Summary of Key Points
In the 2026 Fortune Global 500 list, BYD surpassed Tesla to become the global leader in electric vehicle sales, becoming the only Chinese automaker to make it into the top 100. A total of 10 Chinese companies from the automotive and parts sectors were listed, with CATL demonstrating significantly stronger profitability than the vehicle manufacturers. Traditional automotive giants worldwide experienced declining profits, and Tesla's transformation efforts failed to secure a place in the top 100. Chery made its debut on the list as a publicly traded company, performing exceptionally well.
1. BYD: Global Leader in Electric Vehicles, the Only Chinese Automaker in the Top 100
BYD ranked 91st this year (the same as last year) and is the only Chinese automaker to be included in the top 100. In 2025, it sold 4.602 million new energy vehicles, accounting for nearly 28% of the domestic market; it also sold 1.05 million vehicles overseas, a 145% increase from the previous year, with overseas revenue accounting for 38.6% of its total income, indicating a successful global expansion strategy. More importantly, BYD surpassed Tesla to become the global leader in electric vehicle sales. Tesla's revenue declined for the first time in 2025, and its vehicle deliveries decreased for two consecutive years, resulting in its absence from the top 100.
2. Ten Chinese Automakers on the List, but Weak Profitability Among Vehicle Manufacturers
Ten Chinese companies from the automotive and parts sectors were listed this year: BYD, SAIC, Geely, CATL, and Chery, with five of them experiencing a decline in rankings. Notably, Chery made its debut on the list as a publicly traded company (ranked 383rd). Its new energy business saw significant growth in 2025, with overseas revenue exceeding half of its total income for the first time, and its return on equity ranked among the top 50 globally (30th place). However, there is a large disparity in profitability: the average profit margin for these ten Chinese companies was 3.1%, higher than the global industry average of 1.7%. Excluding CATL (17%) and EVC Group (3.2%), the remaining eight vehicle manufacturers had an average profit margin of only 1.5%, lower than the global average. CATL's profit margin of 17% is more than eleven times that of the other seven; GAC and Geely were in the red, while BAIC had no profit, and Dongfeng, SAIC, and FAW all had profit margins below 2%.
3. Difficulties for Traditional Automotive Giants Worldwide, with Cold Reception for Tesla's Transformation
Ten automotive companies from Japan, Europe, and the United States are among the top 100: Volkswagen has been the "largest automaker" for four consecutive years (ranked 13th), but its revenue increased by 3.4% while profits decreased by 32.7%. Toyota ranked 14th, with revenue up 6.7% and profits down 18.3%; both General Motors and Mercedes-Benz saw declines in both revenue and profits (by 55% and 47%, respectively). Stellantis Group (Netherlands) incurred a loss of $25.2 billion, the largest loss among companies on the list; Ford lost $8.1 billion, and Honda lost $2.8 billion. Although Tesla is transitioning to an "AI+technology company" by discontinuing the production of Model S/X models to focus on robotics and autonomous taxis, its revenue decreased by 2.9% and profits fell by 46.5% in 2025, preventing it from entering the top 100.
4. Battery Manufacturers Outperform Vehicle Manufacturers
The vehicle and parts industry is one of the five pillars of the Fortune Global 500 (along with finance, energy, technology, and healthcare). Upstream battery manufacturers generate higher profits than downstream vehicle manufacturers. As the leading battery producer, CATL's profit margin of 17% far outpaces that of vehicle manufacturers. Due to intense competition (price wars and high R&D costs), vehicle manufacturers have very thin margins—BYD, considered one of the better performers in this sector, has a profit margin of only 4.1%, while Chery's 6.3% is quite impressive. This indicates that the upstream components (batteries) hold more power and offer greater profitability within the new energy vehicle industry chain.
5. Chery's Debut on the List: Achievements in New Energy and Globalization
Chery made its first appearance on the list as a publicly traded company, ranking 383rd with revenue of $41.778 billion. Its highlights for 2025 include a surge in new energy business, with overseas revenue exceeding 50% for the first time, marking a transition from a traditional automaker to a high-tech conglomerate. Notably, its return on equity ranks among the top 50 globally, placing it alongside TSMC and Quanta Computer as one of only three Chinese companies on the list.
This list highlights China's rising presence in the global new energy vehicle market (with BYD leading the way) and the significant challenges faced by traditional automakers during their electrification transformation. The upstream battery industry is a lucrative segment, indicating that investing in battery companies could be particularly rewarding for investors. For consumers, choosing Chinese brands for electric vehicles has become increasingly reliable, but automakers face considerable profitability pressures, while battery manufacturers offer better investment opportunities.