Joint venture SUV sales fell below 130,000! Is it a missed opportunity or is it better to make it domestically?
When the price of joint venture SUVs drops to the 130,000 range, will you choose “old and reliable” or “domestic high-end configuration”? This is no longer a theoretical multiple-choice question, but a real car-purchasing decision faced by countless consumers since the beginning of 2026.
After the Spring Festival, joint venture brands such as Volkswagen, Toyota, and Honda launched an unprecedented wave of price reductions and promotions in the main market with a sales volume of 150,000. The 2026 Toyota RAV4 has a traditional guide price of RMB 240,000, and the current actual price starts from RMB 151,800, with a total discount of over RMB 88,000. The traditional starting price of Honda CR-V 2026 is 201,900 yuan, and the current price starts from 131,900 yuan after comprehensive discounts, with a total discount of 70,000 yuan. The traditional guide price of Volkswagen Tanyue 2026 model is 207,900. After current terminal discounts, the naked car is more than 120,000, and it has dropped below 150,000, and the total discount exceeds 87,000.
Behind this wave of price cuts, a core issue gradually emerged: Does this mean that the market pricing power dominated by joint venture brands for a long time has been loosened or even changed hands?
The wave of price cuts is coming – joint venture brands put down their pretensions and trade price for quantity
This round of price reductions presents the dual characteristics of “official direct reduction + terminal overlay”, and its coverage extends from fuel vehicles to some new energy vehicles. From the perspective of the subjects of price cuts, they are mainly concentrated in three major categories of models, while the prices of new smart electric vehicles and hybrid main models are firm.
The price reduction policies of joint venture car companies are being rolled out in an all-round way, and are all launched in the form of official announcements. Different brands have launched differentiated profit-sharing measures for core models and new models, with the intensity and scope reaching new highs in recent years.
As the main force, Japanese brands have the most prominent price cuts and clear details. The Toyota Wilanda AIR version’s 2.0L gasoline AIR version has been reduced by 32,000 yuan to 137,800 yuan after its comprehensive rights, and the 2.0L hybrid AIR version has a rights price of 147,800 yuan. The official maximum discount for the Corolla series is 41,000 yuan, and the price of the entry-level version drops to the 80,000 yuan range. As for Honda, the CR-V has an official discount of 64,000 yuan, and the Accord e:PHEV has launched a limited-edition policy with a direct discount of 100,000 yuan for old customers, with a nationwide limit of 1,000 units.
Mainstream German brands have also joined the fray. The Volkswagen Bora has an official discount of 30,000 yuan, and the Magotan has a maximum discount of 80,000 yuan. Entry-level models of luxury brands are simultaneously dropping, further compressing the market space.
Behind all this is the inevitable result of the superposition of multiple factors. Judging from inventory data, according to the January 2026 automobile market inventory report officially released by the China Automobile Dealers Association, the total domestic automobile inventory has exceeded 3.5 million vehicles, an increase of 18.3% over the same period last year, of which joint venture fuel vehicle inventory accounts for as high as 62%, and the inventory digestion cycle has reached 57 days, far exceeding the industry-recognized reasonable digestion cycle of 45 days.
Hardcore comparison – the competition between joint ventures and independent products at the same price point
When the prices of joint venture models dropped significantly, consumers began to make direct comparisons between joint ventures and independent brands with the same budget. This kind of comparison is no longer a simple price comparison, but a comprehensive product strength competition.
Differences in space and comfort configuration
From the perspective of space performance, independent brands often have advantages in wheelbase and interior space utilization. Taking Tiggo 9 as an example, its wheelbase reaches 2820mm and its occupancy rate reaches 66.9%, which means that the utilization rate of the seating space is particularly high. The conventional trunk volume of the five-seater version is 717L, which can be expanded to 2021L, and it is a flat space. In comparison, the Tiguan L at the same price range has a wheelbase of 2791mm and a trunk volume of 495L-1780L. There is a gap in space performance.
In terms of interior materials, independent models generally use more soft materials to create a more upscale atmosphere. The interior of Changan CS75 PLUS uses soft slush plastic material to cover the center console, with metal trim strips and stitching technology, making the visual and tactile experience more delicate. The interiors of joint venture models in the same price range are mostly made of hard plastic and have a relatively ordinary texture.
The gap between intelligence and technology configuration
The gap is most obvious in smart configuration. Self-owned brand models generally come standard with configurations such as large-size touch screens, intelligent connectivity systems, and OTA upgrades. Take the Roewe RX5 as an example. Its Zebra Smart Mobility system supports voice control of air conditioning, navigation, car windows and other functions. The response speed and recognition accuracy have reached the highest level in the industry. With the 14.1-inch central control vertical screen, the operating logic is close to that of a smartphone.
In contrast, joint venture models have fewer intelligent configurations on mid- to low-end models. Toyota Landa, which is in the same price range, can only be purchased with a 1.8L petrol-hybrid low-end version for RMB 150,000. The central control screen is 7 inches, there is no 360 image, the seats are made of fabric, and you can’t even think about electric seats. The Volkswagen Tuyue 1.4T is low-profile, and even the rear air vents have to be installed at your own expense, let alone smart configurations.
A multi-dimensional battle between power system and energy consumption
The power system presents a differentiated pattern. The joint venture models are mainly powered by mature and stable naturally aspirated or turbocharged fuel, and their traditional advantage is fuel economy. The combination of the 1.5L naturally aspirated engine and the 6AT gearbox equipped in the Lavida has been proven by the market for many years. The power output is smooth and linear. The comprehensive fuel consumption per 100 kilometers is about 5.5L. Adding No. 92 gasoline can meet the demand.
Independent brands show diversified advantages. In the field of new energy, BYD‘s DM-i super hybrid, Huawei’s DriveONE electric drive system, and CATL’s battery technology have allowed domestically produced new energy vehicles to dominate the global market. In terms of fuel vehicles, the Changan Blue Whale 2.0T engine has a maximum horsepower of 233 horsepower, and the Geely Drive-E 1.5T engine has a thermal efficiency of 44.26%. Its parameters and actual performance are not inferior to joint venture models of the same displacement.
Trend Insight—The Deep Logic of Pricing Power Transfer
The current market changes are not just an adjustment in price figures, but also a redistribution of value definition capabilities.
Change of technical definition rights
The engine and gearbox technology standards that used to be dominated by foreign joint ventures are being replaced by new track technology standards such as electrification, smart cockpits, and smart driving. According to statistics from the Ministry of Industry and Information Technology, more than 30% of new passenger cars sold in the first half of 2022 are equipped with L2-level driving assistance functions. By 2026, L2-level assisted driving has become a standard feature of mainstream models, with a penetration rate of more than 70%. Even economical electric cars worth about 100,000 yuan are generally equipped with this feature. Independent brands are more active and even leading in these fields.
Supply chain and cost control advantages
China’s well-established new energy vehicle supply chain gives independent brands cost advantages in core components (such as batteries and electric drives). Taking BYD as an example, its innovations in battery technology, blade batteries not only improve safety, but also enhance endurance, providing strong support for the development of electric vehicles. Through acquisitions and cooperation, Geely Automobile has mastered advanced engine technology and automobile manufacturing processes, improving the competitiveness of its products.
Changes in decision-making logic brought about by changes in consumer generations
Young car buyers have become the main group. They feel less burdensome about the brand’s history and value the intelligent experience, design innovation and comprehensive value of the product more. According to QuestMobile data, the current trend of younger car buying groups is obvious. Among newly installed users in the smart car APP industry, the post-90s and post-00s accounted for 48.2%, a year-on-year increase of 4.7%.
These young consumers are more receptive to technology and smart products, and they are more willing to try new technologies, such as smart driving and Internet of Vehicles functions. New energy vehicles not only satisfy their pursuit of environmental protection, but also provide high cost performance and good user experience.
Car buying advice – rational choices under different needs
Faced with a market landscape in which joint venture brands experience significant price cuts and independent brands are highly cost-effective, consumers need to make rational choices based on their own needs.
Home users who pursue economy, practicality, reliability and worry-free
This type of users can focus on joint venture classic models with outstanding price/performance ratio after price reductions, such as Sylphy, Corolla, etc. Such models value their long-proven mechanical stability, low fuel consumption and extensive after-sales service network. Taking the Corolla as an example, its three-year value retention rate can reach about 65%, which is much higher than that of independent models in the same price range. The cost of a basic oil and filter maintenance in the future is less than 500 yuan, and the long-term use cost is relatively controllable.
Technology pioneer users who are passionate about technology experience and intelligent interconnection
Priority will be given to self-owned brand models in the same price range, such as Geely, Changan, and BYD-related models. These models usually perform better in terms of vehicle smoothness, feature richness and driving assistance. Take Geely Xingyue L as an example. It is equipped with a 2.0T engine and a wheelbase of 2845mm. Its power output and space performance are superior to joint venture models of the same price range. It also comes with a wealth of smart configurations as standard.
Conservative users who focus on long-term value preservation and brand recognition
At present, joint venture brands still have a comparative advantage in value retention in the second-hand car market. If you plan to replace your car within 3-5 years, the value retention factor can be taken into consideration. Data shows that the three-year-old Honda Civic’s value retention rate is about 65%, which is slightly higher than BYD Qin PLUS’s 58%. But at the same time, it should be noted that the value retention rate system of new energy vehicles is being reshaped. As the penetration rate of new energy vehicles increases, the traditional value retention rate evaluation standards may change.
Summary and Outlook
The collective price reduction of joint venture brands is a direct reflection of the fierce market competition. Behind it is the value challenge brought by the overall rise of independent brands. Judging from market data, in the price range of RMB 100,000 to RMB 150,000 in the first quarter of 2025, the sales volume of independent brands has reached 73%, while that of joint venture brands is only 27%. This gap intuitively reflects consumers’ recognition of the cost-effectiveness of independent models.
The balance of pricing power is tilting. In the past, the era when joint venture brands could easily set prices by relying on brand halo has passed. Nowadays, they must prove their value through real product strength. In the future, market competition will become more intense. Joint venture brands must accelerate their electrification and intelligent transformation and come up with truly competitive products instead of relying solely on price wars; independent brands must continue to improve in quality, brand and service to consolidate the advantages they have achieved.
When a budget of 150,000 is put in front of you, would you prefer to choose a joint venture model that has been significantly reduced in price, or an independent brand with richer configurations? Behind this choice is not only the judgment of the current product strength, but also the understanding of the future development trend of the automobile market.
