Geely’s Road Ahead: Growth, Innovation, and the Race for EV Dominance in 2025

A Pivotal Year for China’s Leading Auto Giant

As Geely Holding Group gears up to release its 2024 annual results in April, investors, analysts, and industry observers are keenly watching the trajectory of one of China’s most prominent automotive players.

Following a record-breaking year in sales and revenue, Geely's outlook for 2025 and beyond presents both significant opportunities and challenges as the company continues its push into electric vehicles (EVs), global expansion, and technological innovation.

Geely EX5 garnered global attention through its appearances at international stage such as Hong Kong IMXPO. Source: global.geely.com

Strong 2024 Performance Sets the Stage

Geely Auto Group reported an impressive sales performance in 2024, with total vehicle sales reaching 2.17 million units, marking a 32% increase year-on-year. A major driver of this growth was the surge in new energy vehicle (NEV) sales, which almost doubled to 888,235 units, reflecting a 92% increase compared to the previous year.

The company’s exports also expanded significantly, reaching 403,923 units, a 53% growth from 2023, showcasing Geely’s strengthened presence in overseas markets.

Financially, Geely posted ¥107.3 billion in revenue for H1 2024, up 46.6% year-on-year, while net profit surged by 574.7% to ¥10.6 billion, highlighting improved operational efficiency and product mix optimization.

Key Growth Drivers for 2025 and Beyond

1. Expansion in Electric Vehicles (EVs) and Intelligent Cars

Geely continues to deepen its presence in the EV market through its Zeekr, Lynk & Co, and Ji Yue brands. The Ji Yue 01, developed in partnership with Baidu, aims to compete in the smart EV space by integrating advanced AI and autonomous driving features. Meanwhile, Zeekr’s 87% sales growth in 2024 underscores the brand’s increasing foothold in the premium EV sector.

2. Global Expansion and Localized Production

To mitigate geopolitical and trade risks, Geely is expanding its global production footprint. The company is setting up local manufacturing in Vietnam to bypass tariffs on Chinese-made EVs and exploring deeper collaborations in Southeast Asia, Europe, and Latin America.

3. Technology Innovation and Autonomous Driving

Through strategic partnerships with Baidu and Qualcomm, Geely is accelerating the integration of AI-driven mobility solutions. The Ji Yue brand, for example, leverages Baidu’s Apollo autonomous driving technology, positioning itself as a future player in the self-driving car market.

4. Strategic Partnerships and Mergers

Geely’s approach to consolidation within its portfolio—such as integrating Zeekr with Lynk & Co—demonstrates its strategy of optimizing brand efficiency and reducing internal competition. Additionally, the company’s stake in Volvo and Lotus reinforces its multi-brand strategy, offering vehicles across various price points and market segments.

Challenges Ahead

Despite its strong performance, Geely faces several headwinds:

• Intense competition in China’s EV market from rivals like BYD, Tesla, and NIO.

• Geopolitical uncertainties impacting overseas expansion efforts.

• Profitability pressures due to high R&D investment in EVs and AI-driven technology.

  
  

2025 Outlook and Market Expectations

Looking ahead, Geely has set a sales target of 2.71 million units for 2025, aiming for a 25% year-on-year increase. The company also plans to sell 1.5 million NEVs, a 69% jump, demonstrating its aggressive electrification push. In the long term, Geely has announced plans to surpass 5 million annual vehicle sales by 2027, indicating a robust growth trajectory.

With its innovation-driven strategy, global expansion plans, and strong brand ecosystem, Geely is well-positioned to continue its leadership in China’s automotive industry. However, its ability to navigate competition, regulatory landscapes, and technological shifts will be key factors determining its success in the years to come.

Conclusion

As Geely prepares to unveil its full-year 2024 results in April, market watchers will be assessing its performance across sales, profitability, and strategic initiatives. With a strong foundation in place, the company’s outlook remains optimistic, though challenges persist. Investors and industry stakeholders will closely monitor how Geely leverages its strengths to drive growth in an increasingly dynamic global automotive landscape.

Disclaimer: This article is for educational and informational purposes only and should not be considered financial or investment advice. All investments carry risks, including potential capital loss. Readers should conduct their own research and consult a qualified financial professional before making any investment decisions. The author and publisher are not responsible for any financial losses incurred based on the information provided.