Li Auto, Xiaomi Face Backlash Over In-House Batteries: what are the key facts?

Li Auto MEGA users canceled orders after the switch to in-house batteries, with the company refusing to refund deposits.

Li Auto, Xiaomi Face Backlash Over In-House Batteries: what are the key facts?

A survey reveals that 37.1% of Chinese consumers abandoned car purchases due to the absence of CATL batteries.

Li Auto, Xiaomi Face Backlash Over In-House Batteries: what are the key facts?

Li Auto and Xiaomi are adopting a model of internal design and external manufacturing to seize product control.

Li Auto, Xiaomi Face Backlash Over In-House Batteries: what are the key facts?

Geely sued Sunwoda over battery quality issues, ultimately securing a 608 million yuan settlement and recalling vehicles.

Physix Frontier · News Briefing Card (enbrief · Sep 20, 2026)

Li Auto, Xiaomi Face Backlash Over In-House Batteries

KEY FACTS

Li Auto MEGA users canceled orders after the switch to in-house batteries, with the company refusing to refund deposits.
A survey reveals that 37.1% of Chinese consumers abandoned car purchases due to the absence of CATL batteries.
Li Auto and Xiaomi are adopting a model of internal design and external manufacturing to seize product control.
Geely sued Sunwoda over battery quality issues, ultimately securing a 608 million yuan settlement and recalling vehicles.

KEY DATA

37.1%Abandonment Rate Without CATL

13.8%Battery Weight in Purchase Decision

608 million yuanSunwoda Settlement Amount

PHYSIX OBSERVATION

Automakers' attempts to reclaim supply chain leverage have triggered a trust crisis, exposing the brand pain of 'de-CATLization.' Consumers view battery suppliers as safety endorsements, indicating that new EV entrants have yet to establish independent technical credibility. Future competition will shift from mere cost control to building a full-stack in-house responsibility loop that assures user confidence.

Source: enbrief original report ↗