In October, the competition in the new car market was extremely fierce. XPeng broke through strongly, while BYD made a strategic contraction.

The automotive market in October is never short of highlights. The publicity of the 400th batch of new vehicle declaration catalog by the Ministry of Industry and Information Technology has prematurely detonated the suspense of the competition at the end of 2025.

XPeng launched a "dumpling-like" product offensive with the P7+ and the extended-range version of the G6. Tesla's Model Y Long Range version quietly made its debut with an expected range of 800 km. Heavyweight models such as the Geely Galaxy Xingyao 7 and the new-generation Audi A6L were intensively unveiled, while BYD, going against the norm, only had one new vehicle.

To summarize the 400th batch of new vehicle declaration catalog in one sentence: Both new and established players are competing on the same stage, and multiple technological routes are blossoming.

Judging from the declaration information, whether it is the precise positioning of new players or the electrification counterattack of joint-venture brands, each new vehicle carries the strategic ambitions of automobile manufacturers.

Both new and established players are competing on the same stage, and multiple technological routes are blossoming

Among the new players, XPeng has taken the most aggressive actions.

The declaration of the extended-range versions of the P7+ and the G6 means that XPeng has officially completed its dual-line layout of "pure electric + extended range". Both models are equipped with a 1.5T range extender with a peak power of 110 kW. Paired with lithium iron phosphate battery packs, the motor powers reach 180 kW and 218 kW respectively.

Image source: Ministry of Industry and Information Technology

In terms of detailed design, the extended-range version of the P7+ has deliberately enlarged the active ventilation vents on the front face to optimize heat dissipation. The "POWER" and "ULTRA" logos on the rear suggest its performance positioning. The extended-range version of the G6 retains the design language of the pure-electric version and offers a variety of exterior options to meet personalized needs.

Image source: Ministry of Industry and Information Technology

Coupled with the previously exposed extended-range versions of the XPeng G7 and the XPeng X9, XPeng has at least four extended-range vehicles queued up for launch, and will be fully "extended-range" by then.

Tesla's debut continued its style of "precise gap-filling". The declared Model Y Long Range Rear-Wheel Drive version revealed its identity through the "Model Y +" logo on the rear. It is equipped with a 225 kW drive motor and an LG ternary lithium battery pack. The curb weight is only 1,891 kg, 30 kg lighter than the current rear-wheel drive version.

Referring to the 830 km range performance of the Model 3 Long Range version, the CLTC range of this new vehicle is expected to exceed 800 km, which exactly fills the market gap between the 593 km and 750 km ranges of the current Model Y, and to some extent strengthens its dominance in the 250,000 - 300,000 yuan pure-electric SUV market.

Image source: Ministry of Industry and Information Technology

The counterattack of joint-venture brands is also fierce, and the transformation of the Audi A6L is the most representative. The new-generation domestic A6L is built on the PPC platform. Its length has increased to 5,142 mm, and the wheelbase has exceeded 3,066 mm. Designs such as semi-hidden door handles and a blackened grille have completely bid farewell to the "official car" image and targeted the younger market.

It is powered by a 2.0T engine with a power of 200 kW and is expected to be equipped with Huawei's Qiankun Intelligent Driving System, attempting to regain the right to speak in the high-end market with the dual drivers of "electrification + intelligence".

Image source: Ministry of Industry and Information Technology

The FAW-Volkswagen ID.7 Vizzion aims at the 200,000 - yuan pure-electric market. With a length of 4,853 mm and a wheelbase of 2,826 mm, its single-motor power is 170 kW, and it has a reserved interface for a dual-motor, obviously aiming to make up for the market failure of the ID.6.

Image source: Ministry of Industry and Information Technology

The all-round development of domestic brands forms another scenery. As a plug-in hybrid sedan, the Geely Galaxy Xingyao 7 has a length of 4,958 mm and a wheelbase of 2,852 mm. It is equipped with the Thor AI Hybrid 2.0 technology. The maximum power of its 1.5L plug-in hybrid system is 82 kW, directly targeting the BYD Qin PLUS DM-i.

Image source: Ministry of Industry and Information Technology

BYD is slightly different from its previous "dumpling-like" product launches and did not bring a brand-new model. However, the declaration of the high-power version of the new Yuan PLUS is also worthy of attention - the motor power has increased from 150 kW to 230 kW, and the maximum horsepower has exceeded 300, obviously a targeted upgrade for young users who pursue performance.

Image source: Ministry of Industry and Information Technology

XPeng breaks through strongly, while BYD contracts strategically

The most thought-provoking phenomenon in the 400th batch of the catalog is the strategic divergence between BYD and XPeng.

XPeng has strongly broken through the situation with two extended-range models, while BYD, going against the norm, has quietly carried out strategic contraction. Behind this contrast are the different judgments of these two leading automobile manufacturers on market changes.

XPeng's "bet on extended range" is essentially a double defense battle. After stabilizing its sales base with a series of intelligent driving models, XPeng urgently needs to consolidate the "pragmatic" customer group.

The extended-range versions of the P7+ and the G6 launched this time form a combination of "extended range to solve range anxiety and intelligent driving to maintain brand barriers".

Image source: XPeng

In terms of intelligent driving, on October 9th, XPeng's Autopilot Center issued an internal letter stating that Li Liyun is no longer the head of the Autopilot Center, and Liu Xianming, the head of the World Foundation Model, has taken over the position. Liu Xianming's appointment implies that XPeng will strengthen the underlying R & D capabilities of intelligent driving technology and enhance the synergy of product implementation.

In terms of extended range, relying on the "intelligent driving perception" that XPeng has already established in the consumer market, the extended-range models are bound to be equipped with high-level intelligent driving systems, which exactly hits the core needs of family users for "worry-free long-distance travel + easy urban driving". This group of users is the main force in the extended-range market and the customer base of brands such as Li Auto and AITO.

From the perspective of market trends, XPeng's bet is well-timed. Zhang Yongwei, the vice chairman and secretary-general of the China Electric Vehicle 100, previously predicted that the two technological routes of plug-in hybrid and extended range will become important forces in the growth of new energy vehicles. The sales volume in 2025 will exceed 8 million, a year-on-year increase of 60%, and the proportion in the new energy market will be close to 50%.

Image source: XPeng

Although the popularity of extended-range models has declined in recent months, extended range will still be the best power type for ordinary consumers to experience new energy vehicles in the short term.

In contrast, BYD's strategic contraction is an inevitable choice under market pressure. According to publicly available market data, BYD's market share of plug-in hybrid models has declined, which is due to the collective encirclement of brands such as Geely Galaxy and Leapmotor.

In this context, BYD resolutely cancelled the launch plan of the Song L GT and postponed the release of some new models, concentrating resources on strategic models such as the U8L, the Denza N8L, and the Fangchengbao Leopard 7. This strategy of "reducing troops but increasing stoves" aims to solve the problem of resource dispersion caused by the previous large-scale product launch strategy.

Image source: Shot by Electric Vehicle Report

However, contraction does not mean retreat. BYD has instead continuously increased its R & D investment. In the first half of 2025, its R & D expenses reached 30.9 billion yuan, a year-on-year increase of 53%, focusing on the Super E platform and the next-generation intelligent driving system.

The overseas market has become its second growth curve. The Hungarian factory will be put into production this year, which will significantly increase its penetration in the European market. Models such as the Song Plus have topped the sales charts in many countries.

The strategic choices of the two companies reflect the industry consensus: The new energy market has entered the stage of "quality competition" from "scale expansion". XPeng uses extended range as a spear and intelligent driving as a shield, trying to rebuild its advantage in the 150,000 - 300,000 yuan market. BYD, on the other hand, exchanges contraction for space and seeks new breakthroughs in technological R & D and globalization.

Although the two paths are different in direction, they both point to the same goal: to gain the initiative in the increasingly fierce competition.

The purchase tax policy forces a change in the market pattern

Carefully reviewing the new vehicle declaration catalog, one can find an obvious trend: whether it is XPeng, BYD, or Geely, most plug-in hybrid and extended-range models now have a pure-electric range of more than 100 km.

The previous "tricky move" of using a 50 km pure-electric range to lower the starting price has basically become history.

This "collective over - standard" is not accidental. On October 9th, the Ministry of Industry and Information Technology, the Ministry of Finance, and the State Taxation Administration jointly issued the "Announcement on the Technical Requirements for New Energy Vehicles Eligible for Vehicle Purchase Tax Exemption or Reduction from 2026 to 2027".

It clearly stipulates that starting from 2026, plug-in hybrid and extended-range models must have a pure-electric range of 100 km or more to enjoy the vehicle purchase tax exemption (50%).

This is almost equivalent to announcing that in the future, all hybrid models must have a pure-electric range of more than 100 km.

Image source: BYD

In this situation, automobile manufacturers have two choices: either in 2025, while they can still enjoy full tax exemption, attract consumers to buy quickly by increasing configurations; or wait until 2026 when the purchase tax is