Chinese electric vehicle manufacturer Li Auto reported a rare year-on-year decline in June deliveries, as the company navigates mounting competition, sales system upgrades, and a shifting landscape in China’s automotive market.
Li Auto delivered 36,279 vehicles in June, marking a 24.06% drop from a year earlier and an 11.20% decline from May. It was the first time in at least five years that the company recorded a year-on-year decrease in June deliveries.
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Despite the dip, second-quarter deliveries totaled 111,074 vehicles, up 2.30% year-on-year and 19.61% from the previous quarter. The result exceeded the company’s revised guidance issued on June 27, when it lowered expectations to 108,000 units due to disruptions caused by sales system upgrades. Li Auto had initially forecast Q2 deliveries between 123,000 and 128,000 vehicles.
In the first half of 2025, Li Auto delivered 203,938 vehicles, a 7.91% increase from the same period last year. Cumulative deliveries since the company’s founding have reached 1.34 million units as of the end of June.
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Li Auto is preparing to expand its product lineup, with the launch of the six-seat Li i8 SUV in July and the five-seat Li i6 SUV in September. The lineup will include four extended-range electric SUVs, a flagship MPV, and two high-voltage battery electric SUVs. The company said ongoing upgrades to its sales system aim to improve operational efficiency and customer service across all models.
As the extended-range electric vehicle segment—pioneered by Li Auto—faces intensified competition, and the battery electric vehicle market approaches saturation, the automaker is experiencing increased headwinds. In May, Li Auto cut its 2025 sales target from 700,000 to 640,000 vehicles, according to local media outlet 21jingji.