Source: e-Company Author: Mei Shuang

Sales reached a record high, but market share declined? Recently, Tesla has been “snubbed” in the Chinese market, and related news has attracted attention.

The news was soon confirmed by official data: On September 9, data released by the China Transport Federation showed that Tesla's retail market share in China in August was 6.2%, down 2.8 percentage points from the previous year.

Retail share in China declined

According to the latest data from the Passenger Transport Federation, the retail penetration rate of new energy vehicles in China in August was 53.9%, up 16.6 percentage points from 37.3% in the same period last year.

As the penetration rate continues to increase, the retail share of major car companies has changed significantly. In domestic retail sales in August, the penetration rate of new energy vehicles among independent brands was 75.9%; the penetration rate of new energy vehicles among luxury cars was 33.5%; while the penetration rate of new energy vehicles in mainstream joint venture brands was only 8%.

Looking at the monthly domestic retail share, the retail share of NEVs of mainstream independent brands in August was 73%, up 3 percentage points year on year; the share of new energy vehicles of joint venture brands was 3.8%, down 1.4 percentage points year on year; the share of new forces was 16.0%, and the share of new forces driven by brands such as Xiaomi increased by 2 percentage points year on year; Tesla's share was 6.2%, down 2.8 percentage points year on year.

On the evening of the 9th, a reporter from E Company interviewed relevant Tesla people in China on issues related to market share. The other party said that according to the Passenger Federation data, the total number of vehicles delivered at Tesla's Shanghai Gigafactory in August was 8,6697 vehicles, an increase of 17% over the previous month.

“In August, Tesla hit a new high in domestic sales since this year with over 0.063 million vehicles, a sharp increase of 37% over the previous month, ranking first in the domestic luxury car market.” People related to Tesla China also cited the above data.

Earlier, there were media reports that Chinese consumers are “snubbing” Tesla as rivals launch more attractive electric models. Tesla's share of the electric vehicle market in China fell from 9% a year ago to 6.5% in July this year.

In response, Tesla CEO Musk said, “People who believe this news are stupid. Tesla's Shanghai factory is running at full capacity.”

Obviously, the content of Musk's response focused more on Tesla's actual production and sales situation, while the market was discussing the share issue. There is no contradiction between the two statements. Tesla's sales data has indeed increased, but its market share in China has also declined.

Interest-free car purchase policy extended

Focusing on the Chinese market, Tesla's sales volume has fluctuated greatly since this year.

According to data from the Passenger Federation, Tesla's wholesale sales volume in China in June of this year was 0.071 million vehicles, down 2.1% month-on-month and 24.2% year-on-year. To further boost sales, Tesla has introduced multiple rounds of “promotion” policies in the Chinese market, including zero down payment for car purchases, zero interest for 5 years, etc.

Also, Tesla announced that the 5-year zero interest heavy benefit policy introduced earlier will continue until September 30. This preferential policy was first introduced in July, extended for the first time in August, and extended for the second time in September.

According to reports, this solution covers all options, including car paint, interior, wheels, EAP (enhanced autonomous driving assistance function), and FSD (full autonomous driving capability). Based on the Model 3 rear-wheel drive version, after using the 5-year zero-interest purchase plan, the minimum daily payment for a consumer car purchase loan can reach 85 yuan.

Under multiple preferential policies, Tesla's domestic sales have shown an upward trend in recent months. According to data from the Passenger Federation, Tesla sold 0.046 million vehicles domestically in July, an increase of 47% over the previous year. In August, Tesla hit a new high in domestic sales since this year with over 0.063 million vehicles, an increase of 37% over the previous year. Looking specifically at popular models, the Model Y sold over 0.045 million units domestically, and the Model 3 sold 0.018 million units.

The reporter learned that currently the Tesla Model 3 delivery cycle has been extended to 4-6 weeks, compared to 3-5 weeks before. “The amount of the interest-free subsidy is limited, so I want to buy as soon as possible.” Recently, Tesla sales staff also stepped up their efforts to promote car purchases.

The overall performance of NEV companies strengthened in August

According to a report released by the Passenger Federation on the 9th, the overall trend of new energy passenger car companies was strong in August. BYD's pure electric and plug-in hybrid dual drives consolidated its leading position in new energy brands; extended-range electric vehicles represented by Ideal Auto, Cyrus Auto, Changan Auto, and Zero Sports have performed particularly well.

In terms of product launch, with autonomous vehicle companies' implementation of the “multi-line approach” strategy on the new energy route, the market base continues to expand, and the monthly wholesale sales of new energy vehicles have reached 19 manufacturers, which have exceeded 10,000 vehicles, accounting for 90.4% of the total number of new energy passenger vehicles.

Furthermore, in August, the retail sales share of the new forces was 16.0%, an increase of 2.1 percentage points over the previous year; the overall sales performance of car companies such as Zero Run, Extreme Fox, and Zhiji remained strong year-on-year and month-on-month.

The Passenger Federation pointed out that new energy from mainstream autonomous vehicle companies is getting stronger, and new energy sources such as BYD, Geely, Changan, Chery, and SAIC-GM-Wuling have shown strong performance and have become the mainstay of new energy sources.

Among mainstream joint venture brands, North and South Volkswagen led the way. SAIC Volkswagen and FAW-Volkswagen sold a total of 1,968 NEVs in August. Volvo and GAC Toyota's new energy vehicles also strengthened sharply in August.

Looking ahead to the car market in September, the Passenger Federation believes that the country introduced an end-of-life renewal policy and further undertook about 90% of the end-of-life renewal subsidy funds. This is a good demonstration effect to promote consumption, guide all regions to promote corresponding trade-in incentive policies and introduce implementation rules in a timely manner. With the introduction of trade-in policies in various regions, it has also brought a better boost to the sales volume of “Gold Nine Silver Ten.”

edit/lambor