# China NEV market

Li Auto Tightens Its Retail Network as Growth Slows — From Rapid Expansion to Efficiency Drive

Li Auto is assessing the closure of some low‑efficiency retail stores after an aggressive multi‑year network build‑out, denying plans to close 100 outlets but confirming a targeted optimisation. The retrenchment follows a 19% fall in 2025 deliveries and recent quarterly losses, and accompanies a product and organisational reset aimed at restoring growth and margins amid fiercer competition in the range‑extended EV segment.