AutoBeta(AutoBeta.net)11/06 Report--

On November 4, Harmony Automobile officially announced that Harmony Automobile had fully acquired the store assets of General Assembly Automobile BYD. According to official sources, China Harmony Automobile Holdings Co., Ltd. (hereinafter referred to as "Harmony Automobile") and General Assembly Automobile Company (hereinafter referred to as "General Assembly Automobile") formally signed an asset transfer agreement. Harmonious Automobile spent HK $150 million to acquire all the store assets of BYD, and after that, Harmony Automobile will operate BYD's passenger car business in Hong Kong. Harmonious Automobile pointed out that the acquisition of the United General Assembly Automobile original six BYD distribution outlets, and Harmony Automobile already has seven BYD distribution outlets, after which Harmony Automobile will be responsible for unified operation, and the storefront, personnel and rights and interests will remain unchanged.

Data show that the General Assembly Automobile is the Hong Kong agent of BYD Co., Ltd., engaged in the sales and after-sales service of new energy vehicles. In response to the above incident, BYD responded to the media that due to the termination of the cooperation period, BYD and the General Assembly officially terminated the distribution cooperation. UMC no longer operates the BYD brand, and all BYD passenger car brand business (including but not limited to vehicle sales, after-sales and other related services) will be transferred to other authorized dealers of BYD in Hong Kong. BYD said that in order to protect the rights and interests of car owners and customers in Hong Kong, BYD will take the initiative to contact all car owners and prospective owners to follow up the follow-up matters. Customers can also directly contact the BYD customer hotline or go to any of BYD's authorized dealer stores in Hong Kong to get the assistance they need.

Harmonious Automobile said that this strategic move is not only an enhancement of its own strength, but also a reflection of confidence in the future development of Hong Kong's new energy vehicle market. Harmonious Automobile said that it will take this opportunity to further promote the development of BYD in Hong Kong, promote green travel in Hong Kong, and contribute to the goal of carbon neutrality. In addition, the completion of this integration is also more conducive to the centralized allocation and efficient use of BYD network resources in Hong Kong.

Harmonious Automobile is China's leading pure luxury and ultra-luxury car dealership group, listed on the Hong Kong main board in 2013, focusing on luxury and ultra-luxury car sales, with Rolls-Royce, Bentley, Ferrari, Maserati and Lamborghini as well as BMW, MINI, Audi, Volvo, Land Rover, Lexus, Jaguar, Lincoln, Alfa Romeo 9 luxury brands. By the end of last year, Harmony Automobile had 80 authorized dealers worldwide, of which 14 luxury and ultra-luxury brands were operated in mainland China, with a service network covering 17 provinces and 40 cities. Last year, Harmony Motor cooperated strategically with new energy vehicle brands such as BYD and Tengli, and opened three BYD showrooms and an after-sales center in Hong Kong in the same year.

In August this year, it was revealed that all employees of Harmony Motor had their salaries cut. According to market news at that time, Harmony Automobile decided to take emergency measures to reduce the salaries of all its headquarters and subsidiaries between August and December 2024, in which the salaries of the chairman and vice-chairmen were reduced by 50%. The salaries of senior and middle-level employees were reduced by 35% and 25% respectively, and the salaries of other employees were reduced by 15%. In response, Harmony Automobile responded: "the pay cut is a phased measure for us to actively adapt to the market environment in order to increase our ability to resist future risks." the company is confident that through various measures, this special stage will be ended as soon as possible. "

According to the financial report, total sales of Harmony cars in 2023 rose 8.4 per cent year-on-year to 38500, including 28500 BMW (including MINI), up 6.4 per cent and 4300 Lexus, up 10.1 per cent. In addition, the operating income of Harmony Automobile in 2023 was 16.58 billion yuan, an increase of 1.6% over the same period last year, with a net loss of 252 million yuan and a loss of 1.628 billion yuan in the same period. In other words, although Harmony car sales have increased, it is still at a loss.

Welcome to subscribe to the WeChat public account "Automotive Industry Focus" to get the first-hand insider information on the automotive industry and talk about things in the automotive circle. Welcome to break the news! WeChat ID autoWechat