year, one in every 7 cars sold during the first quarter was an electric vehicle, dominated by China's BYD at 21.1 per cent market share while Tesla was at second spot, with 16 per cent share.

Global passenger EV sales in Q1 2023 rose 32 per cent YoY. Battery EVs (BEVs) accounted for 73 per cent of all EV sales during the quarter, while plug-in hybrid EVs (PHEVs) made up the rest, according to Counterpoint Research.

The US surpassed Germany to become the world's second-largest EV market while China remained the leader in Q1 2023.