Geely Galaxy's Sales Over-Reliant on Xingyuan Model, Exposing Structural Risks

Since the launch of its first model, the L7, in May 2023, Geely Galaxy has built a product portfolio comprising over ten models spanning both BEV and PHEV technologies, covering segments including A-segment vehicles, sedans, SUVs, and MPVs. The brand has set an ambitious sales target of 1.24 million units for 2025, representing a 150% year-over-year increase. From January to May this year, its retail sales rose from 59,100 to 71,600 units, reflecting an overall upward trend. However, sales have become increasingly concentrated. The entry-level all-electric mini car Xingyuan (priced between RMB 60,000 and RMB 100,000) has emerged as the only model consistently selling over 10,000 units per month. In May, it topped China’s passenger vehicle sales chart with 38,800 units sold—the third time it has claimed the top spot this year. Since April, Xingyuan’s share of Geely Galaxy’s total sales has exceeded 54% for two consecutive months, significantly higher than its projected full-year 2025 share of 37.6%. Other models have underperformed. The Galaxy E5, which previously sold over 15,000 units monthly, saw its May retail volume drop to just 5,155 units. PHEV models such as the Starship 7, Starglow 8, and A7 EM briefly surpassed 10,000 units per month but have since stabilized around 3,000 units. The six-seat SUV Galaxy M9, launched in September 2023 with a starting price of RMB 183,800, experienced strong initial demand in Q1 but has seen continuous declines since, with May retail sales falling to just 2,868 units. Feedback from a Beijing dealership indicates that overall sales from January to May were approximately 70–80% of the same period last year, with a modest recovery in June driven by the release of new NEV license quotas. At this store, Xingyuan accounts for roughly 30–40% of sales, while the E5 contributes about 20%. Some PHEV models, such as the A7, rely on manufacturer subsidies of RMB 2,000–3,000 per unit to support promotions. Models like the Starglow 6, primarily targeting the ride-hailing market, face inventory pressure and limited consumer appeal. Intensifying external competition further compounds these challenges. Leapmotor has entered Geely Galaxy’s core price segment with a value-for-money strategy; its A10 model delivered over 20,000 units in May, directly competing with the Xingyuan. Additional Leapmotor models—including the B10, C10, and D19—also pose threats to the Galaxy E5, Starship 7, and M9. Meanwhile, BYD is enhancing charging convenience through its Flash Charge technology. Its first Flash Charge-equipped models, such as the Song Ultra, now compete directly in the same price range as the Galaxy E5 and Starship 7. BYD plans to build 20,000 Flash Charge stations by the end of 2026 and had already deployed over 6,100 as of May 2026, potentially widening its competitive edge in the mainstream NEV market. Analysts warn that if Geely Galaxy fails to develop a second high-volume model beyond the Xingyuan, relying solely on one product to sustain scale will exert pressure on profitability and brand elevation, ultimately hindering its efforts to close the sales gap with BYD.