<div id="readability-page-1"><div id="news-body">(Yicai) Feb. 26 -- Overseas expansion and artificial intelligence are emerging as two critical levers for Chinese automakers looking to remain ahead of the pack this year, according to open letters issued by eight Chinese carmakers, including Nio, Xpeng and Geely Holding Group, since the end of last year to all staff members.Leading automakers are targeting at least 12 percent growth this year, according to Yicai research. Leapmotor Technology has set an ambitious goal of hitting one million vehicles in 2026, equivalent to a 67.5 percent year-on-year increase. Xpeng is aiming for annual sales of 550,000 to 600,000 units, which translates to a growth rate of over 28 percent while Xiaomi Auto is targeting 550,000 vehicles, a jump of 34 percent. Nio has also said it plans to maintain stable annual growth of between 40 percent and 50 percent.The China Association of Automobile Manufacturers, though, has given a far more conservative forecast, projecting that vehicle sales this year will edge up 1 percent from the year before to 34.7 million units.On one side, automakers have ambitious growth targets, while on the other side, institutions are providing more cautious projections. This wide gap has set the tone for China’s auto market at the start of the year.In its 10th anniversary letter to employees, Leapmotor stated that this year the Hangzhou-based company aims to shift from simply &#34;exporting cars&#34; to &#34;manufacturing cars overseas,&#34; and will integrate more deeply with local industries.&#34;The industry’s elimination round is getting more brutal and competition will only become more fierce,&#34; said Zhao Fei, president of Changan Auto. “The window of opportunity in overseas markets is only one to two years. We must ramp up resource investment, push forward with all our efforts, and firmly promote our overseas doubling strategy.”Xpeng plans to double overseas sales this year and sell one million units abroad by 2030, with overseas markets contributing more than 70 percent of the company's profits, Chairman He Xiaopeng said. The Guangzhou-based firm will focus on five key markets, namely Israel, Germany, Norway, Thailand and France.Geely will fully promote product adaptability and localized development, said Chief Executive Officer Gan Jiayue. The Hangzhou-based firm aims to build strong local competitiveness in key markets through product exports, brand expansion, resource integration, and technological empowerment.AI has become a core performance indicator for many auto manufacturers this year. For example, He said that this year Xpeng aims to be the world's first technology company to mass produce three cutting-edge AI businesses, namely robots, flying cars and Robotaxis, in the same year.Li Xiang, CEO of Li Auto, predicted in a company-wide meeting that Level 4 autonomous driving will be commercially deployed by 2028 at the latest. He also said that globally, there will be no more than three companies that effectively integrate foundational models, chips, embodied intelligence and operating systems. He made it clear that Beijing-based Li Auto will build humanoid robots and aims to unveil them as soon as possible.In January, Chery also rolled out its AI strategy, showcasing core AI achievements including its super AI assistant “Xiaoqi,&#34; the Falcon smart driving system, the Lingxi smart cockpit and the AiMOGA robot.German consulting firm Roland Berger predicts that top-tier industry concentration in the Chinese market will become even more pronounced this year. The market landscape is likely to consist of a handful of leading automakers, several mid-tier players and a large number of struggling smaller firms. In essence, the open letters from leading carmakers all send the same message that they are going all out to make sure they remain at the head of the pack.Editor: Kim Taylor</div></div>

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Chinese automakers, including Nio, Xpeng, and Geely, are focusing on overseas expansion and AI to stay competitive in 2023. They aim for significant growth, with Leapmotor targeting one million vehicles by 2026 and Xpeng aiming for 550,000 to 600,000 units. However, the China Association of Automobile Manufacturers projects only a 1% increase in vehicle sales. Companies are investing heavily in AI technologies, with Xpeng planning to mass-produce robots and flying cars. The market is expected to consolidate, favoring leading firms while smaller players struggle.

- Chinese automakers, including Nio and Xpeng, are focusing on overseas expansion and artificial intelligence to achieve ambitious growth targets in 2026.  
- Leapmotor aims for one million vehicles and Xpeng targets sales of 550,000 to 600,000 units, while industry forecasts predict only a modest 1 percent increase in vehicle sales.  
- Competition in the automotive sector is intensifying, with experts noting a concentration of industry leaders and a need for resource investment to maintain market positions.

Chinese Carmakers Bet on Global Push, AI to Stay Competitive