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A few days ago, BAIC Blue Valley released its semi-annual performance report, which showed that the operating income in the first half of the year was 3.479 billion yuan, an increase of 42.76% over the same period last year. The net loss of shareholders belonging to listed companies was 2.181 billion yuan, compared with a net loss of 1.813 billion yuan in the same period. In recent years, BAIC Blue Valley performance is poor, has been two consecutive years of losses, 2020-2021 net losses of 6.476 billion yuan, 5.244 billion yuan respectively.

As the "top seller" of pure electric cars in China for seven consecutive years, BAIC New Energy "got up early in the morning and caught up with an evening collection". At present, China's new energy vehicle market, which sells 200,000 to 300,000 vehicles a month and has repeatedly set new highs, has failed to make BAIC New Energy enjoy dividends. Judging from the sales of 150601 vehicles in 2019, about 70% of them come from the B-end market, and the main sales channels include online car-hailing, business cars, taxis and so on. In fact, private cars account for a very low proportion, and as the B-end market becomes more and more saturated, BAIC's sales of new energy have also plummeted. In 2020, due to the impact of the epidemic, BAIC's new energy sales fell off a cliff, with annual sales of only 25914 vehicles, a year-on-year drop of 82.79%. Although sales increased by 0.82% in 2021 compared with the same period last year, the performance of BAIC New Energy is obviously very "ugly" against the background of the continued doubling of the new energy vehicle market.

After entering 2022, BAIC Langu's performance has improved slightly, but it is still not optimistic. BAIC Blue Valley sold 17010 vehicles in the first half of the year, up 144.43 per cent from a year earlier, including 3597 in June, up 126.94 per cent from a year earlier, according to official data.

BAIC Langu has two brands of new energy vehicles, one is polar fox (ARCFOX brand), and the other is BAIC new energy (BEIJING brand). Among them, polar fox is a high-end electric car brand for C-end. At present, two models are on sale, including Alpha T and Alpha S models. Among them, Alpha S Huawei HI version was officially launched on May 7, and two new models were launched. The selling price is 397900 yuan and 429900 yuan respectively. It is understood that the HI version is the abbreviation of Huawei Inside mode, which is equipped with Huawei's full-stack intelligent car solution, integrated Huawei intelligent high-order self-driving system, Hongmeng OS Smart + connected cockpit, etc., representing Huawei's highest level of self-driving. Xu Zhijun, Huawei's rotating chairman, said: "not all cars with parts provided by Huawei can be marked with HI's LOGO. Only cars with our self-driving solution can be marked with HI's LOGO."

Earlier, at the communication meeting held by BAIC Group, Zhang Xiyong, general manager of BAIC Group, revealed to the outside world some of the next goals and development focus of BAIC's three independent sectors. BAIC New Energy, which is owned by BAIC Blue Valley, has a sales target of 100000 vehicles this year, including 40,000 polar foxes, and strive to hit 300000 vehicles in the future. Judging from the data for the first half of the year, BAIC Blue Valley sold only 17010 vehicles, with a completion rate of only 17%.

It is a general trend for new energy vehicles to replace fuel vehicles, and many countries have drawn up a timetable for stopping the sale of fuel vehicles, and their sales will rise sharply in the next few years, and there is a lot of market space. In such a track with long slopes and thick snow, for BAIC Blue Valley, compared with the current sales, it is more important to play well in the second half of car construction.

From the current point of view, whether BAIC Langu can turn losses into profits or not will ultimately depend on the development of the polar fox brand. In the current B-end market has been gradually full, and BAIC new energy can no longer rely on the supply of B-end market to achieve growth, the final brand upward still need to rely on the polar fox brand. However, as a C-end-oriented brand, the brand construction of Jihu has been criticized by the market. As a traditional car company, BAIC New Energy still has a gap in user operation compared with the brand belonging established by the new power of car building.

The new energy vehicle industry is still in the growth stage, and the second half of the competition has just begun. For BAIC Langu, through brand activities, more and more people know and appreciate polar foxes, which also lays a user foundation for the development of polar foxes in the second half of building cars. Yes, especially the high-end market in which the polar fox is located. In recent years, with the deepening of user awareness, more and more users tend to choose domestic high-end brands, which is very important to the mental occupation of users.

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