Chinese Electric Car Manufacturers Expanding Abroad
China’s EV companies are expanding abroad, thanks to a growing market in Europe and a competitive advantage in lithium-ion battery cell production. But they face a few challenges, such as the need to improve quality and availability of spare parts.
Chinese EVs have gained popularity thanks to their affordability and excellent performance. They’ve also benefited from government subsidies and tax breaks.
Geely
Geely, the owner of brands including Lotus and Volvo, is focusing on expanding its EV lineup. The company recently announced a new line of premium electric vehicles, the Yinhe (), and plans to launch seven models over the next two years. The Yinhe models will include both long-range hybrid electric vehicles and fully-electric cars.
The Chinese company is also working to expand its presence abroad. It has formed partnerships with tech giants Baidu and Foxconn, the world’s largest contract manufacturer of consumer electronics. Geely also owns British luxury brand Aston Martin, and has a stake in Malaysian car manufacturer Proton.
Geely Auto has shifted its focus to the fast-growing electric vehicle market, and has launched a number of new brands in recent years. These include Geometry, which focuses on pure-electric passenger cars, and Zeekr, which sells luxury EVs. It also owns a brand of outdoor-centric pickup trucks called Radar and an upscale SUV brand called Polestar.
Many of Geely’s own-brand EVs have performed well in safety tests, earning high marks from reputable organizations like Euro NCAP and C-NCAP. The NIO ES6 has even earned a 5-star rating from the US organization, NHTSA. Geely has partnered with technology behemoth Baidu to develop its autonomous EVs, and is also partnering with Taiwanese electronics firm Foxconn to offer contract manufacturing for EV makers.
SAIC
SAIC is a leading player in the EV industry, and their innovative technologies are helping to redefine personal mobility. From cutting-edge battery technology to advanced charging solutions, they’re changing the way we move around. They’re also committed to sustainable practices, and they use energy-efficient processes throughout their production process.
In addition to its own brands, such as MG, Roewe, and Maxus, SAIC has joint ventures with other companies, including GM-Wuling, IM Motors, and SAIC-Volkswagen. It is currently the world’s second largest electric vehicle manufacturer and has more than 30 manufacturing facilities worldwide.
The company also has a large number of suppliers and research centers, Electric Sightseeing Car making it one of the most well-connected automotive firms in China. Its EV lineup includes several new models, and it is doubling down on overseas expansion. In fact, it recently sent its first MG4 EV to Europe on a ro-ro ship.
The MG4 EV is the first model to be built at SAIC’s new factory in Wuling, China. It will produce 240,000 vehicles this year. The plant will make a variety of EVs, including the Buick Electra E5 sedan. The Electra E5 will be the first to use the new Ultium battery chemistry from CATL. It is expected to go on sale in the US in 2023. Other EVs that will be produced in China include the Roewe EZ and the MG ZS.
Li Auto
Li Auto is one of the few EV makers in China making money, and it has a unique advantage: its cars are hybrids. In its early days, the chinese electric car manufacturers company was helped by generous subsidies from the Chinese government. But the firm admits in its SEC filings that it could be hit by changes to subsidy policy.
Li’s flagship model is the six-seat, large premium EV known as the Li One. The car features a suite of advanced driver assistance systems and boasts an interior that features no fewer than four infotainment screens for the driver.
The car is a popular choice in China’s ferociously competitive EV market. It’s cheaper than Tesla’s China-made long-range Model 3 (RMB 328,000) and has a range of 400 kilometers on a single charge. It also comes with a lifetime battery warranty.
Unlike startup peers Nio and XPeng, which have modeled themselves after Tesla’s flashy approach, Li Auto is taking a low-key route to the top of the premium SUV market in China, the world’s biggest EV market. The company has a dual-energy strategy and plans to continue producing extended-range electric vehicles while developing pure battery-electric models. It also expects to accelerate its development of autonomous driving capabilities. Moreover, the company plans to sell peripheral products and provide related services, including charging stalls, vehicle Internet connection services and extended lifetime warranties.
Hozon Auto
Hozon Auto was established in 2014 and focuses on R&D for intelligent internet-connected new energy vehicles with autonomous driving functionality. Its first vehicle will be a small SUV. Its headquarters are in Shanghai, China.
Like other Chinese EV start-ups, Hozon Auto has been spending heavily to maintain its growth momentum and has yet to turn a profit. However, it is well-funded by investors, including the world’s largest supplier of EV batteries, Contemporary Amperex Technology. In addition, tech giant Qihoo 360 has injected capital into the company.
The company’s stripped-down electric SUVs are designed for the underserved rural and small-town market, and its cars offer a lower price than other EVs on the market. The Neta V Pro SUV was released in 2021, and the Neta S sedan is set to hit the market before the end of this year.
The company aims to become one of the top 10 EV brands in China by offering affordable, high-quality, and reliable products. Its products are also made to be compatible with the country’s strict environmental standards. Its vehicles are built with advanced safety systems and have a sleek design that makes them stand out from other brands. They also have a larger interior than other EVs, providing more space for passengers and luggage. This makes them a great option for families and those who travel often.
