CATL Executive Urges Beijing to Halt EV Price War Amid Industry Strain
- tech360.tv
- Jun 26, 2025
- 2 min read
A top executive at Contemporary Amperex Technology Ltd. (CATL), the world’s largest electric vehicle (EV) battery maker, has called on Chinese authorities to intervene in the ongoing EV price war, warning of serious risks to the industry.
Ni Jun, CATL’s chief manufacturing officer, said the aggressive discounting among EV makers would not stop unless Beijing stepped in with regulatory oversight.
Speaking at the World Economic Forum in Tianjin on Wednesday, Ni said, “One big player cannot always lower prices [to gain market share] while driving out all other small rivalsIf it continues to do so without proper [regulatory] oversight, all of its rivals will not survive.”
Although Ni did not name the company, BYD, the world’s largest EV manufacturer, launched a new round of price cuts in May. The company offered discounts of 10% to over 30% on 22 of its battery-powered and plug-in hybrid models, prompting other automakers to reduce prices on 70 models during the same month, according to 21st Century Business Herald.
CATL held a 38.6% share of the global EV battery market in the first four months of 2025. The company raised USD 5.22 billion in its Hong Kong listing last month, marking the world’s largest initial public offering this year.
Ni’s comments add to growing concerns from industry leaders about the sustainability of China’s EV sector. Earlier this month, Geely Auto Chairman Li Shufu criticised the pricing strategies of some manufacturers, saying they could compromise vehicle safety and quality. He said Geely would focus on technological improvements rather than expanding production capacity.
According to JPMorgan Chase, Chinese carmakers offered an average discount of 16.8% in April, up from 8.3% a year earlier. Goldman Sachs reported that only half of China’s EV production capacity—20 million units—was utilised in 2024.
Currently, only three Chinese EV makers are profitable: BYD, Li Auto, and Aito, which is backed by Huawei Technologies.
Gao Shen, an independent analyst in Shanghai, said CATL’s call for intervention reflects the growing pressure on EV assemblers. “Several companies are already under pressure to sustain their businesses,” he said.
A bankruptcy case involving Shanghai-based Hozon New Energy Automobile is under review by a court in Jiaxing, Zhejiang province, after a lawsuit was filed by Shanghai Yuxing Advertising over unpaid dues, according to the National Enterprise Bankruptcy Information Disclosure Platform.
On May 31, China’s Ministry of Industry and Information Technology announced that it would penalise carmakers that slash prices to gain market share, though it did not specify what measures would be taken.
CATL executive Ni Jun warns EV price war could destroy smaller rivals
BYD triggered new round of price cuts in May, prompting industry-wide discounts
Only three Chinese EV makers—BYD, Li Auto, and Aito—are currently profitable
Source: SCMP
