Chinese auto manufacturers BYD, Great Wall Motors, Zhejiang Leapmotor Technology and Zhejiang Geely Holding Group are reducing prices and offering incentives to spur sales in a last-minute sprint to meet their year-end goals.
Leapmotor is trimming the price of all its vehicles by up to CNY10,000 (USD1,367) each for those customers who put down a deposit between Nov. 1 and Nov. 30, the Hangzhou-based carmaker said on Nov. 1. It is also offering CNY5,000 (USD684) worth of optional accessories on selected models.
BYD is slashing the price of some of its most popular autos by between CNY7,000 and CNY20,000 (USD960 and USD2,742) in return for a CNY2,000 (USD274) deduction on the deposit this month, the Shenzhen-based company also said on Nov. 1. On top of this it is granting zero interest loans for the next two years and up to CNY8,000 in allowances for trade-in purchases and other perks.
While Great Wall Motor is offering a discount of CNY30,000 (USD4,114) on its Ora Lightning Cat series for a limited period of time. And Zhejiang Geely Holding Group’s Lynk & Co is reducing the price of its 08 model by CNY6,000 if customers confirm their order this month and collect before Dec. 31.
Demand is expected to pick up this month as car dealers strive to meet their annual targets, The Paper reported today, citing Lang Xuehong, deputy secretary general of China Automobile Dealers Association. Auto sales should climb 10 percent month on month to around 2.1 million units.
Both BYD and Leapmotor hit new sales records last month. BYD’s sales surged 38.5 percent year on year to 301,800 units while Leapmotor’s shipments surged two-and-a-half-fold to 18,200 autos.
Earlier this year, there was a price war among China’s vehicle manufacturers after US electric car startup Tesla reduced its prices to boost sales. In July, many carmakers signed a letter of commitment, pledging not to disturb market order with unfair prices.