Sobald die Xiaomi-Autos die Grenze passieren, können weder Porsche noch Tesla mehr gut verkauft werden.
In fact, the emergence of Xiaomi vehicles has had a significant impact on Porsche and Tesla.
On Xiaomi's side, a total of 157,400 SU7 vehicles were sold in the first half of the year. Within 18 hours after the start of the sales promotion for the YU7, 240,000 orders were placed. Deliveries have only recently begun, and the super factory is working around the clock to fulfill the orders. Everything is in full swing.
In contrast, Tesla and Porsche have almost simultaneously released their delivery data. Although the sales figures in China are not catastrophic, the downward trend is still not very encouraging.
Let's recall 12 years ago when Elon Musk personally received Lei Jun, the first owner of the Model S from afar, at the Tesla factory and shared his insights on electric vehicles.
At that time, Musk probably never thought that this Chinese entrepreneur, who was manufacturing Android smartphones at that time, would become his most feared competitor in the Chinese automotive market.
However, Porsche is in an even worse situation than Musk. Porsche has been hit so hard by Xiaomi that it has almost only retained its "brand value".
Porsche in China: Half - year sales are equivalent to Xiaomi's one - month sales
Porsche's recent sales figures continue to show a downward trend:
In the first half of this year, 146,391 vehicles were delivered worldwide, representing a 6% decrease compared to the previous year. In particular, the Chinese market has suffered greatly. In the first half of the year, only 21,302 vehicles were delivered, representing a 28% decrease compared to the previous year.
In the face of the declining sales in China, Porsche can hardly sit still.
We must consider that China was once the largest single market for Porsche and contributed about one - third of the total sales.
Why is Porsche no longer as popular in China?
The reason is actually clear. Compared with a few years ago, the Chinese automotive market has fundamentally changed. The progress in electrification and digitalization is rapid, and the competition among automakers is extremely fierce.
Most often, Porsche is compared with Xiaomi vehicles. In the high - performance luxury sports car segment, the Xiaomi SU7 has the most direct and intense impact.
In particular, as a new entrant in the automotive market, Xiaomi has achieved a monthly sales volume of over 20,000 vehicles in a little over a year after entering the market - exactly as many as Porsche sold in China in half a year.
This seems to put Porsche in an awkward position.
During this year's Shanghai Auto Show, Oliver Blume, the CEO of Porsche, said in an interview:
We will see in the next two to three years whether Porsche as an electric brand can survive here.
This was initially interpreted by the public as Porsche would stop selling electric vehicles in China in two to three years.
However, Porsche China quickly refuted the rumors and explained that the above news was misinterpreted. Porsche's goal for electrification in China remains unchanged, and it will also introduce the next pure - electric model - the new electric Cayenne.
What's even more impressive is that Blume also said that he "doesn't see Xiaomi as a competitor", even though Xiaomi has introduced the 1,584 - horsepower SU7 Ultra. In his view, Xiaomi's success is based on an affordable strategy, which is not comparable to Porsche's "driving performance".
Is this the self - confidence of an established luxury brand or a "salvation of honor" in the face of a new competitor? It's hard to tell.
One thing is certain: Porsche's sales figures in China will probably never return to the previous level. A former Porsche designer has also criticized that Xiaomi's SU7 has only left Porsche with its "brand value".
From 2022 to the end of last year, Porsche's sales in China have dropped from 93,200 vehicles to 56,900 vehicles. This is the third consecutive year of declining deliveries in China.
During the same period, China's share of global sales has dropped from 30.1% to 18.3%. China is now the third - highest sales market for Porsche.
Recently, Porsche's shareholders have even urged Blume to step down as the CEO of the parent company Volkswagen Group to fully focus on Porsche's business, as they are dissatisfied with the market performance in China.
Previously, Porsche was very popular because of its luxury image, but now the trend towards electric vehicles in the automotive market, especially in China, is irresistible.
Technological innovations that are not impressive enough can no longer convince Chinese car drivers...
Of course, not only Porsche is worried, but also Elon Musk, who is now sleeping on a mattress in his sales office.
Tesla's once - invincible world - champion Model Y is increasingly under pressure -
And the Xiaomi YU7 is just the last straw that could topple the world - champion model.
Tesla in China: Musk is trying hard to increase sales
Tesla is feeling more "threat" in China.
2024 was the first year in 13 years that Tesla experienced a decline in annual deliveries.
Although Musk assured in the earnings conference that "the automotive business will pick up again by 2025", this statement seems a bit too optimistic given the performance in the first two quarters of this year.
Let's first look at the global sales figures. Tesla has recorded a double - digit decline in two consecutive quarters compared to the previous year.
In the first quarter of this year, 336,000 vehicles were delivered, representing a 13% decrease compared to the previous year and the lowest delivery level in 11 quarters. In the second quarter, 384,100 vehicles were delivered worldwide, representing a 13.5% decrease compared to the previous year.
According to data from the China Passenger Car Association, 128,800 vehicles were delivered in China in the second quarter, representing an 11.7% decrease compared to the previous year.
In the first half of the year, a total of 263,400 vehicles were delivered in China, representing a 5.4% decrease compared to the previous year. This means that about one - third of all Tesla vehicles are delivered in China.
Tesla has stated that the reason for the sales slump in the first quarter was that the adjustment of the production line for the new Model Y cost about seven weeks of production.
But this explanation doesn't hold up in the second quarter.
Although the production capacity has been restored and Tesla has also offered unprecedented financing options in China, such as 5 - year interest - free loans, sales have not improved as expected, and the market share continues to decline.
Many foreign media believe that Tesla has found a real "Tesla - killer" in China - Xiaomi vehicles.
Many reports point out that not only has the Model S/X not had a revolutionary new development for years, but also the best - selling Model 3/Y are strongly challenged by Xiaomi's YU7 in terms of design, interior, driver assistance systems, and pricing.
It's no wonder that the public speculates so, because Xiaomi has already affected Tesla's sales figures last year.
In China, Xiaomi produced about 70,000 SU7 vehicles in half a year, which was almost a success from the start. Within less than a year after entering the market, the SU7 has exceeded the sales figures of the Model 3.
The foreign media platform Electrek believes that the same will happen to Tesla's most popular Model Y.
Some internet users have even predicted that Tesla's sales figures will plummet in July:
In addition, Tesla in China not only has to compete with Xiaomi but also with other new automakers.
Models such as the XPeng G7, the AITO M8, the Zhijie R7, and the Zeekr 7X are directly competing with the Model Y in the same segment.
Can the Model Y still remain the best - selling model?
It's hard to say.
Although the deliveries in the first half of the year have not shown a significant improvement, Tesla China has recorded a recovery in June. The Shanghai factory has delivered 71,599 vehicles, representing a 0.8% increase compared to the previous year and marking the end of a nine - month downward trend.
But Musk has no more patience.
Recently, Musk has fired his confidant, the former chief of staff Omid Afshar. The latter was responsible for Tesla's business in North America and Europe before being fired.
According to Bloomberg, after Afshar's departure, Musk will personally be responsible for Tesla's sales and will sleep in the sales office, similar to how he used to sleep on the factory floor to increase productivity.
In addition, Musk has transferred part of the business to Zhu Xiaotong -
He has long been the head of Tesla in China. It is reported that Musk has sent him to the United States to take over Tesla's global automotive business management. He is thus the "second - in - command" after Musk.
Zhu Xiaotong returned in 2024 to lead Tesla's business in China, but now Musk has entrusted him with global tasks again.
Tesla's glimmer of hope lies with Musk, and Musk's hope still lies in China.