New Energy Vehicles (NEVs) in China
- Thread starter supercat
- Start date
Nio numbers still kinda disappointing, still not sure what to make of this company.
Xpeng seems promising with over 5000 units of the P5 sold in december
NIO has hit maximum production capacity. Their huge new factory in NIO Park will start production AFAIK in Q3 2022.
However I agree that NIO is kinda disappointing. Also agree on Xpeng. They are a very good company
Also seems like competition from non-startups is starting to heat up.
Aion from GAC sold 16,675 units
Voyah from Dongfeng jumped to 3k
Zeekr from Geely surprisingly managed to sell 3796 units of the weird Zeekr 001
Neta and Leap are doing quite well despite being not being the original 3 hyped startups. Man, how do chinese consumers keep up with so many different brands
Aion from GAC sold 16,675 units
Voyah from Dongfeng jumped to 3k
Zeekr from Geely surprisingly managed to sell 3796 units of the weird Zeekr 001
Neta and Leap are doing quite well despite being not being the original 3 hyped startups. Man, how do chinese consumers keep up with so many different brands
Some local government needs to support Nio and xpeng, the same way Shanghai supported Tesla, whose factory in Shanghai produces 500,000 cars per year. Each province in China should have a factory with capacity of 500,000 for Nio and xpeng.
Uh the city of Hefei literally bailed out NIO when they almost went bankrupt and they own shares in the company as a result. As for the relatively disappointing sale numbers: you have to keep in mind that they are a premium brand, so they make higher margins on each sale. In fact, it's considered more prestigious to own a NIO than a Mercedes or BMW. They are also planning on creating a sub brand that will feature less expensive cars for the mass market (kind of like how many car companies make a sub brand for luxury cars, except NIO is doing it backwards). As for production capacity: they are already building a massive factory called NeoPark, although the entire complex won't be for NIO; other electric vehicle companies will also operate there.
tesla's earlier model s and model x, are way more expensive than model 3 and model y. So tesla is also doing it backwards.
For Nio, xpeng and byd they need super factories, with production capacity bigger than that of tesla shanghai.
I was talking about sub brands, though. Tesla didn't do that. They still made their less expensive cars under the Tesla name. What I'm talking about is when Toyota created Lexus as a sub brand for luxury cars. NIO will be doing that where their less expensive, mass market cars will not be called "NIO" but something else. They will be doing this in order to maintain the luxurious prestige of the "NIO" name. Like remember when someone saying they owned a Tesla was a big deal and you assumed they were rich? With the release of the Model 3, they kind of cheapened the "Tesla "name a bit since they don't cost that much.
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