CHINA: After initially gaining traction in the high-end market once dominated by BMW and Mercedes-Benz, China’s electric vehicle (EV) makers are now facing a slowdown in premium model sales, analysts predict. According to the latest South China Morning Post report , weak demand and dwindling financial resources are expected to impact sales in 2025 following a successful run. On Thursday, Shenzhen Denza New Energy Automotive, a joint venture between BYD and Mercedes-Benz, unveiled the 2025 version of its D9, a luxury multipurpose vehicle (MPV) in Shenzhen.
The new D9, featuring BYD’s advanced BAS 3.0+ driving assistance system, is offered in five plug-in hybrid variants and three fully electric options. Prices range from 339,800 yuan (US$46,555) to 469,800 yuan.
Since its launch in 2022, Denza has sold over 300,000 units of the D9. However, data from leading automotive website Autohome reveals a decline in monthly D9 sales during July, August, and September compared to last year. BYD’s third-quarter earnings report further confirmed that Denza’s overall sales fell by 14% from the previous quarter.
Phate Zhang, founder of Shanghai-based CnEVPost, predicts that automakers will slow the pace of new premium model launches in 2025, focusing instead on upgrading existing models. “This market segment is not easy to expand, and coupled with the overall slowdown in the EV market, sales of high-end EV models have faced considerable challenges this year,” Zhang explained. The.