On the afternoon of August 4th, Li Auto placed a new-generation Li L6 on a live-streaming stage for disassembly.
Over four hours, the vehicle was broken down into five sections: seats, body, safety structure, chassis, and battery. This disassembly livestream took place against the backdrop of Li Auto experiencing a three-month consecutive decline in both month-over-month and year-over-year sales.
Li Auto Chairman and CEO Li Xiang wrote in a social media post ahead of the livestream: "Competing on price is not as good as competing on materials." For Li Auto, the disassembly broadcast was an attempt to re-demonstrate product strength amid sales pressure.
Starting in 2023, Li Auto grew rapidly with its L-series range-extended SUVs, becoming one of the first new energy vehicle companies to achieve scaled profitability. Models like the Li L7, L8, and L9 cover different price points and established a unique position through the "Family Smart Flagship SUV" concept. However, as competitors enter the range-extended market and competition in the pure electric vehicle segment accelerates, the advantages Li Auto previously built are being reshuffled. Now, the company is seeking new growth paths through product showcases, technical communication, and adjustments to its product lineup.
Three Consecutive Months of Decline
The sales decline for Li Auto did not start in July. Looking at the monthly trend this year, deliveries hit a 2025 high of 41,053 units in March, then began a downward trajectory. Deliveries were 34,085 units in April, 33,350 in May, 30,895 in June, and 30,468 in July, a cumulative drop of over 10,000 vehicles in four months. On a year-over-year basis, deliveries fell by approximately 18% in May, 14.84% in June, and 0.86% in July. Although the decline rate is narrowing month by month, a clear signal of a rebound has yet to appear.
Li Auto has been launching new models frequently. Over the past three months, the company completed the generational upgrades of key range-extended models like the new-generation Li L9 and Li L8, followed by the launch of the new Li L6 in July. However, delivery results show that this intensive product push has not yet reversed the overall downward trend.
The range-extended technology route is shifting from a point of differentiation to a technical direction that more and more automakers are adopting. Previously, range-extended vehicles were primarily promoted by a few new energy companies, but in recent years, more players, including traditional automakers and new energy brands, have begun introducing range-extended products. As more brands enter the same market, the differentiating effect of the technology itself is diminishing. When consumers choose a new energy SUV, their considerations are shifting from "whether it solves range anxiety" to a comprehensive assessment of smart driving, cabin experience, design, price, and brand. Competition in the family SUV market is also intensifying. While Li Auto previously built a strong brand perception around the family concept, the demands for "large space, high configuration, and smart features" have become industry-wide benchmarks as competitors launch similar products. Li Auto now faces not just the conversion of traditional fuel SUV users but also intense competition for more mature consumers among new energy brands.
Li Auto's pure electric business has yet to form a sufficiently distinct brand identity. Currently, the company has only three pure electric models on sale. Although the pure electric i6 has sold over 20,000 units per month for several consecutive months, becoming the brand's sales mainstay, the product structure remains reliant on a single model.
A financial analyst following the industry stated that Li Auto is in a critical phase of "range-extender iteration and pure electric transition," where the competitiveness of older range-extended models is weakening, and new models have not yet fully ramped up. The three consecutive months of declining sales have become a key point for Li Auto to re-evaluate its product strategy, leading to the new-generation Li L6 disassembly livestream on August 4th.
Vehicle Disassembly
The August 4th disassembly livestream lasted over four hours, presenting the entire process. The new-generation Li L6 product leader, Li Xinyang, hosted the disassembly, which began with the seat system and progressively delved into key modules like the white body structure, active and passive safety systems, chassis assembly, and power battery. Li Auto summarized the livestream as: "Every cut is made in places that the specs sheet cannot show."
This livestream followed the launch of the new-generation Li L6. The vehicle was officially launched on July 16th at a price of 249,800 yuan, positioned as a mid-to-large-size four-wheel-drive SUV in the 250,000-yuan class. Maintaining the same price as the previous generation, the new model upgrades seat comfort, chassis handling, smart cabin, and driver assistance features.
Li Xiang, in his social media post before the livestream, stated: "In a vehicle's cost structure, elements like material grade, structural design, thermal management solutions, and wiring harness specifications do not appear on the configuration sheet and cannot be perceived by users in a showroom, but they will gradually manifest over the next five to eight years of actual use."
Zeekr is also conducting similar disassembly promotions. Just a day earlier, on August 3rd, Zeekr completed a live broadcast disassembly of the Zeekr 7X, first conducting a rear-impact test at 105 km per hour, then disassembling the body and inviting industry experts to verify the steel-aluminum structure and chassis architecture.
For Li Auto, this livestream was primarily a product communication effort. However, market validation will still depend on the delivery results of the new Li L6. Li Auto needs the new model to boost its range-extender base and continue expanding its pure electric product line to escape reliance on a single model.
In March, Li Auto announced its 2026 sales target during its Q4 and full-year 2025 earnings call: year-over-year growth of over 20%, corresponding to approximately 487,600 vehicles for the year. As of the first half of the year, Li Auto had delivered approximately 193,500 vehicles, a 5.1% year-over-year decline, making it the only brand among the top six new energy vehicle players to experience a drop. The completion rate for the annual target is about 39.7%, placing significant pressure on the second half of the year. To achieve this goal, Li Xiang proposed a "3+2" growth strategy: managing the sales system, promoting the L-series generational upgrade and pure electric vehicle volume, while also delivering on smart driving R&D results and expanding into overseas markets.
Li Xiang defined 2026 as the "first year of Li Auto's formal overseas expansion." According to the company's plan, Li Auto has entered markets like Macau, Cambodia, and Laos. In the third quarter, it will launch the L9 range-extended model adapted for local usage scenarios in the Middle East and Central Asian markets. In the second half of the year, it will launch the pure electric i6 model in the European market. By the end of the year, it will also release a right-hand drive version of the MEGA in right-hand drive markets like Hong Kong and Singapore. Li Xiang also predicts that the core of competition for mid-to-high-end smart vehicles over the next three to five years will be embodied intelligence.
However, the transformation comes with growing pains, and the launch of new vehicles has not yet translated into sales growth. A product specialist from another new energy vehicle company expressed concern about Li Auto's current situation, noting that the numerous competing models entering the market appear to offer better value for money, and it remains uncertain whether users will be convinced by the product strength showcased in the disassembly and make a purchase. The August 4th disassembly livestream, to some extent, represents an action by Li Auto under the dual pressures of sales decline and strategic transformation. The company must now answer a critical question: when the price war is at its peak, when the dividends of range-extender technology are fading, and when an automaker faces the dual test of falling sales and strategic transition, where will it find growth?
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