INDUSTRY BRIEF: Nio and BYD report strong January sales gains, but Li Auto falls

Electric vehicle (EV) makers Nio Inc. (NIO.US; 9866.HK) and BYD Co. Ltd. (1211.HK; 002594.SZ) reported strong double-digit sales gains in January, but Li Auto Inc. (LI.US; 2015.HK) stumbled during the month with a sales decline, according to data published by the three on Sunday.

BYD said its new energy vehicle (NEV) deliveries rose 59% year-on-year to 327,864 in January, while Nio said its sales for the month rose 38% to 13,863. But Li Auto reported a slight decline for the month, saying its EV deliveries fell about 4% to 29,927 in January this year from 31,165 in the same month of 2024.

Sales for EV makers are often tied to the release of new models, with many companies often posting strong gains in the first few months after such new models go on sale.

China is the world’s largest NEV market, with sales up 40% last year to nearly 11.6 million units. Chinese NEV makers also exported 1.3 million units last year, up 6.7% year-on-year, but are facing growing resistance in major markets like the U.S. and Europe that accuse the companies of receiving unfair state support.

Of the major Chinese EV brands, only BYD and Li Auto are consistently profitable. Hong Kong-listed shares of BYD were down 0.5% midway through the trading day on Monday, the first trading day after the long Chinese New Year holiday. Li Auto’s Hong Kong-listed shares were down 6.5% midway through the day, while Nio’s Hong Kong shares were down 2.9%.

By Doug Young

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