In July, the sales of new energy vehicles were released, and BYD topped the list with 340799, with a cumulative sales of 1.948 million units from January to July, an increase of 29% over the same period last year, but considering that there are only five months left, even if the monthly sales reach 400,000 units, it is only 2 million units, and BYD still cannot complete the annual sales target of 4 million units.
We know that BYD's sales blowout in 2024 is more the result of the price war, especially after the Spring Festival, the slogan of low electricity than oil, the king of the three major sedans of Volkswagen Lavida, Nissan Sylphy and Toyota Corolla, has become Wuling Hongguang, as well as Honda Accord, Fit, Civic and CRV, the four major god cars cannot be sold, and they are all about to become unfinished cars, and they have to close the 290,000 production capacity factory, so that Guangzhou Automobile Group Zeng Qinghong jumped out to call on the state to intervene in the price war.
At the same time, the life of domestic fuel vehicles is not good, especially the Great Wall Motors reacted the strongest, and even once broke out to flip the table, because although Great Wall Motors made money last year in the first half of 2024, its domestic sales are only 360,000 units, and it is expected that the domestic sales in 2024 will only be 800,000 units, which is a very terrible number, indicating that the Great Wall has fallen to the second-tier car companies.
In particular, the national god car Haval H6 only sold 70,000 in half a year, ranking as low as 15, you must know that after the launch of Haval H6 in 2011, it won the domestic SUV sales championship for 108 months, and the peak monthly sales reached 80,000 units in 2016, which means that the sales of Haval H6 in half a year are not as much as they were sold in the first month, and Haval H6 sales are almost all snatched away by BYD, because BYD Song PLUS, BYD Song PRO and Yuan PLUS are ranked 2nd, 3rd and 4th respectively, with a total sales of more than 410,000 units.
As a result, BYD became a public enemy of the industry overnight, and became the object of crusade among various car companies, and at the same time, because the price of the whole system of Formula Leopard was too ruthless, it also caused dissatisfaction among BYD old car owners, and some local car owners even went directly to the store to pull up banners, further making BYD's price war fall into dire straits.
We know that Wang Chuanfu said that competition brings volume, which is a catalyst for technological breakthroughs and industrial upgrading, but in fact, BYD is not afraid of involution, mainly because it ranks first in production capacity and market share, and it is really uncomfortable to stand and watch the drama, but when others are out of the field, they can sit down comfortably, which is the theater effect of the front row rather being tired than rolling others to death.
However, important national meetings came to a major signal, requiring to strengthen industry self-discipline, to prevent involution of vicious competition, BYD is indeed being caught by others, that is, although there are 700,000 employees, but the per capita salary is relatively low in the car companies, but also enjoy the preferential policies for new energy vehicles, in addition to the real financial subsidies, that is, the new energy vehicle purchase tax reduction and low price of new energy vehicles, once the realization of the same rights to oil and electricity and the rise in electricity bills, then BYD's low price advantage will be reversed.
Since the crazy price war is difficult to complete the annual sales target of 4 million units, it is better to raise prices to make more profits, and it can also ease the relationship between major car companies, appease old car owners, and also respond to the call of national policies, so there was a BYD Song new press conference, executives shouted to pay tribute to Great Wall Motors, and said that the latter has guarded the Great Wall of Chinese SUVs with its own strength, and has great embarrassment to Great Wall Motors.
At the same time, the price of the BYD Song series will no longer be lowered, of which the starting price of the BYD Song PLUS DM-i24 entry model is 129,800, but the 25 models have been increased to 135,800, and the price has been adjusted by 6,000 yuan, and the Qin L main sales model has changed from 95,800 to 119,800, thus raising the overall average sales price of the Qin series market.
In fact, Wang Chuanfu also realized that the long-term price war is a kind of destruction for all enterprises, and if you want the healthy development of the industry, you still need to find a balance between buyers and sellers.
More importantly, the manufacturing cost of electric vehicles, in essence, is still higher than fuel vehicles, BYD shouted that electricity is lower than oil is just a short-term marketing slogan, so the price must be corrected, in order to keep the red line of corporate profits, it is possible to produce high-quality models, and after BYD achieves the goal of competing with foreign fuel vehicles, giving up the price war to turn to quality has become the key to the next development of the enterprise.