Xpeng launches cheaper EV brand amid fierce Chinese price competition By Reuters
© Reuters. FILE PHOTO: XPENG Motors (Guangzou Xiaopeng Motors Technology) logo is seen in this picture taken on January 16, 2024. REUTERS/Dado Ruvic/Illustration/File Photo
BEIJING (Reuters) – Chinese electric vehicle (EV) maker Xpeng (NYSE:) has announced plans to launch a more affordable brand as it enters a highly competitive segment amid fierce price competition in the EV industry.
Xpeng chairman and CEO He Xiaopeng posted on the company’s official WeChat at an industry event in Beijing on Saturday that the brand’s models, which will be launched within the next month, will be priced between 100,000 and 150,000 yuan ($14,000 and $21,000). account.
This compares to the 200,000 to 300,000 yuan range at which premium EV manufacturers typically price their cars.
Competition in China’s EV market has intensified as companies compete to cut prices, with market leader BYD (SZ:) leading the way in deeper price cuts.
Xpeng, an unnamed brand, said it would sequentially launch models with different levels of intelligent driving features. The new brand says it is committed to creating “the first AI-assisted driving car for young people.”
Sales of battery-powered EVs in China slowed from 20.8% in all of 2023 to 18.2% in the first two months of the year, according to the China Passenger Car Association.
($1 = 7.1954 Yuan)
