Core Viewpoint - The 2025 Chengdu Auto Show reflects a significant shift in the automotive market, with a notable absence of luxury brands and a strong presence of domestic brands focusing on practical sales goals [1][4][14]. Group 1: Changes in Brand Participation - Over 25 brands, including nearly half of the luxury brands, were absent from the show, indicating a cooling market for high-end vehicles [4]. - Major luxury brands such as Porsche, Bentley, Lamborghini, and Rolls-Royce did not participate, continuing a trend from previous years [4]. - The absence of these brands is attributed to poor market performance, with luxury car retail sales dropping 20% year-on-year in July 2023 [4]. Group 2: Domestic Brands' Dominance - Domestic brands like BYD, Changan, and Chery showcased their products prominently, with BYD alone selling 34,000 units in the first seven months of 2025 [2][8]. - The show featured a concentrated display of domestic brands, with BYD and Chery occupying entire exhibition halls [8]. - New models from domestic brands were launched, including the Lantu Dreamer and the new generation of the Xpeng P7, indicating a robust product pipeline [8][9]. Group 3: Market Dynamics and Sales Focus - The Chengdu Auto Show has shifted towards a more sales-oriented approach, eliminating a dedicated media day and opening directly to the public [10][11]. - Sales personnel and influencers were actively engaged in promoting vehicles, emphasizing direct sales rather than traditional marketing tactics [12][13]. - The local government introduced consumer incentives for vehicle purchases, further supporting the sales-driven atmosphere of the event [13]. Group 4: Competitive Landscape - Many joint venture brands are adopting strategies similar to domestic brands in response to market pressures, aiming to regain market share [9]. - The competition is intensifying as joint venture brands introduce localized products to appeal to Chinese consumers [9][14]. - The overall trend indicates a move away from extravagant marketing towards a focus on meeting consumer needs and driving sales [14].

Core Insights - The 2025 Chengdu Auto Show reflects a significant shift in the automotive landscape, with a notable absence of luxury brands and a strong presence of domestic brands focusing on practical sales goals [1][3][16] - Chengdu has become the city with the highest number of vehicles in China, surpassing Beijing, and has achieved the highest new car sales in 2024 with 665,000 units [1][2] Domestic Brands' Dominance - Domestic brands like BYD and Chery showcased their products prominently, with BYD occupying the 9th hall and presenting a full range of models, including the new titanium 7 SUV [5][6] - Chery displayed its various brands, including the strategic model ET5, which features advanced driving assistance technology [6] - The sales strategy of domestic brands has shifted towards direct consumer engagement, with many brands employing sales personnel and influencers to drive sales during the event [11][12] Luxury and Joint Venture Brands' Retreat - Over 25 brands, including nearly half of the luxury brands, were absent from the show, indicating a cooling market for high-end vehicles [3][4] - The luxury car market has seen a significant decline, with retail sales dropping by 20% year-on-year in July, and brands like Porsche and Maserati reporting substantial sales decreases [3][4] - Joint venture brands are also retreating, with some like Honda and Kia experiencing significant sales declines, leading to a reduction in their presence at the show [4][10] Changes in Marketing and Sales Approach - The Chengdu Auto Show has eliminated a dedicated media day, focusing instead on direct sales to consumers, which aligns with the current market demands [11][16] - The event has transformed into a more pragmatic platform for selling cars, with various promotional strategies being employed to attract buyers [12][16] - The local government has introduced incentives for car purchases, further supporting the sales-focused approach of the auto show [16]