Li Auto has reportedly reversed a sales network restructuring introduced earlier this year, returning to a province-based system after less than six months under a five-region model. Local media outlet 36kr reported that the company had initially consolidated its previous 26 provincial sales regions into five “war zones” — East, West, South, North, and Central — with each zone responsible for its own sales volume, profit, and Net Promoter Score (NPS).
The regional approach had aimed to allow teams to tailor strategies to local markets, but it reportedly created internal competition for orders and strained short-term sales targets. Facing intensified competition and a slowdown in vehicle deliveries, Li Auto opted to reinstate the provincial structure that supported its rapid growth in 2023 and 2024, when the company delivered 376,000 vehicles and exceeded 500,000 units in annual sales, respectively.
The company has also reorganized leadership roles, reassigning Han Xi, the former head of the Central region, to lead retail operations. Additionally, Li Auto established two new first-level departments focused on marketing and sales and service operations, all under the guidance of company president Ma Donghui.
Li Auto’s sales performance has been under pressure this year, as key L-series models — Li L6, L7, L8, and L9 — saw year-on-year declines of 40% to 53% in July. Its Li Mega MPV posted 2,816 units in July, the second-highest monthly figure on record, accounting for just over 9% of the company’s monthly deliveries.
The Li i8, Li Auto’s second battery electric vehicle (BEV), launched on July 29 and underwent a rapid price and version adjustment in early August following weak initial demand. Deliveries of the Li i8 are set to begin on August 20, with the automaker targeting 8,000 to 10,000 units by the end of September.