China's EV Heavyweights: XPENG and NIO's Diverging Paths in a Blockbuster Year

TL;DR: XPENG had a mind-blowing 2025 with 126% annual sales growth, hitting 429,445 deliveries. But NIO roared back in Q4, setting new monthly and quarterly records and showing that this Chinese EV battle is far from over. It's a tale of two trajectories, both leading to blockbuster numbers!

Meta: While XPENG achieved a stellar 126% annual growth in 2025, NIO closed the year with explosive Q4 and December sales, showcasing dynamic shifts in China's competitive EV landscape.

Alright, let's talk about the big leagues in China's EV market: XPENG and NIO. For years, these two were like synchronized swimmers, growing at roughly the same pace. Then, for a good chunk of 2025, XPENG seemed to pull ahead, leaving some folks (including me!) wondering if NIO was falling behind. But hold up! The year-end numbers tell a more nuanced, and frankly, more exciting story. XPENG had a phenomenal 2025, growing its deliveries by a stunning 126% to reach 429,445 vehicles. That's a massive leap! But NIO, well, NIO finished the year with a bang, proving it's still very much in the race.

NIO's Explosive Finish and XPENG's Steady Climb

NIO absolutely exploded through the new year. In December, they posted a whopping 48,135 deliveries, a 54.6% jump over December 2024 and a new monthly record for either company! This surge pushed their Q4 deliveries to a record 124,807, bringing their annual total to 326,028 units. They even got close to hitting a million cumulative deliveries, sitting at 997,592. That's some serious momentum, especially with their ONVO and firefly sub-brands contributing significantly.

XPENG, on the other hand, had a more consistent, year-long growth trajectory. Their 126% annual increase from 190,068 in 2024 to 429,445 in 2025 is nothing to scoff at. They've expanded internationally, now present in 60 markets, and made significant strides in their charging network, adding over 1,100 stations to reach 3,000 in total. However, their December growth was a more modest 2% year-over-year, suggesting a slight slowdown in momentum compared to NIO's late-year sprint.

The Shifting Landscape of Chinese EVs

So, what does this tell us? The Chinese EV market is dynamic, fiercely competitive, and full of surprises. While XPENG dominated the annual growth, NIO's powerful finish signals that new models, strategic pushes, and perhaps even some price adjustments can dramatically alter the landscape in a single quarter. Both companies are clearly investing heavily in expansion, technology, and infrastructure, not just in China but globally. It's a high-stakes game, and these two are playing to win.

This kind of competition is great for consumers, driving innovation and bringing down prices. It also means we're going to see continuous evolution from these brands as they fight for market share. The days of predictable growth are long gone; now it's about who can adapt fastest and deliver the most compelling products.

What’s Next

Keep a close eye on both XPENG and NIO as they head into 2026. Will NIO maintain its incredible Q4 momentum? Will XPENG find new ways to accelerate its monthly growth? The race for market dominance in China (and increasingly, the world) is far from settled, and these two will continue to push the boundaries of EV innovation and sales strategy. It's gonna be a thrill ride.

Alright, I'm out. Gotta go check if my old bicycle can get a growth spurt like these guys. Probably not, but a man can dream!