Geely's model surpassed Tesla and Xiaomi, while BYD remained the leading brand for the third month even with a sharp drop in sales
The Geely EX2 — sold in China as Xingyuan and already on the rise in Brazil — was China’s best-selling car in May, with 38,751 units. The electric compact maintained the leadership conquered in April and reinforced its condition as the most licensed model in the country in the year, ahead of rivals such as Tesla and Xiaomi.
Among the brands, BYD remained at the top, the leader for the third consecutive month with 165,105 vehicles, despite a 37.9% year-on-year retraction — a reflection of the price war that has put pressure on its volumes and margins since the end of 2025. Geely was in second place, with 126,104 units, followed by Volkswagen, which retook third place by surpassing Toyota.
The numbers came in another month of retraction in the world’s largest vehicle market. According to the China Association of Automobile Manufacturers (CAAM), 2.629 million new vehicles were sold in wholesale, a volume 2.1% lower than in the same period last year — the fifth consecutive monthly drop. In 2026, sales totaled 12.205 million units, a result 4.3% lower in the annual comparison.
The slowdown reflects the adjustment period that followed the end of tax breaks on car purchases and the reduction of swap subsidies granted by local governments — stimuli that had supported demand in previous years. Part of the decline in the domestic market, however, has been offset by exports, which rose steadily throughout the year.
In the model ranking, the Tesla Model Y was in second place, with 28,911 units, followed by the Xiaomi SU7, which totaled 24,023 units. May also marked an unprecedented feat: for the first time, the ten best-selling models in the country were all electrified, with no exclusively combustion car on the list. Tesla was the only foreign brand to add two models to the group, and the share of new energy vehicles in retail hit a record, at 62.9% of sales, according to the CPCA, an association that brings together passenger car manufacturers.
Among the drops, Honda saw sales fall 48.8% and Changan recorded one of the biggest retractions in the ranking, of 63.6%. Another highlight was the Leapmotor A10, which reached the fourth position in just its third month on the market. The BYD Seagull, sold in Brazil as Dolphin Mini, totaled 9,822 units and saw sales fall 68.4% year-on-year.
