Short interest in Li Auto surges to record high as firm remains heavily targeted by short sellers

• Li Auto has been the most heavily shorted Chinese automaker since last September.
• As of Wednesday, short positions in Li Auto's Hong Kong-listed shares had climbed to 9.6% of free float, hitting a record high.

Li Auto (NASDAQ: LI, HKG: 2015), once the best-performing Chinese electric vehicle (EV) maker on the stock markets, has now become a favorite target for short sellers as it faces declining sales amid fierce competition.

As of Wednesday, short positions in Li Auto's Hong Kong-listed shares climbed to 9.6% of free float, hitting a record high, compared with about 1% a year ago, Bloomberg reported Friday citing S&P Global data.

The company has been the most heavily shorted Chinese automaker since last September, according to data compiled by Bloomberg.

Over the past year, Li Auto's stock price has fallen about 25%, despite the overall rise in Hong Kong equities. This has made the stock a favorite among short sellers.

Li Auto was the second-most profitable short in Asia-Pacific last year, trailing only Chinese food delivery giant Meituan, according to S3 Partners data. Meituan CEO Wang Xing was once Li Auto's largest external shareholder.

"Shorting demand is expected to remain elevated but volatile as Li Auto navigates a strong competitive environment," said Matt Chessum, director of securities finance at S&P Global Market Intelligence, according to Bloomberg.

In the years leading up to 2025, Li Auto was among China's fastest-growing and financially strongest EV startups.

It delivered 376,030 vehicles in 2023, a 182.21% year-on-year increase. In 2024, the company delivered a record 500,508 vehicles, up 33.10% year-on-year.

In 2025, Li Auto's deliveries fell 18.81% to 406,343 units, with declines occurring in most months throughout the year.

The company is currently evaluating closing some stores as part of efforts to enhance efficiency, local media outlet Lanjinger reported on Thursday, citing a source.

Additionally, according to another report by Auto Report on Thursday, some employees at Li Auto's main manufacturing base in Changzhou, Jiangsu province, have begun taking leave despite the Chinese New Year holiday being nearly a month away.

Li Auto aims to deliver 550,000 cars in 2026, with increased focus on EREV models, report says

Li Auto is resetting its priorities toward its most certain business, with an overall strategic direction to reclaim leadership in the EREV sector in China.

Li Auto

Jan 21, 2026