Good News on Listing | Frost & Sullivan Assists Chery Automobile Co., Ltd. to Successfully List on the Hong Kong Stock Exchange (9973.HK)

Chery Automobile Co., Ltd. (hereinafter referred to as 'Chery Automobile') successfully went public on September 25, 2025. The company plans to issue a total of 297 million shares globally, of which 90% will be allocated internationally and 10% will be publicly offered in Hong Kong. The issue price per share ranges from HK$27.75 to HK$30.75, raising a net amount of approximately HK$9 billion.

During the process of listing in Hong Kong this time, Frost & Sullivan mainly undertook the following tasks: helping the issuer accurately and objectively understand its positioning in the target market, using objective market data to discover, support and highlight the issuer's competitive advantages, assisting the issuer, investment banks and other intermediaries in completing the writing of relevant parts of the prospectus (such as overview, competitive advantages and strategy, industry overview, business and other important chapters), assisting the issuer in communicating with the Hong Kong Stock Exchange and investors, helping investors quickly understand the market ecosystem and competitive landscape, and assisting the issuer in completing feedback on various industry-related issues from the Hong Kong Stock Exchange, etc.

Frost & Sullivan has always been a leader in helping companies go public in Hong Kong. According to LiveReport's big data (statistical data as of June 30, 2025), from January to June 2025, as well as during the past 12 and 36 months, Frost & Sullivan provided listing industry advisory services to 29 (accounting for 71% of the market share), 60 (accounting for 67% of the market share), and 164 (accounting for 69% of the market share) Hong Kong-listed companies through IPOs, ranking first in terms of number. It has rich industry experience and communication skills with regulatory authorities, exchanges, investment and financing institutions, and various related agencies.

• The company's global passenger vehicle sales for 2024 were 2.295 million units;

   

• The company's cumulative global passenger vehicle sales exceed 13 million units;

   

• The company's passenger vehicles have been sold to over 100 countries and regions;

   

• In 2024, the company's passenger vehicle sales increased by 49.4% year-on-year. Among them, new energy vehicle sales increased by 265%, fuel vehicle sales increased by 29%, domestic sales increased by 55%, and overseas sales increased by 35%.

According to a report by Frost & Sullivan:

• Based on sales volume for 2024, the company is the second-largest independent brand passenger car enterprise in China, with a market share of 14.0% based on sales volume;

   

• Based on sales volume for 2024, the company is the eleventh largest passenger vehicle enterprise globally, with a market share of 3.0% based on sales volume;

   

• Since 2003, the company has ranked first in the export of self-owned brand passenger vehicles in China for 22 consecutive years;

   

• Based on sales volume for 2023-2024, the company's year-on-year sales growth rate ranks first among the top twenty global passenger vehicle companies;

   

• Based on sales volume for 2023-2024, the company is the only among the top twenty global passenger vehicle companies to achieve year-on-year growth in new energy vehicle sales, fuel vehicle sales, domestic sales, and overseas sales of more than 25%.

The global passenger vehicle industry has gone through a century of development and is now entering a relatively mature stage. With the continuous development of technologies such as electrification and intelligence, as well as increasing environmental awareness, the automotive industry is also undergoing significant changes. However, overall, the global passenger vehicle market size is huge and maintains a stable growth trend. In 2024, global passenger vehicle sales were 7430,000 units. It is expected that the annual compound growth rate from 2025 to 2030 will be 3.5%, with total sales reaching 9010,000 units by 2030 and 1 million units by 2035.

Due to differences in economic scale, stage of economic development, infrastructure construction, industrial foundation capabilities, etc., there is currently an imbalance in regional development of the global passenger vehicle market. In all regional markets, the sales of passenger vehicles in mature markets such as China, North America, and Europe in 2024 accounted for 30.4%, 23.9%, and 19.5% of global passenger vehicle sales, respectively, corresponding to sales of 2.26 million vehicles, 1.78 million vehicles, and 1.45 million vehicles. It is expected that the growth rates of these markets from 2025 to 2030 will be relatively flat, at 1.5%, 2.7%, and 2.4% respectively. Although the growth rates of mature markets are expected to be relatively flat in the future, their massive scale will release a significant base effect, capable of bringing an average annual market increment of over 1 million vehicles in the future.

The incremental growth of passenger vehicles contributed by mature markets, coupled with the structural transformation brought about by electrification and intelligence, is expected to continue driving global passenger vehicle market growth. It will provide key growth momentum for market participants such as automakers, parts suppliers, and other related enterprises in the industrial chain, and become the core driving force for the development of the global automotive industry.

The Chinese passenger vehicle market is huge and dynamic. In 2024, China's passenger vehicle sales reached 2.27 million units, with a compound annual growth rate of 1.9% from 2019 to 2024. It is expected that by 2030, sales will reach 2.48 million units, with a compound annual growth rate of 1.4% from 2025 to 2030.

In 2024, first-tier cities accounted for 14.1% of China's passenger vehicle market, while second-tier and lower-tier cities together accounted for 85.9% of the market share. First-tier cities often have limited license plate numbers, so it is expected that market growth will tend to be stable. In contrast, with the increase in residents' income, the demand for passenger vehicles in second-tier and lower-tier markets continues to grow, showing great development potential.

In 2024, fuel vehicles accounted for the majority of the market, with a market share of 51.1%. However, with the continuous progress of assisted driving, hybrid systems, battery technology, and strong support from domestic policies, the market share of new energy vehicles has shown a rapid upward trend, rising significantly from 4.8% in 2019 to 48.9% in 2024, and is expected to reach 77.0% by 2030.

New energy vehicles mainly include pure electric vehicles and plug-in hybrid vehicles. Plug-in hybrid vehicles combine an electric and gasoline propulsion system, allowing them to meet commuting needs in pure electric mode and to flexibly switch to gasoline power during long trips or when charging infrastructure is unavailable. Due to the low penetration rate of charging stations in China, plug-in hybrid models can effectively alleviate the 'range anxiety' of potential buyers.

Plug-in hybrid vehicles are widely popular in the market due to their technological advancements, which have shown better fuel economy and flexibility. From 2025 to 2030, the compound annual growth rate of plug-in hybrid vehicle sales is expected to be 11.5%, with the market share increasing from 25.1% in 2025 to 40.3% in 2030. They will play an important role in future automotive market growth.

● The penetration rate of new energy vehicles continues to rise, with regional disparities

In recent years, with the global emphasis on reducing carbon emissions and the growing awareness of sustainable development among consumers, the electric vehicle industry has developed rapidly. Governments around the world have introduced policies to encourage consumers to purchase electric vehicles and actively invest in building charging infrastructure. At the same time, the intelligence level of electric vehicles continues to improve, providing consumers with a more convenient and efficient usage experience and better meeting the increasingly diverse needs of consumers. In addition, the continuous progress of battery technology has significantly increased the range of electric vehicles, shortened charging times, enhanced confidence in electric vehicles, and encouraged more people to use new energy vehicles. Therefore, it is expected that the penetration rate of new energy vehicles will continue to increase in the future, becoming an important force driving the development of the automotive industry. It is estimated that the global penetration rate of new energy vehicles will rise from 23.0% in 2024 to 47.0% in 2030.

Currently, due to differences in energy prices, the completeness of charging facilities, government policy support, and consumer awareness across regions, the penetration rate of new energy vehicles varies greatly. In 2024, the penetration rate of new energy vehicles in China was 48.9%. In contrast, the overall penetration rate outside of China was 11.7%, with Europe having the highest penetration rate at 19.8%, North America at 9.0%, and South America at only 2.8%. With future growth, China, Europe, and North America will become the core sales regions for new energy, and the market share of Asia (excluding China) will also significantly increase.

● Rapid development of technological innovation and intelligent technologies

Driven by technological innovation, the passenger car industry is accelerating its transformation towards intelligence. Intelligent technologies mainly include assisted driving and intelligent cockpits. Currently, assisted driving technology has achieved full-scenario automation of steering and braking, moving towards a driving stage that liberates hands, greatly enhancing driving comfort, safety, and convenience. At the same time, by integrating advanced technologies such as AI voice assistants into intelligent cockpits, human-computer interaction has become more convenient and intelligent. In addition, users can continuously update vehicle system functions through OTA technology, allowing the vehicle to evolve throughout its lifecycle, providing continuous value enhancement for users. It is expected that by 2030, with the continuous progress of assisted driving technology and increasing market acceptance, the penetration rate of assisted driving vehicles globally and in China will achieve significant growth. This indicates a clear trend towards the transformation to more advanced assisted driving technologies.

● Automakers continue to adjust their global layout

In recent years, the global strategic layout of international automakers has been undergoing continuous adjustments. On one hand, Chinese automakers are accelerating their globalization strategy by building production factories, assembly lines, and supply chains overseas to continuously enhance their global competitiveness; on the other hand, traditional international automakers are showing a trend of strategic contraction, returning to focus on their core markets to optimize resource allocation. At the same time, as geopolitical risks continue to rise, the global supply chain system is accelerating its transformation towards regional restructuring, with automakers from various countries gradually shifting towards localized procurement to enhance the stability and resilience of the supply chain.