China's new energy vehicle market has started to show clear differentiation. Besides the two giants, Tesla and BYD, other capable manufacturers are also gaining a foothold, with Geely Auto being one of them.
In September, Geely Auto’s NEV sales reached 39.000 units, a year-on-year increase of 37%, demonstrating a decent growth trend. In addition to Geely’s main brand, Zeekr, Galaxy, and Lynk & Co also contributed significantly to the sales. So, what roles do these three series play in Geely's NEV family?
Zeekr: Establishing a Footing in the Mid-to-High-End Market
The development history of the Zeekr brand is quite interesting. Its first model, the Zeekr 001. originally derived from Geely's Lynk & Co, performed well after its launch, prompting Geely to create a dedicated "Zeekr" brand. Besides Zeekr 001. the brand also offers Zeekr X and Zeekr 009.
Zeekr has three models: Zeekr 001 targeting the mid-to-large sedan market with a price range of 300.000-403.000 yuan; Zeekr X positioned as a compact sedan priced at 189.800-229.800 yuan; and Zeekr 009. a mid-to-large MPV competing with models like Denza D9 and Buick GL8. priced at 499.000-588.000 yuan.
In September 2023. Zeekr's sales reached 12.000 units, with Zeekr 001 and Zeekr X being the main contributors, thus establishing a firm foothold in the mid-to-high-end market. However, Zeekr faces increasing pressure, needing to accelerate its growth and improve product performance to become a leader in its segment.
Lynk & Co: Speed of Transformation Determines Survival
In September 2023. Lynk & Co’s total sales reached 21.800 units, a new high for the year, but it is worth noting that these results mainly come from traditional fuel vehicles. So far, Lynk & Co's NEV models have not achieved significant results.
To change this situation, Lynk & Co has launched a new NEV model—the Lynk & Co 08. Priced between 208.800 and 288.000 yuan, it has shown decent performance. Like the main Geely brand, Lynk & Co has many fuel models. How quickly it can transform will determine the brand's future performance.
Galaxy: Can it Replace Geely’s Fuel Cars?
Geely Galaxy is a newly developed NEV series. In September, Galaxy's sales reached 13.000 units, all contributed by the Galaxy L7. In just three months, the Galaxy L7 has achieved an average monthly sales of over 10.000 units, marking a strong start.
In addition, Geely Galaxy has launched the Galaxy L6. which also has decent performance. From the market performance of the Galaxy L7. it is clear that consumers have a high level of acceptance for the Galaxy series. It is believed that the lower-priced Galaxy L6 will also achieve good results.
If the Galaxy L6 can also consistently achieve monthly sales of over 10.000 units, it would mean that the Galaxy series alone can achieve monthly sales of over 20.000 units, surpassing all new car-making forces except Li Auto, providing strong support for Geely's NEV lineup. After a long period of exploration, traditional manufacturers like Geely Auto seem to have found the right path for NEV development.
How Do the Three Series Divide Their Roles?
Geely Auto is one of the domestic manufacturers that love to layout sub-brands. In the NEV field alone, it has Geely, Lynk & Co, Zeekr, Ruilan, Galaxy, Smart, Lotus, Polestar, and other brands or models. However, from an objective perspective, Geely’s own Lynk & Co, Zeekr, and Galaxy are the real NEV main forces.
In Geely's NEV lineup, Zeekr and Galaxy complement each other in high and low positions, covering the 100.000-500.000 yuan market segment and achieving decent results.
Meanwhile, both brands are striving to expand their product lineups to cover more market segments. However, based on actual sales performance, the Zeekr brand is not very stable. Among its three models, only the initial Zeekr 001 has stable performance, and the other two models are still to be observed.
In contrast, Geely Galaxy seems more important. The first model, the L7. achieved monthly sales of over 10.000 units in a short period, and the second model, the L6. is ready to launch. If more models are introduced subsequently, Geely Auto's old users will gradually be attracted back, and Geely will slowly transition into a fully NEV brand.
This is similar to the path BYD took back then. Although Geely started slightly later, compared to Changan and Great Wall, Geely Auto is clearly ahead. If the NEV business continues to progress, Geely might declare the cessation of all pure fuel cars, just like BYD did a few years ago.
As for Lynk & Co, it has many fuel vehicles, and the previously launched oil-to-electric models have not sold well. Lynk & Co 08 is considered the first newly developed NEV model. If it can make a big impact, Lynk & Co might gradually achieve transformation. But for now, even if Lynk & Co successfully transforms, its contribution to Geely's NEV family is limited.
Currently, among the leading domestic manufacturers, GAC's Aion is thriving, with almost no presence of other fuel vehicles, except for some influence from the Trumpchi M8. Changan, Great Wall, and Chery are also transforming but at a slower pace. Geely is making steady progress in its NEV business while ensuring fuel car sales do not decline significantly.
If everything goes as expected, other mainstream NEV manufacturers, besides BYD, will likely emerge from these few companies, with Geely having a significant chance of becoming one of them.
