China Automotive Intelligence Daily Brief
March 25, 2026
Curated by Ziyong (Robert) Liu
Editor’s Pick
Global Automakers Face Profit Crisis Amid EV Transition
The automotive industry is experiencing a profound transformation, driven by technological advancements and shifting market dynamics. Major global automakers are warning of difficult conditions ahead for 2026, with significant financial writedowns and investment reversals becoming the defining features of their EV strategies.
Ford’s Model e EV unit is now projected to incur costs of 0.9 billion through 2027, while General Motors announced a billion writedown in January 2026. Stellantis recorded €22.2 billion (7 billion) in writedowns in the second half of 2025. This profit decline reflects the immense pressure on traditional automakers as they navigate the electric transition.
Source: Sina Finance
Today’s Intelligence
- Li Auto Market Cap Plunges 60% as Profits Fall 86% YoY
Li Auto saw its market capitalization drop from 6B to 8B, with 2025 revenue falling 22.3% to RMB 112.3B and net profit plunging 85.8% to RMB 1.14B. Annual deliveries declined 18% from 500,500 to 406,300 units.
Source: Sina Finance - Zeekr 8X Opens Pre-Orders: 900V Architecture at RMB 376,800
Zeekr launches 8X SUV pre-orders starting at RMB 376,800, featuring 900V high-voltage architecture and megawatt electric drive. The vehicle accelerates 0-100 km/h in 2.96 seconds (tri-motor version) and will officially launch in Q2.
Source: Auto Home - Chinese Carmakers Target South Korea: BYD, Zeekr, XPeng Enter Market
BYD, Zeekr, and XPeng are entering the South Korean market, challenging Hyundai and Kia’s long-standing dominance. Zeekr has signed with four major Korean distributors, while XPeng is preparing its market entry.
Source: Sina Auto - BYD Expands to Canada: 20 Stores Planned in First Year
BYD is scouting locations in Toronto for its Canadian expansion, planning to open 20 stores in the first year. The move represents BYD’s continued push into Western markets amid trade tensions.
Source: IT Home - Former Li Auto End-to-End Lead Joins Boundary Power
Xia Zhongpu, former head of Li Auto’s end-to-end autonomous driving team, has joined Boundary Power after declining offers from multiple automakers. The move signals intensifying competition for top AI talent in the auto sector.
Source: 36Kr
Industry Signal
Global automotive profitability faces unprecedented pressure as electrification and AI transformation accelerate, forcing legacy players to reinvent their business models or risk irrelevance.
