(Yicai Global) June 2 -- Sales of new energy vehicle startup Li Auto jumped 146 percent last month from a year earlier, outpacing rivals Hozon Auto and Leap Motor, while BYD remained the top Chinese NEV seller.

Li Auto sold 28,277 NEVs in May to rank first among Chinese NEV startups, data from the Beijing-based firm showed yesterday. Hozon Auto and Leap Motor sold 13,029 and 12,058 units, respectively, with the former selling 2,042 cars overseas. Hozon Auto reported an 18 percent jump in sales, and Leap Motor a 58 percent increase.

Operating revenue at Li Auto, including value-added tax, was over CNY10 billion (USD1.4 billion) in May thanks to the sales jump. “It was the first time ever for Li Auto to post monthly revenue of at least CNY10 billion,” said founder and Chief Executive Officer Li Xiang.

NEV sales by Shenzhen-based car giant BYD soared 109 percent to 240,200 last month from a year ago. GAC Aion, the electric car marque of major Chinese automaker GAC Group, ranked second with over 45,000 sold, a 114 percent gain. Sales of Geely Holding Group's electric vehicle brand Zeekr doubled to 8,678, while that of Changan Automobile's EV brand Deepal topped 7,000.

Aito, the electric car brand Huawei Technologies co-launched with Seres Group, sold 5,629 units in May, and Voyah Automobile Technology, a Chinese luxury EV brand owned by Dongfeng Motor Group, sold 3,003 cars.

Xpeng Motors and Nio, once the top NEV startups, saw sales decline in May, with Xpeng’s falling 26 percent to 7,506 from a year earlier, while the latter reported a 12.4 percent drop, selling 6,155 NEVs. Xpeng's sales will return to 10,000 from the third quarter and top 20,000 in the fourth, the Guangzhou-based carmaker said in its first-quarter earnings call.

China's NEVs sales jumped 82 percent to 483,000 between May 1 and 28 from the same period last year, according to data from the China Passenger Car Association, suggesting signs of a recovery in the world's largest auto market as this year’s price war cools.

But competition in China’s NEV market is intensifying. “The three years from 2023 to 2025 will be cruel and knock out many players because the market doesn't need so many carmakers," Li Auto's CEO Li has said.

Second-tier EV makers such as WM Motor, Aiways Holdings, and Enovate Motors have faced operational issues this year, including halted production, missed salary payments, and closed showrooms.

Editor: Martin Kadiev