January 06, 2024 (MLN): China's Geely Holding Group (GEELY.UL) announced on Sunday its aim to sell over 5 million vehicles annually by 2027, as Reuters reported.
The company plans to achieve this ambitious goal by accelerating the consolidation of its numerous brands and enhancing operational efficiency.
The goal represents about 79% growth from 2023 when Geely Holding sold 2.79mn units of passenger cars and commercial vehicles.
The group sold 3mn vehicles in the first 11 months of 2024, a 20% growth compared to the same period of 2023.
To achieve this goal, which could position Geely among the top 10 automaking groups globally, the company plans to consolidate its extensive passenger car brands into two units: Geely Auto and Zeekr Technology.
These units will focus on targeting the mass market and premium segments, respectively, the company stated on Sunday.
It will also enhance the alignment of research and development in seven key areas, including architecture, smart driving cockpits, and batteries.
The group aims to reduce redundant investments by consolidating separate R&D teams currently operating under each brand.
The chinese company, owned by billionaire Eric Li, initiated a series of strategic moves in September to concentrate on its core business of automaking.
This shift comes after years of diversification into sectors such as satellites, smartphones, and banking.
In November, it announced the merger of Zeekr with its sister brand Lynk & Co. as the first big restructuring move in a planned overhaul for the sprawling automotive group.
