Chinese automaker Geely Automobile announced on Tuesday that the company’s total sales volume in June saw a year-on-year decrease of about 9% and a quarter-on-quarter increase of about 4%.
In the first half of 2021, the total sales volume was 630,200 units, up about 19% year-on-year, reaching 41% of the annual sales target. Its sales target for 2021 is 1.53 million units.
Geely says the sales volume of its cars and SUVs in June was 30,907 and 67,960 respectively, compared with 37,154 and 70,167 respectively in the same period last year. However, this decline coincides with a 15,000-unit increase in the Lynk & Co and premium models, such as Geely Preface. The numbers suggest that the company’s Vision X3 and other models experienced a significantdecline.
As more people buy cars, low-end products like the Vision series are becoming a drag on the overall growth of Geely.
Geely executives said in an investor conference call at the beginning of this year that the low-end model series, such as the Vision series, showing poor profit margins would be discontinued in the future.
Geely has shown strong performance in the mid- to high-end car market with a price of over 100,000 yuan. On the one hand, the sales volume of Geely Preface continues to exceed 10,000 units, and Xingyue L, a premium product to be released soon, has also received orders for more than 20,000. In addition, Lynk & Co has risen by about 27% to 17,077 units, which greatly outperforms Honda, Toyota and other joint venture competitive brands.
Geely said on July 5 that its brand-new compact SUV, Xingyue L, will be officially launched on July 20, with five new models launched. Their pre-sale price ranges from RMB 148,000 yuan to RMB 188,000 yuan.