Zeekr Group’s April Deliveries Signal Steady Growth Amid Strategic Shifts

Zeekr Group, the premium electric vehicle (EV) subsidiary of China’s Geely Holding Group, reported April 2025 deliveries of 41,316 vehicles, marking a 1.5% increase from March 2025 and underscoring its resilience in a competitive market. The figures, split between its Zeekr (13,727 units) and Lynk & Co (27,589 units) brands, reflect a strategic pivot toward hybridization and global expansion. However, challenges such as supply chain pressures and shifting consumer preferences loom large.

Delivery Trends: Sustained Momentum, Modest Growth

While April’s delivery increase was modest—up from 40,700 in March—the consistency is notable. Year-to-date, Zeekr Group’s performance has been bolstered by its January–February surge, which saw 43,219 deliveries (a 30.7% jump over Q1 2024). This growth stems partly from the February 2025 acquisition of Lynk & Co, which added scale and diversified its portfolio. However, Zeekr’s standalone deliveries dipped slightly in early 2025 compared to 2024, highlighting the importance of its new models.

Key Highlights: New Models and Technology Leadership

The April update emphasized two pivotal launches:
1. Zeekr 7GT: A high-performance shooting-brake model with silicon carbide-powered e-motors, achieving 0–100 km/h acceleration in 2.95 seconds. Positioned for global markets, its advanced safety features and tech (e.g., NVIDIA’s DRIVE AGX Thor platform in Lynk & Co models) signal a focus on premium differentiation.
2. Zeekr 9X: The brand’s first hybrid SUV, unveiled at the Shanghai Auto Show, targets luxury buyers with world-class design and electrification. Its planned Q3 2025 global launch aligns with Zeekr’s ambition to compete with Tesla and BMW in premium EVs.

The Lynk & Co 900, a six-seater SUV with 40,000 pre-orders since December 2024, further highlights strong demand for family-friendly EVs. Its top-tier variant’s 700 TOPS processing power (via NVIDIA’s Thor) underscores Zeekr’s push into autonomous driving capabilities.

Strategic Moves: Software, Supply Chains, and Sustainability

Zeekr’s April announcement reiterated its long-term goals:
- Vertical Integration: Developing proprietary software systems and e-powertrains to reduce reliance on third-party suppliers.
- Global Supply Chains: Expanding production capacity and securing battery materials to support its 2025 target of 500,000 annual deliveries.
- Sustainability: Committing to carbon-neutral manufacturing and recycling programs, aligning with China’s “dual carbon” policy.

These moves contrast with competitors like NIO, which faces headwinds from weaker battery supply and pricing pressures, and XPeng, struggling with declining deliveries. Zeekr’s focus on high-margin luxury segments and AI-driven innovation could provide a competitive edge.

Challenges and Risks

Despite progress, Zeekr faces hurdles:
- Supply Chain Volatility: Global shortages of semiconductors and battery materials could disrupt production, as seen with Tesla’s recent cost-cutting measures.
- Market Competition: Tesla’s Cybertruck and Model S/X remain formidable rivals, while traditional automakers like BMW and Audi accelerate their EV launches.
- Consumer Sentiment: EV demand in China slowed in early 2025 due to policy shifts and economic uncertainty, though Zeekr’s premium positioning may insulate it to some extent.

Conclusion: A Steady Hand in a Volatile Sector

Zeekr Group’s April 2025 results reflect a company balancing growth and strategic ambition. Its 1.5% monthly delivery increase, strong pre-orders for the Lynk & Co 900, and the Zeekr 9X’s global launch plans position it to capitalize on rising demand for premium EVs. With a 30.7% year-over-year jump in Q1 deliveries (Jan–Feb) and a 15.6% vehicle margin in 2024, the financials suggest operational discipline.

However, investors should monitor execution risks, including supply chain stability and global market adoption. If Zeekr can deliver on its hybrid and autonomous driving pledges while maintaining margins, it could emerge as a top-tier player in the $1.3 trillion global EV market—a milestone that would justify its current trajectory.

The road ahead is clear: blend cutting-edge tech with disciplined execution, and Zeekr’s stock (or its parent company’s equity) may yet outperform peers in the years ahead.