HONG KONG, Sep 25, 2025 – (ACN Newswire) – The Hong Kong stock market has continued its recovery trend since the beginning of the year, with IPO market remaining robust. On September 25, Chery Automobile Co., Ltd. (“Chery Auto,” stock code: 9973.HK), a leading Chinese independent passenger vehicle brand, was officially listed on the HKEX, marking one of the most notable large-scale IPOs of the year.
In this IPO, Chery Auto attracted cornerstone investments totaling approximately US$587 million from over ten institutions, including Hillhouse, Greenwoods, Huangshan Construction Investment, Nexchip, Horizon Robotics, Dajia Life, Martis Fund, Gotion HK, Hefei Jianhui, PSBC Wealth, and Xingyu Co., Ltd. The participation of well-known institutions, players across the industrial chain, and local government entities underscores the market’s confidence in Chery Auto’s long-term growth potential and highlights its pivotal position within the automotive industry chain. The strong alignment of multiple stakeholders not only safeguards Chery Auto’s successful listing but also builds a broader collaborative ecosystem for its future business expansion.
Dual Focus on ICE and NEV to Seize Opportunities in Industry Transformation
Chery Auto started out with internal combustion engine (ICE) vehicles and has built strong competitive barriers in the traditional powertrain segment, underpinned by comprehensive system capabilities and deep technological expertise. This has laid a solid foundation for its subsequent diversified development. Leveraging its advanced technological strength, Chery Auto has developed classic ICE product lines such as Tiggo and Arrizo. In 2024, sales volume of ICE vehicles rose by more than 29% year-on-year, serving as a key “ballast” for the Company’s performance.
While consolidating its strengths in ICE vehicles, Chery Auto has also identified the global industry trends of “electrification and intelligentization”. With a core strategy of “in-house R&D + scenario-based application”, the Company has established a differentiated competitive edge in new energy and smart mobility. Today, it has built a full-spectrum powertrain portfolio covering “pure electric + hybrid + range-extender” models, achieving strong synergy and complementarity with its ICE business and driving continuous enhancement of its brand value.
In hybrid sector, Chery Auto’s independently developed ACTECO 1.5TGDI hybrid engine is the first range-extender electric vehicle engine in China to receive the “Premium Drive” certification from the China Automotive Technology and Research Center. With a maximum thermal efficiency of 44.5%, it surpasses the industry average of around 40% for hybrid engines in Chinese-brand passenger vehicles. In pure electric sector, the E0X platform-based LUXEED R7, equipped with an 800V “Giant Whale” high voltage battery platform, achieves a recharge up to 200 km within five minutes. In January 2025, it topped the sales chart for battery electric mid-to-large SUVs in China, demonstrating strong competitiveness in the pure electric sector. Additionally, the Company focuses on “user experience implementation” by developing the “Lion Intelligent Cockpit” system and driving assistance system, further enhancing product competitiveness. In 2024, the Company’s new energy vehicle sales surged by 267.4% year-on-year, ranking first among the global top 20 passenger vehicle companies.
Deepening Global Presence to Unlock New Growth Opportunities
As the leading exporter of Chinese domestic brand passenger vehicle, Chery Auto has established a comprehensive global network for R&D, manufacturing, and sales since its first export in 2001, setting a benchmark for Chinese domestic brands “going global”. In terms of the sales network layout, the Company’s products are available in over 100 countries and regions. As of 31 March 2025, Chery Auto boasts 1,092 overseas distributors across Asia (excluding China), Europe, Africa, Oceania, and the Americas, with a total of 2,958 overseas sales outlets. It has maintained the top position in Chinese domestic brand passenger vehicle for 22 consecutive years since 2003. In 2024, Chery Auto’s overseas sales surged by 37.4% year-on-year, generating overseas revenue of RMB97.87 billion, accounting for 39.7% of its total revenue.
From a regional perspective, Chery Auto has secured leading positions in multiple key overseas markets. In 2024, the Company ranked first in sales among Chinese domestic brand passenger vehicle companies in Europe, South America, and the Middle East & North Africa region. In North America and Asia (excluding China), it ranked second in sales among its Chinese peers. According to Frost & Sullivan, the Tiggo 7 was the best-selling passenger vehicle model among Chinese domestic brand passenger vehicle in terms of export volume in 2024. In the premium segment, the EXEED brand ranked first in export volume among Chinese domestic premium automotive brands.
Leveraging its existing global foundation, Chery Auto plans to further upgrade its overseas strategy through this listing on the HKEX. According to the prospectus, the Company intends to allocate 20% of the proceeds from the IPO to overseas market expansion. On the production front, Chery Auto will establish new production facilities in Southeast Asian countries like Vietnam and Malaysia, while expanding existing overseas factories to enhance localized production capabilities. In R&D, it will strengthen its presence in Europe, Southeast Asia, and North America, focusing on developing new energy vehicles and smart driving technologies tailored to local markets. For sales channels, Chery Auto will further densify its global sales and service network. The implementation of these initiatives is expected to unlock significant new growth opportunities for the Company.
From its humble beginnings in a “small thatched shed” in 1997 to its current position among the Fortune Global 500, Chery Auto has consistently led the industry with a pioneering spirit that dares to challenge conventions. This listing on the HKEX marks the beginning of a new phase of capital empowerment, bringing greater possibilities for advancing its new energy strategy and expanding into overseas markets. Looking ahead, with continuous iterations in new energy and intelligent products and the further expansion of its global network, Chery Auto is well positioned to sustain its high-quality growth trajectory and achieve both performance and value enhancement.
Topic: Press release summary
Sectors: Automotive
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