KATHMANDU: China’s entry-level hatchback EV segment recorded a sharp month-on-month decline in January 2026 after the purchase tax exemption policy ended. Insurance registration data reported by Electric Planet News shows most leading models posted double-digit drops compared to December.
Only the top two models crossed 10,000 units, while the tenth-ranked vehicle fell to 2,200 units.
Geely led the segment with 29,007 units for its Geome Xingyuan (Geely EX2), despite a 19 percent decline. SAIC Motor’s MG4 ranked second with 10,007 units, down 29 percent month-on-month. The updated MG4 has begun deliveries of its solid-state battery variant.
The SAIC-GM-Wuling Mini EV recorded 7,133 units. Wuling Binguo S followed with 6,077 units. BYD’s Dolphin and Seagull (Atto 1) ranked fifth and sixth with 5,699 and 5,329 units, respectively. Recent filings show optional LiDAR systems for both models.
Most models in this segment are priced between USD 8,287 and USD 13,812. Industry data shows LiDAR hardware and semi-solid-state battery technology are gradually entering mass production in compact EVs.
In the broader market, as reported by CarNewsChina, Geely overtook BYD in both retail and wholesale sales in January 2026. Geely sold 210,000 units in retail and 270,000 units in wholesale, leading the market.
BYD’s retail sales dropped by over 50 percent year-on-year to 94,000 units. Geely has set an annual sales target of 3.45 million vehicles and plans to launch one to two new models every quarter this year.
Huawei’s new energy vehicle venture HIMA entered the top 10 for the first time, with retail sales rising 65.5 percent year-on-year.
Overall passenger vehicle retail sales in China stood at 1.544 million units in January, down 13.9 percent year-on-year and nearly one-third lower than the previous month.
In wholesale, the top 10 automakers accounted for nearly 60 percent of total volume. Chery followed Geely and BYD in wholesale rankings, while Tesla China wholesaled 69,000 vehicles, supported by exports from its Shanghai Gigafactory.
