Car companies are competing for the best!
In the next three years, domestic car prices will drop by another 30%.
On February 28, BYD (002594) announced that its new Hantang Glory Edition model was officially launched, which successfully attracted the attention of a large number of consumers, and the market was once boiling, and put forward the concept of "electricity is lower than oil", and the concentrated launch of low-cost new cars also triggered the industry's concern about the "involution" of car companies and the start of a new round of "** war". (Article**: Hexun Fortune WeChat public account).
Since the beginning of 2024, more than 10 car companies such as Ideal, Leap, and Xiaopeng have launched ** policies with price reductions or different degrees of discounts. At the beginning of January 2024, the overall market discount rate for domestic passenger cars was about 204%。
The most noteworthy thing is that experts are even more **, in the next three years, the average ** of the domestic auto market may decline by 30%.
The general price reduction of car companies may have a significant impact on the domestic auto market, which is expected to further increase the penetration rate of new energy vehicles.
The automotive business has been "bleeding" for a long time
The inventory warning index remains high!
The buzz in the auto market is based on the overdraft of the profitability of car companies. (Article**: Hexun Fortune WeChat public account).
Car companies are generally in a state of loss, the profits of the automobile industry have declined significantly, and the profit pressure of car companies has increased sharply! It is worth noting that in recent years, the profit margin of the automotive industry has been declining year by year. From 2015 to 2023, the profit margins of the automotive industry are7% and 5%. Compared to 2015, the profit margin of the automotive industry in 2023 has fallen by 37 percentage points. China's auto market size and profits account for about 30% of the global auto industry, but the total profits of local auto companies are less than 5% of the total profits of the global auto industry, forming a strong contrast.
The growth rate of leading new energy vehicle companies will be under pressure in 2024. From the perspective of sales volume, the report card for January 2024 shows that after the hot sales in December last year, 10 of the 13 car companies were under pressure in January and saw a month-on-month decline, Xpeng Motors fell by more than 50%, and Aion, Weilai, and Zhiji fell by more than 40% month-on-month.
And the inventory warning index remains high! In January 2024, China's auto dealer inventory warning index was 599%, the inventory warning index is above the 50% line, which means that the automobile circulation industry is in a recession range, and the prosperity has fallen from the previous month.
The growth rate of new energy vehicle companies will be under pressure, which means that the competition in the new energy vehicle market will be more intense. In order to seize market share, car companies may set off a first-class war.
The multibillion-dollar plan to build a car came to an abrupt halt.
The natural state of a car company is death!
Apple's multibillion-dollar plan to build a car came to an abrupt halt. After a decade of competing with Tesla and spending billions of dollars, Apple canceled its electric car program and some employees were transferred to machine learning and AI. (Article**: Hexun Fortune WeChat public account).
Tesla CEO Elon Musk was the first to ** the above news, and replied to the two emojis of "tribute" and "cigarette lighting", many people speculated that this was Musk's efforts to pay tribute to potential competitors before withdrawing from the track, and at the same time "lighting cigarettes and eating melons". Musk then left a message under other comments, saying, "The natural state of a car company is death." ”
Coincidentally, there was also a "shutdown" at the beginning of the year! At the beginning of this year, there were rumors of work stoppage and salary cuts within the new car-making brand Gaohe Automobile, and on the first day of resumption of work after the year, it was rumored that Gaohe Automobile held an internal meeting and directly announced that it would suspend work and production for 6 months from now on.
Judging from the sales volume of Gaohe Automobile, it seems inevitable that it will have problems. The sales volume of Gaohe Automobile in 2021, 2022, and 2023 will be 4,237 units, 4,349 units, and 8,681 units, respectively. Obviously, the sales volume of less than 10,000 is really difficult to support the development of the enterprise.
Why are so many car companies popping up all of a sudden? It is because the technical threshold of electric vehicles is lower, and the body + three electric vehicles are assembled together to be an electric car. In the tuyere of new energy, there is a flood of capital, and it is easy to get investment funds. This is very similar to the shared bicycle ** of the year, capital rushes to it, and in the end it will be a big wave of sand.
It is not difficult to see from the sales volume that the sales of the head brands are still growing, and the sales of intermediate and small brands are getting less and less, even a few or dozens of units per month. A mistake in any one link may lead to the interruption of the development momentum of a new energy vehicle company. In such an environment, a failed enterprise is not necessarily a weak one, but a successful one must be a strong one. For those new energy vehicle brands that are still preparing to go public, the chances of listing are already very slim.
Enterprise competition will show more involution characteristics, and 2024 must be a critical period for the big waves and sands, and the industry reshuffle will accelerate.