The Market Monitor Minding the Nation's Business
Zhejiang Geely Holding Group (Geely Holding) announced today that aggregate sales across its automotive brands – Geely Auto, LYNK & CO, Zeekr, Volvo Cars, Polestar, PROTON, Lotus, smart, Radar, LEVC, and Farizon – grew 20% year-on-year to 2.79 million units in 2023, setting a new record for the Group. For the sixth consecutive year, Geely Holding achieved more than 2 million units in aggregate sales.
Accelerating a green and electrified future
The Group has seen sales of electrified and clean alternative fuel passenger and commercial vehicles grew over 51% year on year to approximately 980,000 units and accounting for 35% of Group aggregate sales.
The improved sales performance coincided with the Group’s continued focus on electrification, next generation technologies and synergies in sustainability.
During 2023, the Group’s core advantages in synergy building and technology sharing was highlighted with the launch of several new electric models across Geely’s brand portfolio developed on Geely’s Sustainable Experience Architecture (SEA) and its derivatives. New models launched in 2023 include Geely Auto’s Yinhe E8, Zeekr 007, Lynk & Co 07 EM-P, Volvo EX30, Polestar 4, Lotus Emeya, smart #3, PROTON S50, and Farizon SuperVAN.
Unit Sales by Brand
Geely Auto, the Hong Kong-listed holding company (HK.0175) that includes Lynk & Co and Zeekr, reported 2023 sales of 1.68 million units, an approximately 18% YoY increase. Sales growth was driven by the company’s expanding global presence and electrified vehicle sales. Exports to overseas markets increased 38% YoY to 274,101 units. In the new energy and electrified vehicle segment (including BEVs, PHEVs, and HEVs) the company saw unit sales more than double to 354,471 units.
Lynk & Co, Geely Auto Group’s premium brand delivered 220,250 vehicles globally to its users in 2023, a 22% year on year increase. Since its inception, the brand has delivered more than 1 million vehicles, setting new records for growth among automotive brands. The past year has seen the brand enter a new phase in its development with the launch of its new generation ultra-long-range EM-P hybrid models and improved smart connectivity experience through a partnership with mobile phone maker Meizu.
ZEEKR, Geely’s electric mobility brand, reached a new milestone in its second full year of sales by delivering over 100,000 units. By the end of 2023, 118,685 Zeekr vehicles were sold, an increase of 65% year over year. The past year also saw Zeekr unveiling its third model, the Zeekr X and starting delivery of its first vehicles to users in Europe. The brand announced it would aim to nearly double its sales in 2024 to over 200,000 units.
Proton Cars, of which Geely Auto Group controls 49.9% in partnership with DRB-HICOM, recorded its fifth consecutive year of growth with a 9.3% year over year increase in sales to 154,611 units. The Malaysian national brand maintained its number-two position in its home market accounting for nearly a fifth of Malaysia’s total market share. The past year also saw the brand unveiling its fourth new model, the S70 based on Geely Auto’s iconic and latest generation Emgrand sedan with deliveries starting in 2024.
Lotus Cars’ revitalization and transformation reached a turning point in 2023 as the historic British sports car brand saw its sales increase by over 1300% year over year with more than 50% of its sales from electric models. The past year saw global deliveries of the brand’s first electric production vehicle and SUV, the Eletre begun in earnest. Steady production at Lotus’ upgraded plant in Hethel and global deliveries of the brand’s final internal combustion model, Emira has also contributed to the brand’s explosive growth in the past year. In 2023, the brand also announced its upcoming pure electric grand tourer, the Emeya which begins production in 2024.
Volvo Cars electric transformation continues to progress steadily in 2023. For the full-year, Volvo saw its unit sales reached 708,716 vehicles with share of fully electric vehicles rising 16% of all vehicles sold globally. The Swedish brand saw sales increase for its products in its three major markets of Europe, China, and the US led by its electrified Recharge line. Volvo also saw the launch of its first all-electric premium urban SUV, the EX30 and electric premium MPV, the EM90 both developed on Geely’s Sustainable Experience Architecture (SEA). The new electric models will help Volvo drive volume and expand the brand’s reach in new market segments when deliveries begin in 2024.
Polestar, the Swedish electric performance car brand, presented a strengthened business plan focusing on improving margins and delivered 54,600 cars in 2023. The brand also debuted its fourth model, the performance SUV, Polestar 4 in 2023 with production having started in November and first customer deliveries in December. This year, the brand will grow from being a one- to three-car company and continue its development within Geely Holding Group.
smart, the new-premium intelligent and all-electric auto brand completed its first full year of sales and has successfully achieved its core objectives for the new era of operations. The brand continues to expand its global market, now covering China, Europe, the Middle East, Southeast Asia and South Asia, with a business presence in 22 countries and regions. In 2023, smart has delivered nearly 70,000 units worldwide. The comprehensive renewal and digital transformation of the brand showcases the immense advantages of synergies it benefits from being part of Geely Holding Group and Mercedes Benz.
RADAR, the new energy outdoors lifestyle vehicle brand, in its first full year of sales saw its market share in electric pickup trucks reach 61.5%. The brand’s deliveries of its all electric pickup truck to users in China mark the opening of a new market segment for consumer pure electric pickups. In addition to sales in China, the brand also expanded its presence globally with exports to dealers in South American markets in late 2023. In 2024, the brand plans to accelerate its expansion overseas and allow more users to enjoy its popular high-quality, high-tech, all electric pickup trucks.
Farizon, the commercial vehicle brand under Geely New Energy Commercial Vehicle Group doubled its market share to over 20% in 2023. The brand has maintained its position as the market leader for new energy light trucks in China for a third consecutive year. The brand’s expansion into Southeast Asia and Middle East markets has continued to accelerate in 2023 with new strategic cooperation agreements signed in Thailand and the UAE. In 2023, the brand also held the official debut for two of its newest generation models, the cutting-edge new energy intelligent heavy truck, HomTruck and groundbreaking commercial van developed on the GXA-M drive-by-wire intelligent architecture, SuperVAN.
LEVC announced its transformation from a high-end taxi manufacturer, to a leading provider of e mobility solutions in 2023 and debuted its next generation electric model the L380 based on Geely’s Space Oriented Architecture (SOA). The use of Geely’s SOA by LEVC enables the brand to offer more zero-emission mobility solutions to consumers than ever and enter new market sectors. While making steady progress in its transformation, the brand also saw new milestone with LEVC’s TX making up more than 50% of London’s licensed taxis in 2023.
Geely Holding Outlook 2024
Geely Holding anticipates accelerated growth in electrified and clean alternative fuel vehicles sales and margins in 2024 across its brands. Nearly all brands under Geely Holding have announced new electrified models in 2023 with global production and delivery set to start in 2024. In addition, several new models launched share Geely’s Sustainable Experience Architecture allowing brands to benefit from the synergetic advantages offered by Geely Holding in lowering costs and improving product margins.
Among the Geely Holding’s subsidiaries, Geely Automobile Group (HK.0175) has set a sales target of 1.9 million units for 2024, an increase of roughly 18% of its 2023 total sales. Zeekr aims to double its sales of premium electric vehicles to over 200,000 units and accelerate deliveries to European customers in 2024. Polestar aims to improve margins into the high teens and achieve annual sales around 150,000 by 2025.