Li Auto Inc., a prominent player in China's new energy vehicle market, has revised its vehicle delivery forecast for the first quarter of 2024. The company now expects to deliver between 76,000 and 78,000 vehicles, a significant decrease from the previously projected range of 100,000 to 103,000 vehicles. This adjustment, announced on March 21, 2024, is attributed to lower-than-expected order intake. Xiang Li, the chairman and CEO, acknowledged strategic missteps with the operation of Li MEGA, the company's high-tech flagship family MPV. Li Auto had prematurely operated as if the model was in a scaling phase, overlooking the necessity for a business validation period similar to its other models and technologies. The company plans to recalibrate its strategy by initially focusing on...Show More

Li Auto Inc., a prominent player in China's new energy vehicle market, has revised its vehicle delivery forecast for the first quarter of 2024. The company now expects to deliver between 76,000 and 78,000 vehicles, a significant decrease from the previously projected range of 100,000 to 103,000 vehicles. This adjustment, announced on March 21, 2024, is attributed to lower-than-expected order intake. Xiang Li, the chairman and CEO, acknowledged strategic missteps with the operation of Li MEGA, the company's high-tech flagship family MPV. Li Auto had prematurely operated as if the model was in a scaling phase, overlooking the necessity for a business validation period similar to its other models and technologies. The company plans to recalibrate its strategy by initially focusing on core user groups and cities with higher purchasing power before expanding. Additionally, Li Auto aims to shift its focus from sales volume and competition back to creating user value and maintaining operational efficiency. Li Auto, known for pioneering extended-range electric vehicles in China, began volume production in November 2019 and offers a range of premium smart electric vehicles.