From Yahoo Finance: 2025-05-06 11:20:00

In 2024, U.S. new car sales rose to 15.9 million, up 2.2% from 2023, the highest since 2019. S&P Global predicts a 1.7% increase in global new light vehicle sales to 89.6 million in 2025, reflecting changes in US policy and factors like interest rates and BEV adoption rates.

President Trump recently introduced a two-year relief provision reducing tariffs on cars and parts to benefit automakers with US factories. GM CEO Mary Barra praised this move as supportive of the US automotive industry. However, the automotive sector faces challenges in 2025 due to evolving consumer demands and regulatory changes.

Li Auto Inc. (NASDAQ:LI) is a leading Chinese NEV producer, selling over 500,000 NEVs in 2024. The company’s Li One model is a high-end plug-in electric SUV with smart car tech. Despite its growth potential, LI ranks 11th on the list of Best Car Stocks for 2025, with AI stocks showing higher return potential.

LI’s success lies in its premium appeal, with the Li AD Max accounting for over 80% of orders for models priced above $55,000 in China. Deliveries surpassed 500,000 units in 2024, making LI the first luxury Chinese vehicle brand to achieve this milestone. The company continues to expand its product line to cater to a broader consumer base.

Read more: Is Li Auto Inc. (LI) Among the Best Car Stocks To Buy In 2025?