CHERY AUTO (09973) achieves IPO milestone: Leading global expansion and embarking on a new journey of technological intelligence transformation.

In the current situation where the global automotive industry is accelerating towards new energy and intelligent transformation, the Hong Kong stock market, with its international capital ecosystem and positive attitude towards emerging industries, has attracted many car companies to go public in Hong Kong. Chery Auto (09973), which is driving on the fast lane of development, as an important participant in the Chinese automotive industry, will also reach a new key milestone in its development journey with the help of the Hong Kong capital market. On September 25, 2025, Chery Auto successfully listed on the main board of the Hong Kong Stock Exchange. This IPO signifies Chery Auto's strategic thinking in globalization layout, technological intelligent transformation, and other dimensions, which not only concerns the future development direction of the company itself, but also will have a profound impact on the entire automotive industry landscape. As the champion of independent brands going global, achieving high-quality growth In 1997, Anhui Automotive Components Co., Ltd. was established, marking the beginning of Chery Auto's entrepreneurial journey. In 1999, the first independently developed engine went into production, and in 2000, the first sedan "Fengyun" was born, injecting vitality into the development of Chinese independent brand cars. In 2001, the first batch of "Fengyun" sedans were exported in bulk, marking the beginning of Chery Auto's globalization journey. Since then, the first new energy vehicle was produced in 2003, and the Tiggo SUV was launched in 2005, continuously enriching the product lineup. Today, Chery Auto has developed into a global passenger car company, with business covering the design, development, manufacturing, and sales of various types of passenger cars, possessing a complete industrial system in engine, transmission system, and chassis manufacturing. In the process of globalization, Chery Auto has achieved remarkable results. As of now, its passenger cars have been sold to over 100 countries and regions worldwide, with a total global sales volume exceeding 13 million units. Since 2003, Chery Auto has ranked first in the export volume of Chinese independent brand passenger cars for 22 consecutive years, highlighting its strong competitiveness and brand influence in the international market. In 2024, with a global sales volume of 2.295 million units and a year-on-year growth rate of 49.4%, Chery Auto became the only company among the top twenty passenger car companies globally to achieve year-on-year growth rates of over 25% in sales of new energy vehicles, fuel vehicles, domestic sales, and overseas sales, with the new energy vehicle sales growing by over 265% compared to the previous year. In the domestic market, with leading technology, diversified product portfolio, strong brand value, and a large sales network, passenger car sales grew by over 55% year-on-year. In terms of overseas markets, Chery Auto has achieved a counter-trend growth by relying on its first-mover advantage, diversified brand layout, multi-level sales channels, strong supply chain, localized R&D capabilities, and positive user reputation, ranking among the top in sales in several major passenger car markets. For example, in Europe, South America, the Middle East, and North Africa regions, Chery Auto ranks first among Chinese independent brand passenger car companies; in North America and Asia (excluding China), it ranks second. With the deepening of its global layout, Chery Auto's performance has achieved steady high-quality growth. From 2022 to 2024, the company's revenues reached RMB 92.618 billion, RMB 163.205 billion, and RMB 269.897 billion respectively, with a compound annual growth rate of 70.7%. During the same period, the company's net profits reached RMB 5.806 billion, RMB 10.444 billion, and RMB 14.334 billion respectively, with a compound annual growth rate of 57.1%. In the first quarter of 2025, Chery Auto achieved revenues and net profits of RMB 68.223 billion and RMB 4.726 billion, representing year-on-year growth rates of 24.2% and 115.1% respectively. Significant achievements in technological intelligent transformation, laying a solid foundation for globalization The steady growth of Chery Auto's performance is attributed to its long-term focus on core areas such as technological research and development, brand building, supply chain management, and production capacity planning. In terms of technological research and development, Chery Auto has built a comprehensive technological system covering key areas such as Kunpeng power, Mars architecture, Lion smart cockpit, and Big Dipper intelligent driving. Kunpeng power includes core technologies such as engines, transmissions, electric drives, and battery safety systems, with its development of eight gasoline engines and hybrid engines being recognized as among the top ten "China Heart" by the Car and Sports magazine. The Mars architecture, as a car development platform, enhances research and development efficiency and accelerates the launch of new products through modular hardware and cross-platform software. The Lion operating system creates intelligent cockpit systems to provide a safer, more comfortable driving environment and intelligent features to enhance the driving experience. The Big Dipper smart driving provides intelligent driving solutions for passenger cars, including intermediate and high-end intelligent driving solutions. Chery Auto focuses on technical innovation as its core driver, dedicating 5%-7% of annual sales revenue to independent research and development, building a global research and development verification system around new energy, intelligence, and platform technologies. From 2022 to 2024, Chery Auto's research and development spending increased from RMB 3.646 billion to RMB 9.243 billion, with a compound annual growth rate of 59.2%. As of March 31, 2025, the company has 14,400 professional researchers (accounting for over 50% of its non-production staff) and has accumulated over 13,900 patents, including over 4,400 invention patents. It is worth noting that Chery Auto has eight major research and development centers globally, with research institutions established in Germany, Spain, Brazil, Mexico, and Malaysia. By relying on global-scale research and development resources, Chery Auto has the ability to integrate localized development with innovative research. With a solid research and development foundation, Chery Auto has successfully built five major brands, including Chery, Jetour, JETTA, iCAR, and Zhijie, each with unique positioning, travel style, and aesthetic recognition to meet the diverse needs of customers and cover potential growth tracks. The Chery brand as the main brand targets the masses and family users, striving to build a safe, comfortable, and reliable first-line brand with multiple popular models recognized by consumers. After years of market cultivation and product quality improvement, the Chery brand's recognition and reputation have continued to increase. Third-party research data shows that in the past five years, the domestic awareness of the Chery brand has increased from 60% to 85%, and the overseas market awareness has increased from 30% to 55%. The Jetour brand focuses on the off-road travel car market, accurately positioning target users; the JETTA brand focuses on technology and new luxury, providing high-quality travel experiences for users pursuing performance and quality; the iCAR brand targets Z-generation customers who are enthusiastic about technology and freedom, providing cutting-edge and fun travel experiences; the Zhijie brand focuses on the high-end intelligent new energy vehicle field to meet the needs of users who pursue intelligence and high performance. Looking ahead, Chery Auto plans to achieve higher levels of mass production of autonomous driving technology in the next few years to enhance driving safety and convenience. Chery Auto will break through technical bottlenecks by increasing research and development investments and collaborating with research institutions. In terms of intelligent networking systems, it will further enhance the level of intelligence, strengthen interconnection between vehicles and infrastructure, and create a more intelligent and convenient travel experience. Apart from steadily advancing in technological intelligent transformation, Chery Auto has also performed excellently in other key aspects of enterprise operations. In supply chain management, Chery carefully selects high-quality suppliers, overseeing multiple dimensions such as price, quality, and production capacity to ensure the supply of raw materials and product quality. Through information sharing and collaborative research and development, the supply chain process is optimized to improve efficiency and flexibility. A stable supply chain not only ensures timely delivery of production materials and cost reduction but also maintains product quality and enhances the company's risk resilience. To meet global market demands, Chery actively deploys overseas production capacity, currently owning facilities such as the Brazil factory and cooperates with Spain's EVMOTORS to establish a European base. Localization production can reduce costs and improve efficiency, align products with local needs and regulations, enhance competitiveness with local resources, help integrate into local markets, strengthen brand influence, and provide solid production capacity support for its globalization strategy. The largest-scale car enterprise IPO in recent years Taking into account Chery Auto's business scale, steady performance growth trend, extensive global market layout, and profound technological research and development capabilities, its successful fundraising of over 1 billion dollars in the Hong Kong stock market this time makes it the largest-scale car enterprise IPO in recent years. According to its listing prospectus, the funds raised will mainly be used for researching and developing different models and versions of passenger cars to enrich the product portfolio; investing in the research and development of next-generation cars and advanced technologies to enhance core technological capabilities; expanding overseas markets to deepen the global strategy; upgrading production facilities in Wuhu, Anhui to improve production efficiency and product quality; supplementing operating funds to meet daily operational and business expansion needs. Chery Auto's listing will have a wide impact on the automotive industry. At the capital market level, it will attract a large amount of funds into the Hong Kong stock car sector, boosting sector activity and market attention, enhancing investors' confidence in the automotive industry. In terms of industry competition, after listing, Chery Auto will increase its competitiveness in technology research and development, market expansion, and brand building with the advantage of funds, prompting other car companies to increase investment, driving the progress of the entire industry, and accelerating industry integration and upgrading. Conclusion Against the backdrop of the global automotive industry accelerating towards new energy and intelligence, Chery Auto, with its deep technological accumulation, significant market share, and continuously improving brand influence, has laid a solid foundation for development. By successfully completing its IPO in Hong Kong, Chery Auto injects strong momentum into its future development, helping it achieve greater breakthroughs in the global market. In the future, Chery Auto is expected to demonstrate greater potential in the global automotive industry, improve its industry status, contribute to the development of the Chinese automotive industry, and bring more high-quality, intelligent, and environmentally friendly automotive products to global consumers, marking a new chapter in the globalization of Chinese automotive brands.