Core Viewpoint - The article discusses the significant price reductions in the new energy vehicle (NEV) market in China, highlighting the average price drop and percentage decrease in various segments, indicating a competitive pricing strategy among manufacturers [3][4]. Price Reduction Analysis - In October 2025, the average price reduction for new energy vehicles reached 18,000 yuan, with a reduction rate of 11.1% [3]. - From January to October 2025, the average price reduction for NEVs was 21,000 yuan, with a reduction rate of 10.8%, second only to 2022's 13.2% [4]. - The price reduction for conventional fuel vehicles averaged 14,000 yuan with a reduction rate of 8.4% during the same period [4]. Segment Comparison - In October 2025, the average price of pure electric vehicles after discounts was 138,000 yuan, with a reduction of 12,000 yuan and a reduction rate of 8% [6]. - The average price of plug-in hybrid vehicles after discounts was 218,000 yuan, with a reduction of 42,000 yuan and a reduction rate of 19% [8]. Competitive Dynamics - Major state-owned enterprises are leading the price reductions, with significant discounts on models like the Hongqi EQM, which saw a price drop of 36% [7]. - The competitive pricing strategy is driven by leading companies, necessitating adjustments from competitors to maintain market share [8]. Financial Performance - Despite aggressive pricing strategies, several companies are facing declining profitability, with Great Wall Motors reporting a more than 30% drop in Q3 profits, and GAC Group posting its highest quarterly loss since listing at 1.774 billion yuan [9].

Core Insights - The average price reduction for new energy vehicles (NEVs) in October 2025 reached 18,000 yuan, with a reduction rate of 11.1% [1] - From January to October 2025, the average price reduction for NEVs was 21,000 yuan, with a reduction rate of 10.8%, second only to 2022 [1][2] - In comparison, conventional fuel vehicles had an average price reduction of 14,000 yuan and a reduction rate of 8.4% during the same period [1] Price Reduction Analysis - The average price reduction for NEVs in October 2025 was 18,000 yuan, while the overall passenger vehicle market saw an average reduction of 19,000 yuan [2] - The price reduction for conventional fuel vehicles averaged 14,000 yuan, indicating that NEVs are experiencing a higher reduction rate compared to the overall market [1][2] - The promotional intensity for NEVs in October was at a mid-high level of 9.8%, slightly down from the previous month but still higher than the same period last year [2][3] Model-Specific Insights - Among the 14 models that saw price reductions in October, 6 were pure electric vehicles, with an average post-reduction price of 138,000 yuan and a reduction rate of 8% [3] - The largest price drop was observed in the Hongqi EQM model, which saw a reduction of 36% [3] - Plug-in hybrid vehicles had an average post-reduction price of 218,000 yuan, with a significant reduction of 42,000 yuan, primarily driven by GAC Trumpchi and Great Wall's models [3] Profitability Concerns - Despite the aggressive price reductions, companies need to focus on profitability, as evidenced by significant profit declines reported by several automakers [4] - Great Wall Motors reported a more than 30% decline in Q3 profits, while Changan Automobile's net profit fell by 14.66% [4] - GAC Group reported its highest quarterly loss since going public, with a net loss of 1.774 billion yuan in Q3, indicating a 27.02% year-on-year increase in losses [4]

Group 1 - The average price reduction for new energy vehicles in October 2025 reached 18,000 yuan, with a reduction rate of 11.1% [1] - From January to October 2025, the average price reduction for new energy vehicles was 21,000 yuan, with a reduction rate of 10.8%, second only to 2022 [1][2] - In comparison, the average price reduction for conventional fuel vehicles was 14,000 yuan, with a reduction rate of 8.4% during the same period [1] Group 2 - In October 2023, the average price of pure electric vehicles after discounts was 138,000 yuan, with a reduction of 12,000 yuan and a reduction rate of 8% [3] - The largest price reduction among pure electric vehicles was 36% for the Hongqi EQM model, with a new minimum guide price of 89,800 yuan [3] - For plug-in hybrid vehicles, the average price after discounts was 218,000 yuan, with a reduction of 42,000 yuan and a reduction rate of 19% [3] Group 3 - Despite the price reductions, companies need to focus on profitability, as seen in the Q3 financial reports [4] - Great Wall Motors reported a more than 30% decline in profitability for Q3 [4] - GAC Group posted its highest net loss since going public, with a Q3 net loss of 1.774 billion yuan, an increase of 27.02% year-on-year [4]