Li Auto plans to fit batteries it developed itself across its whole line-up. It will also launch a refreshed i6 electric SUV with its own battery and chip in the fourth quarter. The Chinese maker of extended-range and battery-electric vehicles set out the plan in a WeChat post on 7 September, moving further towards controlling its core battery and chip technologies.
What did Li Auto announce?
The company said its in-house batteries are already used in the Li L8, Li L6 and Li i8. Now, deployment will expand to every model in the range. This is a clear step towards vertical integration for one of China’s larger electric-vehicle brands.
The 2026 Li i6 sits at the centre of the plan. It will carry Li Auto’s own 5C battery and its Mach assisted-driving chip. Pre-orders were due to open in late September, with deliveries starting in early November, according to the company.
How important is the i6 to the company?
The Li i6 is a five-seat all-electric SUV that first launched in September 2025. The updated version brings more internally developed core components to one of the company’s key products.
Sales figures show how important the model is. Li i6 deliveries totalled 135,863 in the first seven months of 2026. July deliveries fell 28.12 per cent from June to 15,420, yet they still accounted for about half of the company’s monthly total.
How does the switch from CATL work?
The transition will happen model by model. Initial deliveries of the new-generation Li Mega use 5C ternary lithium batteries from CATL. However, the Mega will switch entirely to Li Auto’s own 5C ternary lithium batteries once production preparations are complete.
Demand has moved faster than expected. Orders in the first few days after the Mega’s launch exceeded expectations, the company said, leaving CATL battery inventories close to depletion. Consequently, customers who lock in Mega orders at or after 3pm Beijing time on 7 September will receive vehicles with Li Auto’s in-house batteries. Those deliveries are expected to begin in November.
Li Auto launched the new-generation Mega on 2 September, pairing a lower price with major hardware upgrades to lift demand for the flagship all-electric MPV. Initial deliveries began on 5 September.
The Li i9, a flagship six-seat all-electric SUV due to debut in mid-September, will also start with CATL’s 5C ternary lithium batteries. Then, it will switch fully to Li Auto’s own cells once production ramps up.
How far back does the in-house work go?
Li Auto began developing battery cells itself in 2020. Its technology now covers 5C cells, battery packs and the battery management system, the company said. It also argued that integrated battery and vehicle design, together with its experience in 5C ultra-fast charging, would support battery quality, safety and long life.
Development of the Mach chip started in 2022. The company plans to keep investing in future versions of the chip.
How does the Sunwoda deal fit in?
The technology shift comes as Li Auto raises its stake in a battery manufacturing partner. Sunwoda disclosed on 4 September that Li Auto plans to inject capital into its power battery subsidiary, Sunwoda Electric Vehicle Battery, known as Sunwoda EVB.
After the transaction, Li Auto will directly hold an 8.79 per cent stake in Sunwoda EVB, becoming its second-largest single shareholder. The two companies also set up a 50-50 joint venture in 2025 to make batteries developed by Li Auto.
What does this mean for costs?
Scaling up internally developed components forms a key part of Li Auto’s response to cost pressures. Its vehicle margin was 9.4 per cent in the second quarter, down from 19.4 per cent a year earlier.
Management addressed the pressure on an earnings call on 26 August. It said the company would control costs through integrated design, in-house technology and supply chain optimisation. In addition, it had decided against passing the latest cost increases on to customers.
