Only 5 Chinese Manufacturers Will Dominate the Automotive Industry

JAKARTA, KOMPAS.com – XPeng CEO He Xiaopeng predicts that only five Chinese car manufacturers will be able to survive and dominate the market in the future. These five players are expected to generate revenue of up to trillions of yuan, equivalent to thousands of trillions of rupiah, with profits reaching hundreds of billions of yuan. Quoted from CarNewsChina, to achieve such a scale, manufacturers are required to have very large sales volumes, namely millions of units per year. Meanwhile, in China, the strongest candidates include BYD, SAIC Motor, Geely, Chery, and Great Wall Motors. He also mentioned the intense competition in China’s automotive industry, which he considers unhealthy. This is reflected in the numerous new model launches at a single event like the Beijing Auto Show 2026. “The industry will be more stable if competition is not excessive. In that situation, players like XPeng, NIO, and Li Auto have the opportunity to achieve profits of more than 50 billion yuan per year,” he said, quoted on Monday (4/5/2026). He views EREV as a transitional solution, while Nio CEO William Li remains focused on pure electric vehicles as the ultimate goal. Referring to the 2025 global automotive sales report, three Chinese manufacturers have begun to rise in class and enter the top 10 best-selling brands, including BYD, SAIC, and Geely. BYD stands out the most after climbing to sixth place, also reflecting the strength of the electrification push which is their main advantage.