A Chinese EV billionaire's wealth has plummeted 75% to $1.4 billion as aggressive price wars push customers to higher-tier cars — like Tesla or BYD

• The fortune of He Xiaopeng, CEO of Chinese EV maker Xpeng, has fallen 75% from a 2021 peak.

• He owns 20.5% of Xpeng shares, which tanked nearly 20% this year.

• The EV landscape in China has been under intense competition amid a Tesla-triggered price war.

Tesla's price war in China is hitting one EV tycoon's fortune hard.

He Xiaopeng, the 45-year-old billionaire cofounder, chairman, and CEO of China's electric vehicle maker Xpeng, is now worth $1.4 billion after his wealth tanked by 75% from its 2021 peak, according to Forbes.

Forbes did not specifically state how it calculated He's wealth. The tycoon owns 20.5% of Xpeng class A shares as of December 31, 2022, per a regulatory filing made public in February.

Despite the wealth wipeout, He is still the 2,048th richest person in the world — although his net worth is now just a quarter of his $5.5 billion wealth in 2021, per Forbes.

Xpeng shares have seen massive swings this year, last coming under pressure after the company released disappointing first-quarter earnings last Wednesday — the company's revenues dropped 50% from a year ago to 4.03 billion Chinese yuan, or $569 million.

The Alibaba-backed company's first-quarter net loss also widened to 2.34 billion yuan from 1.7 billion yuan a year ago.

The Xpeng P7 sports sedan is the company's bestseller to date, according to a Wired report in February. The EV maker launched its first mass-produced model, the G3, in 2018.