Chinese luxury EV manufacturers scaling back new releases due to weak demand: experts
Analysts are predicting a slowdown in the luxury electric vehicle (EV) market in China next year, as demand weakens and financial resources dwindle. This shift comes after Chinese EV manufacturers initially made strides in capturing market share from traditional luxury brands like BMW and Mercedes-Benz.
Shenzhen Denza New Energy Automotive recently unveiled its 2025 D9 model, a luxury multipurpose vehicle, in Shenzhen. With advanced driving assistance technology and various plug-in hybrid and battery EV options, the D9 has been a popular choice since its launch in 2022, selling over 300,000 units. However, recent data indicates a decline in monthly sales, signaling a potential shift in the market.
Founder of CnEVPost, Phate Zhang, suggests that automakers may hold off on launching new premium models in 2025 and instead focus on improving existing offerings. The challenges in expanding the high-end EV market, coupled with the overall slowdown in the EV industry, have posed significant hurdles for luxury EV sales this year.
The battle in the premium EV segment, particularly in the 200,000 to 300,000 yuan price range, has been fierce as Chinese carmakers aim to enhance their brand reputations and attract new customers. With market conditions evolving, manufacturers are expected to strategize on how best to navigate the changing landscape in the year ahead.
