GEELY AUTO(HK:00175) Jin Rong Jie·2025-12-26 07:59Core Insights - The completion of Geely's privatization and merger with Zeekr marks a significant step in the consolidation of China's automotive industry, transitioning from incremental competition to stock game dynamics [1] - This move aligns with Geely's "One Geely" strategy, facilitating a deep restructuring of brand, technology, and global resources, serving as a reference model for collaborative development and resource optimization among Chinese automakers [1] Group 1: Strategic Integration - The integration of Zeekr into Geely is expected to create a dual empowerment effect, enhancing both brands and contributing to the strategic elevation of Chinese automotive brands on a global scale [2] - Geely's strong foundation in the mainstream automotive market is complemented by Zeekr's luxury electric vehicle offerings, addressing gaps in Geely's luxury segment and facilitating technological advancements [2][3] - Zeekr's return to Geely is anticipated to accelerate its global expansion, leveraging Geely's extensive service network and manufacturing capabilities across over 80 countries [3] Group 2: Product and Market Performance - Zeekr has established a strong product matrix, with the Zeekr 9X leading the large SUV segment priced above 500,000 yuan, and the Zeekr 009 dominating the MPV market in China and abroad [4] - The brand's commitment to luxury positioning and product value is evident, with an average vehicle price nearing 300,000 yuan and a cumulative delivery exceeding 600,000 units [3][4] - Zeekr's focus on high-end markets, coupled with a refusal to engage in price-cutting promotions, demonstrates its capability to compete effectively against traditional luxury brands [3] Group 3: Brand Development and User Experience - Zeekr is set to become the top brand within Geely's hierarchy, emphasizing luxury and enhanced user services through initiatives like the "Zeekr User Service Agreement" and transparent communication strategies [9] - The brand has received high ratings in customer satisfaction and product quality, indicating a positive reception from both new and existing users [9] - The privatization allows Zeekr to focus on long-term development without the pressures of short-term profitability, fostering an environment conducive to innovation and brand value enhancement [15] Group 4: Industry Implications - The merger is viewed as a pivotal moment in the transition of China's automotive industry from fragmented competition to integrated upgrades, with broader implications for the sector's evolution [15] - Zeekr's focus on long-term strategies under Geely's support is expected to contribute to China's transformation from a major automotive market to a strong global player [15]