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English|Tesla's Chinese Rivals See Robust Delivery Growth in December Despite Supply Chain Woes

BEIJING, January  1 (TMTPOST)— Tesla’s Chinese Rivals recorded impressive deliveries in the past year despite the ongoing supply chain shortage. A total of four electric vehicle (EV) makers delivered more than 10,000 cars in the last month of 2021.
English|Tesla's Chinese Rivals See Robust Delivery Growth in December Despite Supply Chain Woes
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【English|Tesla's Chinese Rivals See Robust Delivery Growth in December Despite Supply Chain Woes】Source: Visual China
As the monthly and annual delivery champion among China’s homegrown EV makers, Xpeng Inc. in December delivered 16,000 vehicles with a year-over-year (YoY) increase of 181%, surpassing the 10,000-unit benchmark for four month in a row and refreshing the record a month ago when the manufacture for the first posted more than 15,000 units in a month. Its delivery in the fourth quarter had a 222% YoY growth to 41,751 EVs and the annual delivery increased to 98,155 units, 3.6 times more than the year of 2020.
In December, Li Auto Inc. delivered 14,087 units of its sole model Li ONEs with another monthly record, representing a 130% YoY increase, and the quarterly delivery of 35,221 was up 40.2% YoY, consolidating the company’s place second to Xpeng. Total deliveries in 2021 increased 177.4% YoY to 90,491, ranking Li Auto the third for the year next to Xpeng and NIO, the former leader which totaled 91,429 vehicles of delivery for the year, increasing 109.1% YoY. However, NIO delivered 10,489 vehicles in the year’s ending month, failing to break its 10,878 EVs’ delivery record made in November, and the YoY growth of 49.7% was much slower than the previous month’s 105.6%.
HOZON Auto’s brand Nezha, a closely follower of NIO, continued to close the gap with a new record delivery of 10,127 units and a YoY growth of 236% in December, the second consecutive month delivered more than 10,000 cars. The brand shipped 69,674 units in total for a full year, suggesting a rise of 362% from 2020.
The strong delivery growth could be fueled by China’s further EV subsidies’ cut in the coming year. The government would cut subsidies on the new energy vehicles (NEVs) for public transport by 30% in 2022, on top of an annual decrease of 20% in 2021, and would end such subsidies on Decmber 31, 2022, according to a notification released last Friday by four departments including the Financial Ministry. To slash subsidies by 30% would certainly affect the market as the auto-producers have to hike their prices but on the other side of the coin, the move to end subsidies can be a stimulus for sales surge in the year, especially the period toward the year end, commented Cui Dongshu, the secretary general of the China Passenger Car Association (CPCA). Cui’s industry body upgraded its forecast of new energy passenger vehicles sales in 2022 to 5.5 million units from the previous expected 4.8 million. As to the whole sales of NEV that year, he expected to reach 6 million.

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