Yulon Motor held an online investors' briefing on November 19, focusing on three themes: its response to reports that it may sell its Luxgen brand and the status of the N5 model; current conditions in Taiwan's auto market; and the company's plans for future growth.
Responding to market speculation about a potential sale of Luxgen, Yulon emphasized that it adheres strictly to corporate-governance and disclosure rules. Any material information, the company said, will be announced in accordance with regulatory requirements. All ongoing projects with their partners, it added, are progressing on schedule. Yulon declined to comment on unverified reports, saying that any developments will be communicated through official announcements.
On the N5, Yulon noted that production has been contracted to Foxtron (Honghua Advanced). The timing of the launch and related progress will be adjusted based on Foxtron's needs. Addressing questions over whether the N5 will still be released under the Luxgen brand, Yulon underscored that the product belongs to Foxtron and that all future information should come from Foxtron's official communications.
Turning to Taiwan's electric-vehicle market, Yulon said that after the rollout of the N7 in 2024—and with imported brands aggressively introducing new models—EV sales have remained strong through 2024 and 2025. Battery-electric vehicles (BEVs) have repeatedly approached a double-digit share of monthly sales, with BEVs accounting for roughly 8 percent of the full-year market in 2024.
Still, Taiwan's EV sector lags behind more mature markets in China, Europe, and the US, leaving ample room for growth. Carmakers, Yulon said, are planning their medium- and long-term strategies accordingly, while overall market momentum remains uncertain.
For the broader market, Yulon reported that Taiwan registered 330,631 new vehicles from January to October 2025—a 12 percent drop from the 377,338 recorded in the same period in 2024. Gasoline vehicles fell 19 percent and BEVs 23 percent, while hybrids were the only segment to grow, up 8 percent year-over-year. A cut in commodity taxes helped lift October registrations by 4 percent, offering an early sign of recovery, though the company cautioned that the trend still bears watching.
Yulon added that Taiwan's auto market came under significant pressure after US President Donald Trump announced reciprocal tariffs in April 2025, at one point pushing the market down by as much as 20 percent year-on-year. Conditions have since improved. While the domestic tax environment has become clearer, the future of vehicle tariffs remains unresolved, making market forecasts more difficult.
Most automakers are hoping the Taiwanese market can exceed 400,000 units in 2025, Yulon said, narrowing the gap with 2024. Projections for 2026, however, will depend on how tariff policy evolves.
In terms of financial performance, Yulon posted NT$18.273 billion (approx. US$585 million) in revenue for the third quarter of 2025, up 2 percent from the previous quarter but down 14 percent from a year earlier. Operating profit reached NT$148 million, falling 4 percent quarter-on-quarter and 21 percent year-on-year. The company attributed the decline to weakening domestic demand and lower investment income compared with 2024.
Strategically, Yulon highlighted that the MG G50+ has officially entered local production in the third quarter, boosting utilization at its Sanyi plant and supporting group-level synergies. The company has also completed upgrades to its paint shops to improve efficiency and quality, and continues to tighten cost controls to reinforce operational resilience.
In its energy business, Yulon said it is expanding from energy-storage batteries into power-battery manufacturing, and in October completed its first behind-the-meter storage application, validating the business model. The company is also exploring opportunities to expand sales through overseas operations. Yulon reiterated that it aims to grow around its two core pillars—vehicle manufacturing and energy-storage solutions—while working to strengthen its fundamentals and position storage as its next major growth engine.
Article edited by Jingyue Hsiao
