Great Wall Motor and Chery Group have each been out-sold in China’s domestic market by a younger rival. The July sales sheets, published in early August, hold a striking detail.
Leapmotor delivered 101,300 vehicles globally in July, up 102 per cent year on year and its first month above 100,000, making it the first Chinese startup to cross that line. Overseas sales were 17,000 plus, implying domestic volume of about 84,300. Great Wall sold 108,100 in July, with 62,000 exported and about 46,100 sold at home. Chery Group sold 276,800, of which 202,500 were exported, leaving domestic sales of about 74,300.
In other words, on the core home market, a brand less than eleven years old now outsells two carmakers with decades of history. The shift is not accidental. It traces to a slower electric transition and a weaker smart-driving experience.
Leapmotor breaks 100,000 as newcomers rise
Leapmotor’s climb is a steep, steady curve rather than a one-off spike. Its A, B, C and D model families all contribute, overseas expansion adds volume, and the B10 just completed Mexico certification to enter North America. Chery’s domestic slide and Great Wall’s flat home sales contrast sharply with Leapmotor’s trajectory.
Why the incumbents fell behind
Chery’s problems centre on a lack of hit EV models, a gap in intelligent features and a cluttered brand portfolio. Its Fengyun T9L, the top selling NEV, moved only 4,545 units in June. Mainstream cars like the Tiggo 8 and Arrizo 8 support only basic Level 2 assistance, and city navigation is limited to higher trims. Its premium brand Exeed has yet to land a breakout product.
Great Wall’s electric models were just 32 per cent of July sales, a share stuck near 30 per cent for three months. It builds no sedans at all, leaning on boxy SUVs from Haval to Tank. Its volume model Menglong Plus offers highway assistance only on upper trims and city navigation only on the top variant.
Both are fighting back
Chery is leaning on Huawei. Its Luxeed brand, built with Huawei, has drawn more than RMB 20 billion in dedicated investment and over 30,000 shared patents. Chery’s Falcon driving system now spans 35 plus models, with the Exeed ET5 carrying Horizon’s Journey 6P chip at 560 TOPS. Momenta supplies software for the Fengyun A9L and T11.
Great Wall is electrifying its classics, adding plug-in hybrid versions of the Tank 300 and Haval H6, and backs its Coffee Pilot 3 system with 27 sensors including one lidar. It led the Series C round of driver-assistance firm Yuanrong Jixing.
The export glow masks a home-market problem
Overseas, both look strong. Great Wall topped 62,000 overseas sales for two straight months. Chery’s exports passed 202,500 in July, a fifth consecutive record above 200,000. But the domestic passenger market remains the foundation of any Chinese carmaker, and that is where both now need to rebuild.
Editor’s note: This is an adapted translation of the original CheDongXi report. It has been trimmed and restructured for readability for an international business audience.
