Even Lewis Hamilton can’t save Ferrari in China

For the latest news and strategy analysis in brand collaborations across China and APAC — subscribe to our bi-weekly Jing Collaborations Newsletter. What happened Ferrari’s global momentum is failing to carry over to the once-promising Chinese market. While globally Q1 revenue rose 13% YoY to 1.79 billion euros ($1.92 billion) and net profit hit 412 million euros ($442 million), in China, shipments plunged 24% to just 237 vehicles. Not even Lewis Hamilton’s debut with Ferrari’s F1 team for 2025, a move met with enthusiastic support from Chinese fans, particularly at the Shanghai Grand Prix in March has helped shift local sales trends. Though Hamilton’s star power remains strong, Ferrari’s cultural marketing strategy is falling short amid the rapid changes sweeping China’s luxury and EV landscape. Western luxury automakers’ Chinese challenges The outlook is bleak for Western competitors in the market. BMW’s Q1 2025 revenue dropped 7.8% YoY to 33.76 billion euros ($36.3 billion), with net profit down 26.4%. In China, BMW’s deliveries fell 17%. Mercedes-Benz posted a 7% revenue dip to 33.22 billion euros ($35.58 billion) and a steep 43% plunge in net profit to 1.73 billion euros ($1.85 billion), with Chinese sales also declining. Audi’s Q1 global deliveries dropped 3.4%, and China sales slid 7%, despite a 30% increase in global EV deliveries. China’s luxury auto market is being reconfigured by domestic EV leaders like BYD and Nio, whose tech-savvy appeal and competitive pricing outpace once dominant legacy Western brands. Without a more localized, digitally fluent approach to marketing and product relevance, Ferrari risks being left behind. The Jing Take China’s luxury auto consumers, especially younger buyers, are increasingly driven by tech innovation, environmental consciousness, and their digital-native lifestyles. Rooted in heritage and exclusivity, Ferrari’s identity doesn’t fully align with this shift. While personalization is a growing strength globally, Ferrari is seemingly not effectively localizing this offering to Chinese tastes and cultural signifiers. Despite the fact that Ferrari has over 1.4 billion views on Weibo and 1.2 billion on Xiaohongshu (also known as RedNote), Q1’s sales decline reveals a critical disconnect: high visibility doesn’t equal sales success, particularly in today’s nuanced, hyper-competitive Chinese auto market. High-profile Formula 1 drivers generate headlines, but these alone do not produce sustainable sales across markets. Plus, Ferrari has yet to launch an electric vehicle, which is a critical gap in a market where over 40% of new vehicle sales are NEVs (New Energy Vehicles). Winning back China’s next-gen luxury buyers While Ferrari enjoys significant brand visibility and cultural cachet in China, its strategy is falling short. Without meaningful localization, a stronger embrace of EV trends, and a more nuanced understanding of China’s digital-first, innovation-driven market, Ferrari risks being outpaced by more agile competitors. The company initially intended to have EVs account for around 5% of its sales by 2026, but it has postponed the EV launch to October that year. Ferrari faces a stark reality in China: racing legends and Italian heritage won’t move the needle in a market now driven by EV innovation and digital experiences. Without a faster pivot to electrification and deeper localization, Ferrari risks watching Chinese competitors overtake in what was once a promising luxury lane. The real test for the prancing horse isn’t on the F1 track — it’s winning back China's next generation of luxury car buyers. The Jing Take reports on a piece of the leading news and presents our editorial team’s analysis of the key implications for the luxury industry. In the recurring column, we analyze everything from product drops and mergers to heated debate sprouting on Chinese social media.

Even Lewis Hamilton can’t save Ferrari in China

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Published May 14, 2025

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Even Lewis Hamilton can’t save Ferrari in China