China Head of Roborock's Rival Yunji Smart Steps Down Amid Industry Turmoil

Deep News
Dec 03

November 26, 2025 – Multiple independent sources confirm that Wang Jungang, head of Yunji Smart's China operations, has recently resigned. The executive, who joined Yunji in 2024, departed abruptly after just one year without prior indications. This marks at least the second high-profile departure from Yunji this year, following product VP Li Yang's exit several months ago.

The leadership shakeup reflects intensifying competition in China's robotic vacuum cleaner (RVC) market, where Yunji faces established rivals and aggressive newcomers.

**Executive Exodus Signals Internal Instability** Though his tenure was brief, Wang held strategic importance at Yunji. Previously serving as e-commerce director and later China sales GM at Roborock, he was tasked with revitalizing Yunji's domestic performance when recruited in 2024. Despite his low public profile, Wang maintained legal representative roles in multiple Yunji-affiliated trading companies across Xi'an, Haikou, Wuhan and Shanxi – positions that remain unchanged post-resignation.

The departure follows Li Yang's July 2025 exit. The former DJI autonomous driving executive joined Yunji in 2021 as technology head before becoming product VP. Li reportedly plans to launch an AI companion robot startup, following the path of Yunji co-founder Li Chang, whose lawn robot venture Senhe Innovation recently folded.

These exits coincide with last year's reported layoffs at Yunji, where some departments saw 65% staff reductions. CEO Zhang Junbin acknowledged trimming headcount from 1,600 to 1,400 while disputing "large-scale layoff" characterizations.

**Red Ocean Competition Intensifies** RUNTO data shows Yunji captured 14.7% of China's Q3 2025 online RVC sales, ranking fourth behind Ecovacs, Roborock and Xiaomi. While respectable, this masks growing pressures: established players dominate supply chains and omnichannel sales while challengers like Dreame gain traction through online-focused, value-driven strategies. Even unexpected entrants like Lefant and DJI now compete in floor care.

IDC notes plunging average selling prices squeezing margins, with China's top five brands nearing 90% combined market share. Analysts describe an innovation stalemate: "Parameter wars around suction power and motor speed create superficial differentiation while accelerating product homogenization."

Industry shipments tell the story – 6.036 million units in 2024 (boosted by subsidies) still lagged 2020's 6.54 million, per AVC data.

**Quality Concerns Compound Challenges** Consumer complaints reveal deeper issues. On Black Cat Complaint Platform, Yunji (2,864 complaints) outpaces market leader Roborock (2,363). Users report leaks in flagship models like the Xiaoyao 002 RVC and water tank failures in S2 Island floor washers. Recurring issues include sensor malfunctions, plumbing blockages and part detachment.

Social media amplifies dissatisfaction, with posts mocking Yunji products as "middle-class money pits" and documenting multiple repair cycles. One user's $500+ Xiaoyao 001 Max with auto-water system falsely detected "missing wastewater tank" upon installation, then faced warranty disputes. Such experiences erode brand trust at a critical juncture.

**IPO Hopes and Strategic Pivots** Amid these headwinds, Yunji reportedly initiated Pre-IPO financing. Its valuation hinges on stabilizing domestic operations while accelerating overseas expansion – foreign sales grew 7x YoY by Q3 2025, reaching 30+ markets including the U.S. (where it leads Amazon's premium segment) and South Korea.

The company also announced ambitions in embodied AI, targeting home robotics beyond cleaning. However, skeptics question whether Yunji's 830 patents (versus Roborock's 1,502) and undisclosed R&D budget can support this pivot, especially given executive turnover.

Analysts note Chinese brands' growing global RVC competitiveness, with overseas expansion offering respite from domestic price wars. As market consolidation accelerates, Yunji's leadership turbulence may hinder its ability to navigate this make-or-break phase.

While industry observers downplay individual executive impacts, Wang's departure could disrupt Yunji's China execution – a critical factor for its Pre-IPO valuation and subsequent capital market moves.

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