BYD(SZ:002594) 3 6 Ke·2026-01-04 02:11Core Viewpoint - The Chinese automotive market is experiencing a downturn in December, with a significant year-on-year decline in retail sales, prompting companies to seek growth opportunities amidst challenging conditions [1][10]. Market Performance - From December 1 to 28, retail sales of passenger vehicles in China reached 1.928 million units, a 17% decrease compared to the same period last year and a 3% decline from the previous month [1]. - Traditional automakers like BYD reported a sales drop of 12% month-on-month and 18% year-on-year, despite achieving a total of 4.273 million units sold in 2023, marking a 144% increase in exports [6][7]. Company Highlights - NIO achieved a record delivery of 48,000 units in December, with 46% of this volume coming from the new ES8 model [3]. - Xpeng and Xiaomi also saw increases in deliveries, with Xpeng delivering 37,000 units and Xiaomi exceeding 50,000 units [3]. - Li Auto's monthly deliveries rose from 30,000 in November to 40,000 in December, aided by adjustments in production capacity [3][17]. - Homologous Intelligent achieved nearly 90,000 deliveries in December, becoming the top performer among new energy vehicle brands [4][13]. Future Outlook - Industry experts anticipate a rebound in January 2026 due to the timing of the Spring Festival and the implementation of new subsidy policies [8]. - However, the overall automotive industry is expected to remain under pressure throughout 2026 [9]. Competitive Landscape - The competition among automakers is intensifying, with companies like BYD, Li Auto, and others adjusting their sales targets and strategies in response to market conditions [20][23]. - New models and technological advancements are being prioritized, with companies focusing on high-value offerings to navigate the changing market dynamics [30][31].