Li Auto, stop before it's too late.

At noon on August 5th, Li Auto suddenly announced significant adjustments to the Li i8, its second all - electric vehicle that had been on the market for only a week. The original three configuration versions were cancelled and integrated into a unified version. After the vehicle was launched on July 29th, it sparked dissatisfaction among many netizens regarding its configurations. After this adjustment, will the market accept the i8?

01 An Urgent "Merger"

If Li Auto's first all - electric vehicle, the MEGA, was caught up in a styling controversy right after its launch last year, which was likely driven by online trolls, then the series of controversies surrounding the launch of its second all - electric vehicle, the Li i8, this year have rarely seen anyone coming to its defense.

The controversy triggered by the collision test between the Li i8 and the Chenglong truck has become a hot topic in the automotive circle in the past week. In the article "Li Auto Hits a Tough Nut" by Caixin Weekly, the origin and process of this event were described. Interested readers can refer back to it.

Now, Li Auto has taken a much softer stance on this matter. In fact, since the official launch of the Li i8 on the evening of July 29th, the configuration and price of this product have sparked dissatisfaction among many potential customers. The subsequent controversy over the collision test was just an additional headache for the i8. Regarding how to sell this vehicle and how to restore its damaged product image, Li Auto has come up with an urgent countermeasure.

At noon on August 5th, Li Auto announced that the original three models would be integrated into a single "Standard Edition" with an official guide price of 339,800 yuan. Previously, the Li i8 had launched three models: Pro, Max, and Ultra, with selling prices of 321,800 yuan, 349,800 yuan, and 369,800 yuan respectively.

The adjusted "Standard Edition" is based on the specifications and configurations of the original Max version. It comes with a complimentary platinum audio system worth 10,000 yuan and offers a rear - cabin entertainment screen package as an optional extra at a price of 10,000 yuan. Users who originally chose the Ultra version at 369,800 yuan can now get all the originally selected configurations for 349,800 yuan. Users who originally chose the Pro version can either cancel their orders or upgrade.

This is equivalent to scrapping the Pro version and "increasing the configuration and reducing the price" for the Max and Ultra versions, with price cuts of 20,000 yuan and 30,000 yuan respectively.

Regarding the reason for this adjustment, Li Auto stated that it was based on user feedback. The lack of a refrigerator in the Pro version and the inability to optionally install a rear - row entertainment screen in the Max version were the main "pain points".

On the night of the vehicle's launch, many netizens expressed dissatisfaction with the configurations of the three versions. Generally, people believe that since major automakers are deploying large six - seat SUVs this year, for the Li i8 to stand out among all - electric models, it should offer the iconic "refrigerator, TV, and comfortable seats" with more sincerity. High, medium, and low - end models should not be distinguished by the TV and refrigerator but by differences in battery capacity, single - motor or dual - motor configuration, the presence of air suspension, and the strength of assisted driving capabilities.

Previously, the configuration and pricing strategy of the Li i8 largely referred to that of the Li L8. In terms of configuration, the logic of the i8 and L8 is the same, using the refrigerator and rear - row entertainment screen to distinguish between high and low - end models. In terms of price, it is almost "the same price for gasoline and electric models", giving users the choice of different power sources.

Now it seems that the successful experience of extended - range models is not enough to support the all - electric market, or rather, the needs of all - electric vehicle users are not the same as those of extended - range vehicle users.

At noon that day, Li Auto also issued a statement proposing a solution for customers who had already locked in their orders. Affected by this news, in the afternoon of August 5th, the highest price of Li Auto's Hong Kong - listed shares once reached HK$106.8 per share, then fell below the opening price of the day, with the lowest point at HK$99.5 per share. There was a slight rebound at the close, closing at HK$102.8 per share, up 1.58%.

Compared with the closing price of HK$119.9 per share on July 29th, in just 7 days after the launch of the i8, the market value of Li Auto's Hong Kong - listed shares decreased by approximately HK$30 billion. As of the noon close on August 6th, Li Auto fell 3.89%, closing at HK$98.8.

02 Time Waits for No One

Li Auto was able to quickly adjust its product just 7 days after the launch. Apart from high internal efficiency, the more likely reason is that Li Auto can't afford to wait.

You know, it took nearly a year for the sales of Li Auto's first all - electric vehicle, the MEGA, to gradually recover and become the sales champion in the 500,000 - yuan - class MPV segment. If it takes another year to catch up on sales for this second model in the all - electric market, will there still be a place for it in the SUV segment?

After all, the SUV market is different from the MPV market. There is more competition here, and only a limited number of models can succeed. This is why major automakers are "going all out" when launching large six - seat SUVs this year. In this winner - takes - all battlefield, seizing the first - mover advantage often means gaining market dominance.

What's more urgent is that the sales of Li Auto's mainstay - the "L - series" models relying on extended - range technology - are also suddenly under pressure.

In June and July 2025, Li Auto's delivery volumes were 36,279 and 30,731 vehicles respectively. Although this figure is still very competitive in the market, compared with its own past data, potential problems are emerging.

In June 2025, Li Auto's delivery volume decreased by 11.2% month - on - month and 24.06% year - on - year. The delivery volume in July 2025 also decreased by 39.74% compared with the same period last year.

According to the rules of the automotive industry, May to June is an important period for automakers to boost their semi - annual sales, and there is usually a sales peak. At the same time, since many consumers "place orders in June and pick up cars in July", the sales peak often continues until July.

For Li Auto, May to July in the past two years have always been months with good sales performance. From May to July 2023, its monthly sales were 28,277, 32,575, and 34,134 vehicles respectively. By May to July 2024, they increased to 35,020, 47,774, and 51,000 vehicles respectively, all showing a month - on - month upward trend.

However, the situation has changed for Li Auto in 2025. The monthly sales from May to July were 40,856, 36,279, and 30,731 vehicles respectively, showing a continuous month - on - month decline.

Before the launch of the Li i8, Li Auto's product matrix consisted of 4 L - series extended - range models (L6, L7, L8, L9) and one all - electric model, the MEGA. From the overall cumulative sales in the first half of 2025 (203,939 vehicles) and the specific distribution, the MEGA (5,805 vehicles) only accounted for 2.85% of the total, and the rest were all contributed by the L - series models.

Some industry insiders are not surprised by the temporary setback of the L - series. There are too many models in the market claiming to be "budget alternatives" to Li Auto. The once - killer features of Li Auto, such as the "refrigerator, TV, and comfortable seats" and extended - range technology, have been copied by other automakers and launched into the market at lower prices, intercepting some consumers.

The most typical example is Leapmotor, known in the industry as the "half - price Li Auto". The C16, with a starting price of just over 150,000 yuan, is regarded as a budget alternative to the Li L8, which costs more than 300,000 yuan. In the first half of this year, Leapmotor broke Li Auto's two - year dominance with a delivery volume of 221,700 vehicles. The Wei brand Lanshan has also been labeled as a "budget alternative to the Li L8".

Moreover, since April this year, Li Auto has successively launched the 2025 - version L - series models. All the new cars are named "Intelligent Upgrade Edition", but their attractiveness is somewhat lacking.

In the first half of this year, Chen Xu, an owner who just bought the 2024 - version Li L7 Ultra, was once torn between "buying the 2024 - version at a bargain" and "waiting for the 2025 - version". "Before buying, a friend advised me to wait for the 2025 - version because new energy vehicles are being updated so quickly these days. He judged that the 2025 - version would use a larger - capacity 4C battery and a more powerful range extender. If the upgrade is in place, the experience would be much better than the 2024 - version."

Chen Xu also noticed that CATL had launched the "Xiaoyao" super hybrid battery, which can achieve a pure - electric range of about 400 km and a 4C charging speed. Since Li Auto is an important partner of CATL, it seemed unreasonable for it to miss out. In addition, some other automakers have launched new extended - range technologies on their new cars, which have largely solved the shortcoming of extended - range models being "powerful when charged, weak when out of power".

"After seeing these new technologies, I was actually quite looking forward to the 2025 - version L7. But then I thought about my actual needs, and it didn't seem necessary." Chen Xu mainly uses the car for daily urban commuting, and the 200 - km pure - electric range of the 2024 - version L7 is sufficient. The performance in the power - depleted condition is not weak either. Moreover, the 2024 - version has a large discount, and he was afraid that there would be no discounts for a long time after the new version was launched.

Compared with the old - version models, the main changes in the new - version models are in the intelligent aspects of assisted driving and the cockpit. The software and hardware functions have been upgraded, a lidar is standard, some models have upgraded assisted - driving chips and chassis configurations, and the battery capacity has been slightly increased. However, the expected new battery and range extender have not appeared.

After test - driving the 2025 - version Intelligent Upgrade Edition of the L - series models, Chen Xu is even more convinced that his decision to buy the 2024 - version at a bargain was correct. "Overall, I didn't feel any obvious changes in the new - version L7. After the test drive, I thought the most improved and worth - buying model was the L9 Ultra. The others always felt similar to the old - version models."

Regarding the upgrade in the intelligent aspect, Chen Xu believes that although the effect is relatively obvious, it is not his core need. "The refrigerator, TV, comfortable seats, Li Auto's voice assistant, and the good reputation of the L - series in the past two years are what I mainly consider. Although the assisted driving is also good, I think it is still not mature enough at this stage."

Li Yanwei, a member of the Expert Committee of the China Automobile Dealers Association, told Caixin Weekly that consumers first value the price when buying a car, followed by the appearance and configuration. "After considering the price, then other factors come into play."

However, some industry insiders mentioned that the upgrade of the 2025 - version Li L - series is concentrated in the intelligent aspect, which is also a lesson learned from the transition from the 2023 - version to the 2024 - version. At that time, due to significant software and hardware upgrades and disputes over price protection and compensation, many old owners were dissatisfied with being "stabbed in the back" and thus filed complaints.

Looking back now, the sales of the 2024 - version L - series from May to July were far higher than those of the 2023 - version models, and even more outstanding compared with the current sales of the 2025 - version. Although the 2025 - version "Intelligent Upgrade Edition" also has some controversies, it has indeed taken care of the feelings of old owners, and there are few voices of "being stabbed in the back".

This is like two sides of a coin. There are pros and cons to every choice. In the current new energy market, it is not easy to strike a balance between the competitiveness of new models and the reputation of old owners, while also comprehensively considering various business - related issues.

03 Only Hoping that AI Can Generate Profits

For Li Auto, the next nearly one - year period will be full of challenges.

Due to Li Auto's previous great success in terms of sales, many automakers have targeted or imitated it. Now, the Li L - series not only faces direct competitor models such as the AITO M8, AITO M9, ZEEKR 009, Lynk & Co 900, and Denza N9 but also has to deal with potential opponents like the LeDao L90 and Deepal S09, which are engaged in "dislocation competition" with a focus on cost - effectiveness.

In the long run, this market will soon see the arrival of the new AITO M7, Audi Q6L e - tron, Geely Galaxy M9, and later new cars such as the IM LS9 and Denza N8L. Each of them cannot be underestimated.

The main rhythm of Li Auto's model launches this year is the "i - series" all - electric models. After the Li i8, the i6, with a slightly lower specification and positioning, has appeared on the application list of the Ministry of Industry and Information Technology. According to the information previously disclosed by Li Auto, it will launch 5 extended - range and all - electric models and one "super flagship" in 2025.

Based on this speculation, in addition to the 2025 - version L - series, the MEGA, and multiple i - series all - electric models, Li Auto may also launch the L5 model. Li Xiang, the founder and CEO of Li Auto