Li Auto Addresses Xpeng Executives’ Concerns Regarding Weekly Sales Rankings

Li Auto Clarifies Weekly Sales Rankings Amidst Doubts Raised by Xpeng Executives

Li Auto (NASDAQ: LI) has responded to concerns raised by Xpeng executives regarding the weekly sales rankings it shares, emphasizing that the data is obtained legally and in compliance with industry standards.

According to a report by local media outlet Caijing, Li Auto obtains its sales data from common sources within the automotive industry. Although the company cannot disclose the specific source due to contractual agreements, it has previously provided explanations to relevant authorities regarding the data source.

Li Auto continued to lead the list of China’s new car-making brands with 7,900 units sold in the week from July 3 to July 9, as shared in its latest data release on Tuesday. The basis on which these weekly sales figures are tallied was not explicitly explained, but it appears to involve insurance registrations. Li Auto had temporarily suspended sharing these numbers in May but resumed doing so afterward.

Xpeng, on the other hand, sold 1,200 units last week, a 55.56 percent decline from the previous week’s 2,700 units, placing it at No. 8 on Li Auto’s sales list. This occurred despite Xpeng’s recent launch of its new SUV, the G6, in China on June 29, with deliveries commencing on July 10. The disappointing sales performance of the G6 may have led to discontent among some Xpeng executives.

In response to the rankings shared by Li Auto, Xpeng’s general manager of product marketing, Huang Honglin, questioned their reliability and encouraged people to focus on official information instead. Huang emphasized the importance of a long-term perspective in the automotive industry, stating that Xpeng’s focus lies in delivering high-quality products to users rather than showcasing sales figures.

Similarly, Rocky Liu, senior director of Xpeng’s self-driving products, expressed that the company does not need to generate hype by announcing weekly sales figures and suggested that people rely on the official monthly data instead.

Li Auto had been sharing weekly sales volume data for several months but halted the practice in mid-May due to complaints from many industry peers. However, on May 23, Li Auto resumed sharing the data.