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Overseas expansion and artificial intelligence are now two of the most crucial strategies for Chinese automakers aiming to stay ahead in the industry this year. Since late last year, eight major car manufacturers—including Nio, Xpeng, and Geely—have issued open letters to their teams emphasizing these priorities.
Most top automakers are aiming for at least a 12 percent growth rate this year, according to recent research. Leapmotor has set an ambitious target of selling one million vehicles by 2026, representing a 67.5 percent increase over the previous year. Meanwhile, Xpeng is targeting annual sales between 550,000 and 600,000 units, which would mark over 28 percent growth. Xiaomi Auto is also aiming for 550,000 vehicles sold, a 34 percent jump, and Nio has announced plans to sustain steady annual growth between 40 and 50 percent.
However, the China Association of Automobile Manufacturers offers a much more cautious outlook, projecting that vehicle sales will rise by just 1 percent this year, reaching approximately 34.7 million units.
This contrast highlights a notable gap between the ambitious growth goals of automakers and the more conservative projections from industry institutions. Such a divergence sets the tone for China’s automotive market at the beginning of the year.
In its tenth-anniversary message to employees, Leapmotor revealed plans to move beyond simply exporting vehicles to actively manufacturing and integrating more deeply with local industries abroad.
Zhao Fei, president of Changan Auto, commented, “The industry’s elimination process is becoming more intense, and competition is only going to intensify. The window for success in overseas markets is limited to one or two years. We need to accelerate resource investment, push forward relentlessly, and vigorously pursue our strategy to expand overseas.”
Xpeng aims to double its overseas sales this year and reach a million units sold abroad by 2030, with international markets accounting for over 70 percent of its profits, according to Chairman He Xiaopeng. The company will focus on five key regions: Israel, Germany, Norway, Thailand, and France.
Geely plans to enhance product adaptability and local development efforts, said CEO Gan Jiayue. The Hangzhou-based automaker intends to strengthen its competitiveness in key markets through product exports, brand building, resource sharing, and technological innovation.
Artificial intelligence is now a core performance indicator for many automakers. For example, He Xiaopeng mentioned that this year, Xpeng aims to be the first globally to mass produce three advanced AI products within the same year: robots, flying cars, and Robotaxis.
Li Xiang, CEO of Li Auto, predicted in an internal meeting that Level 4 autonomous driving technology will be commercially available by 2028 at the latest. He also stated that only a few companies worldwide will effectively integrate foundational models, chips, embodied intelligence, and operating systems — and Li Auto is committed to developing humanoid robots, planning to introduce them as soon as possible.
In January, Chery introduced its AI strategy, highlighting key achievements such as its super AI assistant “Xiaoqi,” the Falcon smart driving system, the Lingxi smart cockpit, and the AiMOGA robot.
Consulting firm Roland Berger forecasts that the Chinese automotive market will continue to concentrate around a few dominant players this year. The overall industry landscape is expected to consist of a handful of leading automakers, several mid-tier competitors, and many smaller struggling firms. Ultimately, the messages from major automakers make clear their intent to stay at the forefront of the industry through aggressive expansion and innovation.
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