Consolidation Mode: Why Nio and Geely Are Rethinking Their EV Playbooks

China’s EV sector isn’t just gaining speed — it’s recalibrating. Week 19 brought strong delivery growth across most major brands, from BYD’s best week of the year to Zeekr’s sharp rebound and Xpeng’s continued momentum. Even Firefly, Nio’s newest sub-brand, is gaining traction just two weeks into deliveries.

But beneath the surface, structural shifts are accelerating. Nio has begun merging Onvo and Firefly into its core operations in a move that hints at tighter brand control and cost discipline. Meanwhile, Geely wants to take full ownership of Zeekr and preparing to delist it from the NYSE — a signal that Chinese carmakers may be rethinking how they balance global exposure with internal agility.

At a time when international pressure is growing and competition at home remains fierce, Chinese OEMs are doing more than just scaling — they’re streamlining, consolidating, and repositioning for the next phase.

Let’s dig in.

Sebastian

China EV Market Rebounds in May – Nio, Xpeng, Zeekr Lead the Charge

The Chinese EV market rebounded in the first full week of May 2025, with robust growth across many leading brands – though Tesla’s dramatic slump stood out. Here's a detailed breakdown of how the key players performed during Week 19, based on new energy vehicle (NEV) registrations.

All values are converted to US dollars using manufacturer-reported figures where available or derived at current exchange rates. These represent retail vehicle registrations, not wholesale shipments.

AITO
Registered 7,540 vehicles, up 12.5 percent from 6,700 the previous week.
The Huawei-affiliated brand continues steady growth, further consolidating its position in the upper mid-tier segment.

AVATR
Registered 2,630 vehicles, marking a 25.2 percent increase from 2,100 units.
Avatr, known for its premium positioning, is showing sustained weekly momentum.

BYD
Delivered 67,980 vehicles, up 14.6 percent from 59,310 the week before – the brand’s strongest week of 2025 so far.

• Denza contributed 2,990 units (+3.8 percent).

• Fang Cheng Bao added 2,660 units (+17.7 percent).

BYD maintains its dominance in the NEV segment and remains on track to hit its annual target of 5.5 million units.

DEEPAL
Registered 4,700 vehicles, up 9.3 percent from 4,300.
A stable performer in the mid-market segment, Deepal is growing with a balanced EV and EREV lineup.

FIREFLY
Registered 470 vehicles, a 34.3 percent increase from 350 the previous week.
Only in its second week of deliveries, Firefly is gaining traction with its compact hatchback, ahead of its European launch this summer.

LEAPMOTOR
Registered 7,800 vehicles, a 25.8 percent rise from 6,200.
Leapmotor’s growth reflects renewed momentum after the Stellantis joint venture agreement.

LI AUTO
Registered 8,160 vehicles, down 28.4 percent from 11,400 the week before.
The decline follows underwhelming sales of its all-electric Li Mega. The company is now focusing on preparing the launch of the Li i8 SUV in Q2.

NIO GROUP (TOTAL)
Together with sub-brands Onvo and Firefly, Nio Group registered 6,060 vehicles, up 18.2 percent from 5,100. Group momentum is building with the addition of new brands and models.

Firefly - Registered 470 vehicles, a 34.3 percent increase from 350 the previous week. Only in its second week of deliveries, Firefly is gaining traction with its compact hatchback, ahead of its European launch this summer.

Nio - Core brand Nio registered 3,930 vehicles, up 13.3 percent from 3,470. Battery swap and premium positioning continue to define the brand’s strategy.

Onvo - Registered 1,660 vehicles, up 29.7 percent from 1,280. This marks the best result in ten weeks for Nio’s mainstream sub-brand, led by the Onvo L60.

TESLA
Registered 3,070 vehicles, down 57.9 percent from 7,290.
A sharp weekly decline, placing Tesla in contrast to the overall upward trend of the Chinese NEV market.

XIAOMI
Registered 5,180 vehicles, down 9.1 percent from 5,700.
Xiaomi's single-model strategy with the SU7 shows signs of stabilization, ahead of the YU7 SUV launch in summer.

XPENG
Registered 6,870 vehicles, a 23.8 percent increase from 5,550.
The brand recorded its sixth consecutive month with over 30,000 monthly deliveries. The Mona M03 remains a key driver, even though April sales data for the model were not disclosed.

ZEEKR
Registered 4,310 vehicles, up 39.0 percent from 3,100 – one of the strongest weekly growth rates across all brands.
Zeekr continues to benefit from new product momentum and its ongoing European expansion strategy.

_{All figures cited are based on official data published by the respective manufacturers.}

Nio Launches Major Internal Overhaul Amid Growing EV Competition

One brand that stood out in Week 19 was Nio – not just for its solid delivery growth across its main and sub-brands, but also for a major strategic shift behind the scenes. As competition intensifies and multi-brand structures become harder to scale, Nio has begun a sweeping internal restructuring that could redefine how Onvo and Firefly operate within the group.

According to an internal memo dated May 9, Nio is folding its two sub-brands – Onvo and Firefly – deeper into the main corporate structure. The reorganisation affects key areas such as product development, user services, and marketing, signalling a clear push for greater efficiency and tighter operational control.

Within Nio’s Product Design & Development (PD&D) Cluster, a new first-tier department will be created specifically for Onvo product development. This team, which will report directly to Nio CEO William Li, is set to take over responsibilities from the original Onvo division. Tasks include product experience, project management, industrial design, and vehicle engineering – essentially consolidating all R&D processes into one streamlined unit.

To complement this move, a new Onvo Product Line Department will also be established under the same cluster. This reallocation of resources suggests that Nio wants to maintain distinct product identities while leveraging shared expertise and infrastructure.

In parallel, Nio’s User Experience & Service (UE) Cluster will form a new first-tier Onvo User Service Department, headed by Shen Fei, who will report to co-founder and president Qin Lihong. This department will absorb all key Onvo service units, covering planning and operations, regional sales strategies, local sales execution, and marketing.

Onvo’s Marketing and Event Planning Department, along with its regional sales branches, will also be integrated into the UE Cluster. While these will remain second-tier departments, they are now formally part of Nio’s unified reporting and coordination structure.

Firefly, the newest brand under the Nio umbrella, will also be placed under the PD&D Cluster. While fewer details have been shared regarding Firefly’s restructuring, its inclusion points to a similar trajectory – one where shared platforms and support functions replace standalone structures.

This strategic overhaul comes at a time when Nio is showing signs of delivery momentum. The company delivered 23,900 vehicles globally in April – a 53 percent year-over-year increase and a 58.9 percent jump from March. Of these, 19,269 units came from the main Nio brand, 4,400 from Onvo, and 231 from Firefly.

On the same day the internal memo circulated, CEO William Li also announced the delivery of Nio’s 700,000th vehicle at the Wuhan New Energy Research Institute, marking a symbolic milestone for the company.

Nio’s reorganisation is more than a structural adjustment – it reflects the company’s evolving approach to brand architecture, operational scale, and user experience. With shared access already enabled across Nio House locations for Onvo and Firefly customers, the lines between the brands are beginning to blur.

By centralising key functions while retaining brand-specific identities, Nio appears to be preparing itself for more agile competition in both domestic and international markets.

Geely Moves to Fully Acquire Zeekr, Plans NYSE Delisting

Geely Automobile Holdings has announced plans to acquire all outstanding shares of its premium EV subsidiary Zeekr, bringing the brand under full ownership and removing it from the New York Stock Exchange. Geely already holds approximately 65.7 percent of Zeekr and is offering to purchase the remaining shares at a 13.6 percent premium over the most recent closing price.

The move is part of Geely’s broader strategy to consolidate its electric vehicle operations and streamline brand management across its growing automotive portfolio. In a company statement, Chairman Li Shufu said the decision aligns with Geely’s long-term vision of integrating technology development, global market expansion, and supply chain management into a unified structure. The goal: greater efficiency and faster innovation through tighter internal alignment.

Founded in 2021, Zeekr has served as Geely’s high-end EV brand focused on software-defined vehicles, smart cockpit systems, and advanced driver assistance features. The brand achieved a major milestone in 2023 by becoming the fastest Chinese EV company to go public in the U.S., though its stock performance has since fluctuated due to changing investor sentiment and broader tech market volatility.

Despite those pressures, Zeekr has continued to expand aggressively, adding new models to its lineup and investing in solid-state battery research, autonomous driving technologies, and overseas distribution networks. The company has recently accelerated its European expansion and continues to position itself as a global premium alternative in the EV market.

Analysts see full integration as a potential win for Geely’s EV strategy, offering opportunities to optimise research and development, purchasing, and production across brands such as Zeekr, Lynk & Co, and others in its portfolio.

At the same time, some experts caution that Zeekr’s delisting from the NYSE could reduce its visibility among international investors and limit access to overseas capital—factors that might complicate ambitions in key growth regions like Europe and Southeast Asia.

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