China’s Electric Vehicle Titans Clash in Public as 2025 Price War Pushes Industry to the Breaking Point
BYD, Geely, and GWM’s executives ignite fierce rivalries at the Chongqing Forum, exposing deeper EV market turmoil in 2025.
- Q1 2025 EV profit margins: 3.9% (down from 8.99% in 2014)
- 100+ EV models discounted in May 2025
- China’s EV penetration above 40%
- Tesla Europe Q1 2025 sales: down 36% YoY
The fireworks at the 2025 Chongqing Auto Forum were impossible to miss. Senior execs from China’s top carmakers—BYD, Geely, and GWM—didn’t just trade barbs; they ripped open deep industry wounds, painting a picture of an EV sector facing an unprecedented crisis.
This is no ordinary rivalry. It’s a high-voltage brawl over survival, profits, and the soul of China’s electric vehicle future.
The gloves are off in China’s EV war.
Why Are China’s Top EV Brands Turning on Each Other?
China’s electric car boom was once a tale of unity and ambition. BYD’s past calls for industry brotherhood have now faded—replaced by accusations and suspicion.
At this year’s forum, BYD’s Li Yunfei blasted “dirty tricks” and “smear campaigns” from unnamed competitors. He painted a tense landscape where rivals sabotage reputations, manipulate public opinion, and push the limits of fairness.
Geely’s Victor Young shot back, labeling BYD’s outrage as pure hypocrisy—arguing that the time for emotional appeals is over. Other players, including GWM, sounded the alarm over an “industry time bomb,” warning that the crisis is spiraling out of control.
Even tech giants like Huawei and Xiaomi weighed in, with executives trading online jabs and fueling the public spectacle. Meanwhile, companies like Chery pushed for calm, suggesting that cutthroat competition—if channeled wisely—might ultimately strengthen the sector.
What’s Fueling the 2025 EV Price War?
Aggressive price cuts are at the heart of the conflict. From 2023 onward, over 200 EV models in China have slashed prices. May 2025 saw a staggering 100 models discounted by industry giants. The impact? Profits have collapsed, with margins dropping to a record low of 3.9% this year.
Both CAAM and the China Automobile Dealers Chamber of Commerce are cracking down—condemning “predatory pricing” and unsustainable sales targets. For retailers and automakers alike, the pressure is reaching its breaking point.
How Are Global EV Leaders Impacted?
The shockwaves aren’t limited to China. Tesla, once dominant in Europe, saw its sales in Q1 2025 plunge by 36%. Countries like Germany and France witnessed declines of more than 60%, signaling global turmoil as China’s cutthroat tactics ripple worldwide.
The result: intense competition squeezes every automaker, forcing companies to choose between cutting prices or investing in next-gen tech like autonomous driving and solid-state batteries. As the industry scrambles for volume, real profitability remains elusive.
What’s Next: Can China’s EV Industry Survive the Storm?
China’s EV market, now boasting over 40% penetration, edged past the honeymoon phase. Nearly every leading executive—from Chery to Changan—now calls for rules, regulations, and a principled approach.
Many believe that taming the price war will require strict regulatory action rather than moral pleas. The future hinges on whether the government, led by organizations such as the China Council for the Promotion of International Trade, can force a truce and restore stability.
But with billions at stake and reputations on the line, China’s auto giants show no signs of backing down. The EV wars are just heating up.
Your Move:
Chinese car buyers, industry watchers, and global investors—don’t blink. The battle for the EV market’s future is happening right now. Stay tuned for critical data, executive moves, and market shakeups.
- Watch for official updates from CAAM and leading EV manufacturers
- Compare EV models and prices frequently—expect further shifts in 2025
- Monitor Ripple effects on global brands like Tesla and Volkswagen
- Focus on innovations: battery tech, autonomous driving, and new safety features will be the difference makers
Bookmark this page, subscribe for updates, and be ready: The fight for China’s EV future will decide the global auto story of 2025 and beyond.
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