Auto Sales Heat Up Over May Day Holiday as Price Hike Fears Spur Early Purchases

During the May Day holiday, automotive sales activity surged significantly across multiple commercial districts and auto show venues in Beijing. On May 2, new energy vehicle (NEV) showrooms at shopping malls such as Wukesong, Century Golden Resources, and Huiju Xihongmen saw dense customer traffic, with test-drive vehicles operating at full capacity throughout the day. Some dealerships reported signing over six purchase contracts in a single day. On the opening day of the Beijing Auto Show, queues of visitors stretched all the way to the nearby subway station. Inside the exhibition halls, displayed vehicles drew crowds seeking information, and some consumers immediately scanned QR codes on-site to pay deposits. According to incomplete statistics, since early 2026, more than ten NEV manufacturers have announced price increases or reductions in end-customer discounts, with hikes ranging from RMB 2,000 to RMB 10,000. BYD and Changan adjusted their prices just before the May Day holiday: BYD cited rising costs due to the integration of its second-generation Blade Battery and flash-charging technology, while Changan stated that the price of its Q07 model increased by RMB 3,000 due to higher chip and memory costs, though it pledged to maintain original pricing for existing inventory delivered before May 7. Concerned that more brands might follow suit with price hikes, prospective buyers accelerated their purchasing decisions, making questions about current stock availability and price-guarantee periods among the most frequently asked. Foot traffic varied significantly across showrooms and exhibition booths. Domestic brands such as Harmony Intelligent Mobility (Huawei’s smart car solution), Xiaomi, and Li Auto attracted large crowds, while some joint-venture brand zones remained relatively quiet. Sales staff noted that most visitors focused heavily on intelligent features, with few engaging in deep negotiations over pricing. Additionally, several brands revised their financing policies—eliminating loan-processing fees and instead offering direct interest subsidies—bringing total installment payments close to outright cash purchase prices, thereby further lowering the barrier to entry for buyers. The market is currently showing clear signs of segmentation: entry-level models remain locked in intense price competition, whereas vehicles equipped with advanced intelligent driving systems, next-generation batteries, and high-performance cabin chips now command room for price increases. Purchase orders are visibly flowing toward brands leading in intelligent technology deployment.