Entering 2024, the first battle in the auto market will intensify. As of January 8, many auto brands such as AVATAR, Tesla, Leapmotor, FAW Toyota, Nezha Automobile, Ora, and Lynk & Co have carried out "fancy"**
In 2023, the ** battle will run throughout the year. However, "exchanging price for volume" has diluted the profits of car companies. According to the statistics of Flush iFinD, in the first three quarters of 2023, among the 20 A-share passenger car companies, 7 car companies' net profit attributable to the parent company declined, and Dongfeng Motor, Guangzhou Automobile Group, Great Wall Motor, and SAIC Motor Group declined respectively8%。From the perspective of new car companies, except for Li Auto, the rest of the car companies will lose money in the first three quarters of 2023, and NIO's loss in the third quarter will further expand year-on-year.
Carry out "fancy"**
Since the beginning of this year, a number of auto brands have carried out "fancy"**, including time-limited insurance subsidies, time-limited deposit cash, etc. The launch of new models will launch large discounts, which has become a regular action of new energy brands.
On January 8, the upgraded version of AVATR 11 Hongmeng Edition was officially launched, with four versions launched, with a range of 300,000-390,000 yuan. At the same time, a limited-time two-choice car purchase right was introduced: a limited-time value of 260,000 yuan of high-end intelligent driving 1 pack;A deposit of 5,000 yuan will be deducted from 25,000 yuan, which is equivalent to a direct discount of 20,000 yuan.
Tesla fired the first shot in the car market in 2023, and on the first day of 2024, Tesla China announced that the purchase of the Model 3 rear-wheel drive version of the current car can enjoy an insurance subsidy of 6,000 yuan for a limited time, and the car ** will be 25 before the end of January540,000 yuan. In addition, there is also a low-interest financial policy for the New Year, and the two benefits can be used together. Taking the Model 3 rear-wheel drive version of the existing car as an example, the maximum car purchase benefit can exceed 22,000 yuan.
On January 4, Leapmotor announced the start of the New Year's gift season, with a maximum of 170,000 yuan final payment voucher, C01 range extension, C11 range extension, C11, C01, T03 models to participate in the activity, need to pay a deposit of 5,000 yuan in advance. On January 5, Leapmotor launched the issuance of 350,000 yuan of New Year's service vouchers, including 30 yuan, 50 yuan, and 100 yuan service New Year consumption vouchers, a total of 8,000 pieces, limited time reservation**, and the final payment can be deducted.
Nezha Automobile launched a special red envelope activity of 5,000 yuan for the purchase of Nezha GT, or financial rights and interests of up to 20,000 yuan.
On January 1, the official guide price of Lynk & Co 09 MHEV was lowered by 10,000 yuan, and the latest guide price was 24790,000-30290,000 yuan, and launched a new car purchase gift, before January 31, 2024, you can enjoy 10,000 yuan fuel vehicle purchase coupons, up to 8,000 yuan replacement subsidies and 10,000 yuan financial subsidies. Industry insiders said that Lynk & Co's price reduction may be to clean up the inventory of old models and prepare for the launch of subsequent ** models.
Joint venture brands also increase discounts. FAW Toyota has launched a limited-time offer, raising last year's purchase tax subsidy of 5,000 yuan to 5,999 yuan, and at the same time launching a replacement subsidy of up to 7,000 yuan.
Recently, the Volkswagen Group announced that it will reduce the price of its ID series of pure electric models worldwide.
In order to compete for market share, car companies are competing to cut prices**. In the peak sales season of the auto market, car companies are increasing discounts.
Ping An's ** research report shows that in 2024, the growth rate of the head new energy vehicle companies will be under pressure, and the first battle will continue, especially the mainstream ** belt of 100,000-200,000 yuan, and the lower cost of batteries will provide space for car companies to further reduce prices.
Industry insiders said that with the continuation of the war, the pattern of the automobile market will change greatly. The China Electric Vehicle 100 Association predicts that China's new energy vehicle sales are expected to reach 13 million units in 2024, with a penetration rate of more than 40%.
Dilution of car companies' profits.
In 2023, the ** war will run through the whole year, and at the beginning of the year, Tesla took the lead in setting off the ** war, and then many brands followed suit;In the middle and end of 2023, there will be another ** war. However, the direct impact of "price for volume" is to dilute the profits of car companies.
According to data compiled by the China *** Association, from January to November 2023, the profit margin of the automobile manufacturing industry was 5%, a decrease of 07 percentage points.
According to the statistics of Flush iFinD, in the first three quarters of 2023, among the 20 A-share passenger car companies, 7 car companies' net profit attributable to the parent company declined. Among them, Dongfeng Motor, Guangzhou Automobile Group, Great Wall Motor, and SAIC Motor Group fell respectively8%。
Taking the new car company NIO as an example, in June 2023, NIO announced that it would reduce the price of all models by 30,000 yuan. Driven by this, NIO delivered 55,432 new vehicles in the third quarter of 2023, a record high. However, "exchanging price for volume" brings increased revenue but not profit. NIO achieved operating income of 190 in the third quarter of 20236.7 billion yuan, a year-on-year increase of 466%, the best result in a single quarter's revenue;Net loss of 455.7 billion yuan, the loss further expanded over the same period last year.
Looking at SAIC again, the operating income in the third quarter of 2023 will be 1915600 million yuan, down 6 percent year-on-year66%, the revenue scale ranks first among domestic car companies;The net profit attributable to the parent company was 432.2 billion yuan, down 24 percent year-on-year69%。
Zhang Yongwei, vice chairman and secretary general of the China Electric Vehicle 100 Association, said: "2024 will be a critical period for the new energy vehicle industry. ”