China’s Li Automobile has changed its forecast for the third quarter.


Lee Auto, meanwhile, is expected to deliver 25,500 vehicles in the third quarter of this year. That’s down from initial forecasts of 27,000 and 29,000 units. According to Lee Auto, the forecast cut is “a direct result of supply chain constraints.” However, the demand for the vehicles still continues.

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Lee Auto said it now expects to deliver 25,500 vehicles in the third quarter, up from its previous outlook of between 27,000 and 29,000 units. Shares of Lee Auto were down 2 percent in premarket trading. “The revision is a direct result of supply chain constraints, as the company’s fundamental demand for vehicles remains strong,” Lee Auto said in a statement. “The company will continue to work closely with its supply chain partners to resolve the bottleneck and expedite production.”

Chinese electric car manufacturers have faced several headwinds from the resurgence of Covid-19 and Beijing’s continued lockdown policy to contain the virus. This “zero-covid” policy has caused supply disruptions at factories in China and put pressure on the economy and consumer spending. In order to continue the development of electric cars, China’s Ministry of Industry and Information Technology and the Ministry of Finance have extended the purchase tax exemption period for new energy vehicles until December 31, 2023. – In hybrid cars.

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Since the policy was first introduced in 2014, Beijing has extended the purchase tax exemption on several occasions to stimulate demand. The policy, along with other incentives, has helped China become the world’s largest electric vehicle market.

Although the market is facing challenges, Chinese electric car startups continue to introduce new products this year to boost growth. Last week, Xpeng launched its most expensive sports utility vehicle to date, the G9, in a bid to push into the high end of the market. Lee Auto will take the wraps off its new SUV, the Lee L8, on Friday, which is expected to be launched in November.

Shares of Li Auto fell in premarket trading in the United States after the Chinese electric car maker cut its delivery guidance for the third quarter. Meanwhile, rival electric car companies Neo and Xpeng jumped when Beijing announced an extension of tax breaks for electric car purchases. The growth of EVs in China is increasing rapidly. Global automakers are looking forward to boosting their EV sales in China.

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