The EV manufacturer Aito, backed by Huawei, surpassed Li Auto in sales for June.

      Huawei unveiled a revamped version of the M5 compact crossover in Beijing on Tuesday, April 23, 2024. Credit: TechNode/Jill Shen

      Aito, the electric vehicle maker backed by Huawei, emerged as the top seller of electric vehicles among the newer entrants in China's fiercely competitive auto market in June. This marks the first time this year that it has surpassed Li Auto in sales, with figures that came close to those of established manufacturers like BYD and SAIC, according to the latest data. Conversely, Li Auto experienced a notable drop in sales during June, while Great Wall Motor and NIO witnessed a rebound in EV demand.

      Significance: The sales figures for June provide a comprehensive overview of the performance of Chinese automakers for the first half of 2025, a timeframe marked by considerable fluctuations due to unpredictable market conditions. Some manufacturers are experiencing lower-than-anticipated growth in sales for the half-year, as they attempt to curtail their ambitions in intelligent driving while dealing with the pressures of halting their ongoing price reductions.

      More Details: The Harmony Intelligent Mobility Alliance (HIMA) announced on Tuesday that it achieved its highest monthly sales rate for electric vehicles, with nearly 53,000 units sold last month. Huawei's automotive alliance, comprising four EV brands, has ambitious plans to sell 1 million cars this year.

      In particular, Aito, a brand launched by the Chinese tech giant alongside its manufacturing partner Seres, recorded sales of 44,685 units, outpacing Li Auto for the first time this year, bolstered by strong demand for its newly introduced M8 model. This family crossover directly competes with Li Auto’s L8.

      Additionally, Leapmotor, which positions itself as a budget-friendly alternative to Li Auto, outperformed its larger competitor for the fourth consecutive month in June, driven by robust demand for its RMB 109,800 ($15,317) B10 crossover. Analysts from Citic Securities express confidence in its goal to achieve 600,000 unit sales for the year.

      Li Auto has faced significant challenges from both higher-end and lower-end competitors, with its June deliveries falling by 24% year-on-year and 11.2% month-on-month to 36,279 units. After revising its annual sales target downward, the company intends to soon launch its second and third all-electric models, the i8 and i6 SUVs.

      Geely reported group sales of 725,151 new energy vehicles (NEVs) from January to June, reflecting a year-on-year growth of 126%, although its premium EV brand Zeekr saw only a 3.2% growth during the same period. By June, the group had achieved nearly half of its annual target of selling 1.5 million NEVs.

      Xiaomi's sales of around 25,000 EVs in June were 3,000 units less than what it achieved in April and May. The consumer electronics giant is struggling with production limitations, slowing production of its SU7 sedan to enhance the delivery of its second model, the YU7, which was launched last week.

      NIO sold nearly 25,000 all-electric vehicles last month, including sales from the Onvo and Firefly brands, which contributed 6,400 and almost 4,000 vehicles respectively, representing annual growth of 17.5% and an increase of 7.3% from May.

      Great Wall Motor reported a significant increase in NEV sales, rising by 39.5% in June compared to the previous year.

      Context: Sales of passenger NEVs in China, which consist of all-electric and plug-in hybrid vehicles, climbed by 34.1% year-on-year to nearly 4.4 million units during the first five months of this year, as reported by the China Passenger Car Association. The industry group anticipates that the country's auto market will maintain its momentum into June, although car dealers are contending with increasing cash flow pressures, making it challenging for them to continue offering price reductions.

      Jill Shen is a technology reporter based in Shanghai, focusing on Chinese mobility, autonomous vehicles, and electric cars. You can connect with her via email at [email protected] or on Twitter at @jill_shen_sh.