How Will Great Wall Motor Break Through? (AI Translation)
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文｜财新周刊 余聪
By Yu Cong, Caixin Weekly
中国民营车企三强比亚迪、吉利、长城汽车，正在进入一轮短兵相接的竞逐赛；与此同时，全行业都在围绕产品、价格、品牌、舆论、流量等全方位强竞争。
China's top three private automakers—BYD, Geely, and Great Wall Motor—are entering an intense, close-quarters competition. At the same time, the entire industry is witnessing fierce rivalry across all fronts, including products, pricing, branding, public opinion, and digital traffic.
2025年5月，比亚迪（002594.SZ/01211.HK）继续保持国内汽车企业销量第一，单月批发销量超过38万辆，同比增长15.4%；吉利汽车（00175.HK）紧随其后，但展示出了更强劲的增长势头，当月批发销量同比增长46%、至23.5万辆；历史上曾领先于前两家对手的长城汽车（601633.SH/02333.HK）则延续近三四年来的竞争弱势，同期销量10.2万辆、同比增长11.78%，销量仅分别为比亚迪的27%、吉利的43%，排在行业榜单的第七位。
In May 2025, BYD Co. (002594.SZ/01211.HK) retained its position as the top-selling automaker in China, with monthly wholesale sales exceeding 380,000 units, up 15.4% year over year. Geely Automobile Holdings Ltd. (00175.HK) followed closely, demonstrating even stronger growth with wholesale sales rising 46% to 235,000 units for the month. Great Wall Motor Co. (601633.SH/02333.HK), which historically outperformed its two competitors, continued to show relative weakness in the ongoing market competition, recording sales of 102,000 units in the same period, a year-on-year increase of 11.78%. This figure represents just 27% of BYD's sales and 43% of Geely's, placing Great Wall in seventh position in the industry rankings.
长城汽车董事长魏建军难掩不甘。年过花甲的魏建军，从2024年开始活跃于社交网络，学习小米创始人雷军做抖音、写微博、开直播，希望以长城汽车代言人的身份被市场更多地看到。他坚定认为“长城的车很好，只是困在不会营销”。
Wei Jianjun, chairman of Great Wall Motor, has struggled to hide his frustration. Having entered his sixties, Wei became notably active on social media platforms starting in 2024, following in the footsteps of Xiaomi founder Lei Jun by making short videos on Douyin, writing posts on Weibo, and launching livestreams. Wei’s aim: to boost the market visibility of Great Wall Motor by serving as its spokesperson. He remains adamant that “Great Wall makes excellent cars—our only obstacle is a lack of marketing prowess.”
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- BYD leads China's auto sales with 380,000+ units in May 2025, followed by Geely at 235,000 (up 46%), while Great Wall trails with 102,000 (up 11.78%), ranking seventh.
- Great Wall lost its previous edge due to late NEV strategy, product stagnation, and reliance on profit over volume, resulting in declining market share and profits.
- Intense industry price wars and oversupply are eroding margins; official interventions now target supply chain payment terms and unfair competition.
China’s top three private carmakers – BYD, Geely, and Great Wall Motors (GWM) – are engaged in increasingly intense competition across multiple facets, including products, pricing, branding, public opinion, and traffic. In May 2025, BYD maintained its position as the market leader with wholesale sales surpassing 380,000 units, up 15.4% year-over-year. Geely showed even faster growth, reaching 235,000 units, up 46%. GWM, however, remained in a weaker competitive stance, with 102,000 vehicles sold (up 11.78%), far behind BYD and Geely, ranking seventh in the industry [para. 1].
GWM’s founder, Wei Jianjun, has become more publicly active since 2024, seeking attention for his brand on social media, and believes the company’s products are good but hampered by weak marketing. Historically, GWM was a frontrunner in the SUV market, with its Haval H6 becoming a bestseller from 2011 to 2016, helping sales break the million-unit barrier. In 2016, GWM was regarded as China’s most profitable carmaker, but as the market shifted towards new energy vehicles (NEVs) in 2021 and BYD surged beyond 700,000 units (with over 600,000 NEVs), GWM's NEV sales lagged, stuck in the 100,000-unit range [para. 2][para. 3][para. 4].
The years 2022–2024 saw BYD’s annual sales soar past 1.8 million, 3 million, and 4 million respectively. Geely grew to 2.17 million, while GWM stagnated around 1.2 million, losing its lead in fuel SUVs and struggling with a hesitant NEV strategy [para. 5][para. 6][para. 7]. In 2024, GWM’s NEV sales were only 321,000, equal to BYD’s single-month volume [para. 7]. Wei Jianjun opposes "excessive electrification," preferring a multi-powertrain direction, though this position limited the company’s competitiveness [para. 7].
Marketwide, price wars have intensified. BYD aggressively cuts prices, leveraging supply chain and scale advantages, while Geely follows suit with its affordable EV offerings. Leading models sell below 100,000 RMB, a segment where GWM lacks a competitive product. With persistent price competition, profits across the industry have eroded; by early 2025, average profitability was just over 4%, down from 6.1% in 2021 [para. 14][para. 15][para. 17]. GWM, focused on protecting margins rather than chasing volume, saw Q1 2025 profits drop 45.6% year-on-year, and the company reluctantly started some price reductions [para. 16][para. 17].
The financial strain of ongoing price wars has been transmitted upstream, resulting in delayed payments to suppliers and overextended account periods. Regulators, including the Ministry of Industry and Information Technology, have criticized these “disorderly price wars” as detrimental to both the industry and consumers, recently urging automakers to improve payment practices and announcing measures to restore healthy competition [para. 18][para. 19][para. 20].
In terms of products, GWM’s once-iconic Haval H6 has fallen behind, and the Tank brand’s foray into off-road SUVs faces fierce competition from BYD and others. GWM missed the NEV transition window, with a delayed Haval switch to NEVs, and now plans to maintain a diversified powertrain approach, readjusting a previous commitment to full electrification [para. 22][para. 23][para. 24]. Geely, conversely, has established a clear NEV product matrix and maintains a strong competitive position [para. 26][para. 27].
Strategically, GWM has shifted towards direct sales and high-margin, differentiated models (e.g., Tank), and is also focusing on overseas expansion. In 2024, exports exceeded 450,000, with over half going to Russia, although tightening Russian import policies now impact this market. GWM is seeking broader growth in places like Brazil and expects significant export-driven growth heading towards its target of one million overseas sales by 2030 [para. 35][para. 36][para. 37][para. 38].
In conclusion, GWM must rejuvenate its core Haval lineup, strengthen NEV offerings, and maintain overseas expansion to navigate China’s fiercely competitive automotive landscape [para. 41][para. 42].
- BYD
比亚迪 - BYD is a leading Chinese private car manufacturer. In May 2025, BYD maintained its position as the top-selling car company in China, with over 380,000 wholesale units sold, marking a 15.4% year-on-year increase. BYD ceased selling gasoline-powered vehicles in 2022, focusing entirely on new energy vehicles.
- Geely Automobile
吉利汽车 - Geely Automobile, a major Chinese car manufacturer, is in a competitive race with BYD and Great Wall Motors. In May, Geely's wholesale vehicle sales impressively grew by 46% year-on-year, reaching 235,000 units. The company has successfully established clear product lines for its electric and conventional fuel vehicles and strategically acquired Volvo to improve its brand image.
- Great Wall Motor
长城汽车 - Great Wall Motor (GWM) began as a pickup truck maker in Baoding, Hebei, and became a top earner with its Haval H6 SUV. Once leading rivals Geely and BYD, GWM now lags due to slow new energy vehicle (NEV) transition and over-reliance on traditional SUVs. Chairman Wei Jianjun is actively marketing, but GWM's sales growth is flat, and profitability has recently declined amidst intense market competition, particularly in NEVs.
- Leapmotor
零跑汽车 - The article does not contain information about Leapmotor. It focuses on Chinese private automakers like BYD, Geely, and Great Wall Motors. Therefore, I cannot provide details about Leapmotor based on the provided content.
- Changan Automobile
长安汽车 - Changan Automobile isn't mentioned in the provided article. The article focuses on three other major Chinese private car manufacturers: BYD, Geely, and Great Wall Motors, discussing their market performance, strategies, and challenges.
- SAIC-GM
上汽通用 - SAIC-GM is mentioned as having one of the top three selling car models in China for the first five months of 2025, with their Wuling Hongguang MINI EV being a low-priced option under 100,000 yuan. Additionally, the Buick brand, under SAIC-GM, joined the price reduction promotions in May.
- Chery Automobile
奇瑞汽车 - This article does not mention *Chery Automobile*.
- Tesla
特斯拉 - The article does not contain information about Tesla. It primarily focuses on Chinese private car companies like BYD, Geely, and Great Wall Motors, discussing their market competition, sales performance, and strategic shifts in the Chinese automotive industry.
- NIO
蔚来汽车 - NIO, a prominent Chinese electric vehicle manufacturer, began delivering its first models around 2018. In 2021, NIO's sales placed it among the top electric vehicle companies in China, alongside BYD, SAIC-GM-Wuling, and Tesla.
- Xpeng
小鹏汽车 - The article mentions Xpeng when discussing Wang Fengying, former president of Great Wall Motors. After leaving Great Wall Motors, Wang Fengying became the president of Xpeng in early 2023. Under her leadership, Xpeng saw a turnaround, with sales increasing and gross margins improving.
- FAW Group
一汽集团 - The FAW Group, or First Automobile Works, is a Chinese state-owned automotive manufacturing company headquartered in Changchun, Jilin, China. It is one of China's "Big Four" automakers, alongside SAIC Motor, Dongfeng Motor Corporation, and Chang'an Automobile Group.
- Dongfeng Motor
东风汽车 - Dongfeng Motor is one of the Chinese car manufacturers that committed to shortening supplier payment terms to under 60 days. This move aligns with national efforts to stabilize supply chains and promote high-quality development in the automotive industry.
- GAC Group
广汽集团 - GAC Group is mentioned in the article as one of the major Chinese automotive companies that committed to shortening supplier payment terms to no more than 60 days. This action aligns with government efforts to counter "involuted competition" and ensure stable supply chains within the automotive industry.
- SERES
赛力斯 - The article does not contain information about SERES.
- BAIC Group
北汽集团 - BAIC Group is a Chinese state-owned automobile manufacturer, but the article does not provide any further information about it. Instead, the article focuses on private Chinese car companies like BYD, Geely, and Great Wall Motor, and the competition within the Chinese automotive industry.
- SAIC Motor
上汽集团 - SAIC Motor is mentioned as having a major car brand, Buick, which joined the price reduction promotion queue. In June 2025, SAIC Motor also announced the complete abolition of commercial acceptance bills as part of an effort to shorten supplier payment terms to no more than 60 days.
- Volvo Cars
沃尔沃汽车 - In 2010, the parent company of Geely Automobile Holdings, Zhejiang Geely Holding Group, acquired Volvo Cars (Volvo Cars) from Sweden. This acquisition helped Geely shed its early image as a low-end brand and eventually become China's top-selling domestic car manufacturer in 2017, a position it has largely maintained.
- In the 1990s：
- Great Wall Motors emerged in Baoding, Hebei Province and began producing pickup trucks.
- 2001：
- Great Wall launched the Sailor pickup, based on a replica Isuzu body.
- 2002：
- Great Wall developed its first SUV, the Safe, based on a pickup truck chassis.
- By 2011：
- Great Wall released the first-generation Haval H6 SUV model, which became a phenomenon in the market.
- 2016：
- Great Wall Motors’ annual sales surpassed one million units, with nearly 600,000 Haval H6 vehicles sold. Its net profit surpassed 10 billion yuan, becoming the most profitable automaker at the time.
- 2017：
- SUV market competition intensified, causing Haval H6 to lose momentum.
- By 2021：
- The Chinese auto market pivots rapidly to new energy vehicles; BYD sells more than 700,000 vehicles (over 600,000 NEVs). Great Wall and Geely each sell more than 1.2 million vehicles, with NEV sales around 100,000 units each.
- 2021：
- Tank brand launched by Great Wall Motor, targeting the off-road SUV market.
- Early 2022：
- Great Wall Motor announced suspension of Ora Black Cat and White Cat models due to raw material cost surge and supply chain disruptions.
- 2022：
- BYD discontinued traditional gasoline vehicles and fully shifted to NEVs, exceeding 1.8 million sales. Geely exceeded 1.43 million sales. Great Wall's sales declined 16% year-on-year to 1.067 million. BYD Song outsold Haval H6 for SUV sales leadership. Wang Fengying left Great Wall Motor.
- 2023：
- Price war in China’s automobile market began. BYD annual sales reach 3 million units, Geely 1.68 million; Great Wall lingers at 1.2 million.
- May 2023：
- Great Wall publicly accused BYD of using atmospheric pressure fuel tanks in Qin PLUS and Song PLUS models, sparking a 'fuel tank scandal.'
- In 2024：
- BYD vehicle sales exceeded 4 million units, Geely 2.17 million, Great Wall lingers around 1.2 million. Great Wall sold 321,000 NEVs. Great Wall’s net profit per vehicle reached 10,300 yuan, highest in history. Great Wall’s sales in Russia reached 228,600 units; actual output at its Russia plant hit 132,500 units. Tank brand sales totaled 231,000 units. Haval H6 annual sales were 132,000 and dropped out of top 10 for gasoline SUVs. Over 450,000 vehicles were sold overseas by Great Wall. Payment terms to suppliers in the industry saw frequent delays exceeding 120 days.
- April 1, 2024：
- Russia required vehicles entering via Central Asian countries to pay difference in taxes and fees.
- April 2024：
- Great Wall Motors began shifting toward direct sales with the launch of its direct-sales brand 'Great Wall Zhixuan.'
- September 2024：
- XPeng launches the MONA M03, Wang Fengying's major move after joining as president.
- October 2024：
- Geely launches the Galaxy Wish, a pure electric compact car.
- October 1, 2024：
- Russia raised the vehicle scrappage tax for imported cars by 70% to 85%.
- By January 2025：
- Galaxy Wish sales surpass BYD Seagull, becoming top-selling compact car.
- First quarter of 2025：
- Great Wall Motors' revenue fell to 40.019 billion yuan (down 6.63% YOY), and net profit attributable to shareholders dropped by 45.6%. Great Wall exported 90,000 vehicles (down 2% YOY). China exported 123,000 vehicles to Russia (down 39% YOY). Great Wall's exports to Russia reached 36,000 vehicles (down ~20% YOY). XPeng's gross margin reached 15.6%, rising for seven consecutive quarters.
- End of May 2025：
- Haval launched the fuel-powered Menglong off-road model.
- May 12, 2025：
- Wei Jianjun stated he invited Brazil's President to the opening ceremony of Great Wall Motor’s Brazilian plant.
- May 20, 2025：
- Cui Dongshu reported that nationwide inventory of passenger vehicles reached 3.5 million units by the end of April 2025.
- May 23, 2025：
- BYD launched limited-time subsidized prices for 22 models; individual car discounts exceeded 50,000 yuan.
- May 26, 2025：
- Geely announced limited-time subsidized prices for its Galaxy brand.
- May 27, 2025：
- China’s National Bureau of Statistics announced that the profit margin of the automobile sector in the first four months of 2025 barely exceeded 4% (a historical low). Haval Menglong gasoline model launch event held.
- May 31, 2025：
- China Association of Automobile Manufacturers and MIIT issued statements criticizing the domestic auto industry’s disorderly price war.
- Evening of June 10, 2025：
- Major automakers, including Great Wall, BYD, FAW Group, and others, announced commitments to shorten supplier payment terms to no more than 60 days.
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