Li Auto Joins Price War with Major Discounts Following Tesla and BYD Cuts

Li Auto Inc. has announced discounts of between 6% and 7% across its lineup following Tesla’s price cuts in China.

Aiming to cement its reputation as a high-end brand and maintain profit margins, Li Auto has until now strived to avoid the price war. But with competition in China’s electric vehicle (EV) market becoming increasingly fierce since the second half of 2023, Li Auto has had to choose between sales and profit margin.