China is not just the world’s largest electric vehicle (EV) market, but also the most competitive. Sales of “new energy vehicles,” including hybrids and battery EVs, surged by 38% last year to hit 9.49 million units, according to data from the China Association of Automobile Manufacturers. With the global EV market estimated at 13.6 million units in 2023, China accounted for nearly 70% of all EV sales.
As the demand for electric vehicles grows worldwide, China’s affordable EVs are positioning themselves for global dominance, a trend that has legacy automakers and Tesla CEO Elon Musk concerned. Three Chinese EV manufacturers have made it to Fortune’s Asia Future 30 list, compiled in partnership with BCG, which showcases companies in the region with the potential for future growth.
BYD, the EV giant backed by Warren Buffett’s Berkshire Hathaway, stands out among the three companies. Starting as a battery maker in 1995, BYD ventured into the auto business in 2003 and soon became a major player in China’s EV market. With a range of battery electric and plug-in hybrid vehicles, BYD overtook Tesla in battery EV sales in 2023.
Li Auto, founded in 2015, focuses on plug-in hybrids targeting the premium market in China. The company, backed by tech giants like Meituan and ByteDance, launched its first vehicle model in 2019 and quickly reached over 10,000 units sold. Li Auto has recently entered the battery electric vehicle segment with its Li Mega minivan, offering fast charging capabilities and a range of 500 kilometers on a 12-minute charge.
Nio, established in 2014, has attracted investments from major Chinese and global investors, including Tencent, Temasek, and Lenovo. The company positions itself as a premium brand, emphasizing R&D, design, and user experience. Nio has made strides in AI-assisted driving technology and has received substantial investments from the municipal government of Hefei and CYVN, an investment fund controlled by the Abu Dhabi government.
With China’s EV market becoming increasingly competitive, these three companies are leading the charge with innovative technologies, strategic investments, and a focus on global expansion. As the EV industry continues to evolve, BYD, Li Auto, and Nio are poised to shape the future of electric mobility on a global scale.