- Leapmotor plans to launch a new brand in 2027, targeting the high-end EV market priced above 300,000 yuan ($43,970) to boost profitability.
- The weighted average price per vehicle across all Leapmotor models was about 125,000 yuan last year.
Leapmotor reportedly plans to launch a second brand in 2027 to target the higher-priced market.
The Stellantis NV-backed Chinese electric vehicle (EV) maker plans to introduce this entirely new brand in 2027, focusing on models priced above 300,000 yuan ($43,970), Chinese media outlet LatePost reported on Monday, citing multiple independent sources.
Under current plans, the company will establish a completely independent sales network for the brand, according to the report, which noted that Leapmotor declined to comment on the matter.
Leapmotor is one of China's fastest-growing EV makers, delivering 596,555 new vehicles in 2025, a year-on-year increase of 103.1%.
It achieved a net profit of 540 million yuan ($79.1 million) in 2025, making it the second Chinese EV startup to achieve annual profitability after Li Auto.
However, its current lineup primarily consists of affordable models. Last year, the weighted average price per vehicle across all Leapmotor models was about 125,000 yuan, LatePost noted.
After deducting expenses, its net profit per vehicle was only 905 yuan. The company's net profit last year relied heavily on revenue from the sale of carbon credits.
Leapmotor has set ambitious financial and sales targets for 2026. The company aims to achieve an annual sales volume of 1 million vehicles and target a net profit of 5 billion yuan.
To achieve higher profit margins, entering the high-premium market has become a natural choice. The product logic of its existing main brand can hardly support pricing above 300,000 yuan.
Building a premium brand will be a major challenge for Leapmotor. Nurturing a new brand typically requires significant time and resources, and the market currently lacks expectations for its second brand, LatePost reported, citing an unnamed industry analyst.
Leapmotor's current strong sales momentum provides support for its expansion strategy. Zhu Jiangming, the company's founder, chairman, and CEO, recently expressed confidence in reaching the delivery target of one million vehicles this year.
Order volumes for the newly launched A10 and the high-end SUV model D19 have far exceeded internal expectations. The actual transaction prices for the D19 are concentrated above 250,000 yuan.
The overseas market is becoming another key business growth engine for Leapmotor. The company's overseas sales currently account for more than 36% of its total volume.
Europe has become Leapmotor's most important regional market overseas. The company's long-term strategic goal is to increase the sales contribution from overseas markets to 60%.
Leapmotor's partnership with Stellantis could provide a boost to its premium push, as Stellantis has extensive experience operating luxury brands like Maserati, LatePost noted.
This relationship may help Leapmotor overcome challenges in high-end channels and service capabilities.
($1 = 6.8232 yuan)
