By LIU Jiaxin
Li Auto, the Chinese EV startup that previously showed no interest in the price war among automakers, is quietly marking down.
Though the company did not announce the reduction, car buyers in Sichuan Province are now offered a 10,000-yuan government subsidy and a 5,000-yuan maintenance fund. And since Li Auto allows car buyers to write off-site invoices, car buyers all over the country can enjoy the discount.
The Chairman and CEO of Li Auto, LI Xiang, previously stated that Li Auto would not lower its prices. And when the price war was most heated in March, Li Auto did not cut prices. Instead, they introduced "price protection" to stabilize consumer confidence and alleviate car purchase concerns. If Li Auto was to cut prices, owners who bought them at higher prices will be compensated.
During the Q1 performance meeting, the management team reiterated their commitment to not lowering prices.
The sudden offer may be in response to the low season in the car market in July and August.
Li Auto’s sales have been steadily increasing, but compared to the previous two months, July was weak. Furthermore, the sales target for Q3 is higher than that of Q2 by a considerable margin.
