The battle for market share in the world’s largest electric vehicle market is intensifying at an unprecedented rate. In order to keep buyers away from Tesla, the emerging electric car manufacturer Xiaopeng announced that the pricing of its P5 sedan will start from as low as 160,000 yuan (104,000 ringgits). South China Morning Post report.
The news came a few days after Tesla released the short-range Model Y priced at 276,000 yuan (RMB 180,000). Compared with the standard series Model Y, this is a 20% discount (approximately RMB 71,900, or RM47k cheaper).
Xiaopeng, a company controlled by Alibaba Group It means that P5 will be sold in 6 variants, and the subsidized price will range from 160,000 yuan (RM104k) to 230,000 yuan (RM150k). Among them, four will be equipped with lidar, which is a cutting-edge technology, Tesla CEO Elon Musk (Elon Musk) previously called it a “fool” because of the high cost of implementation.
Tian Maowei, service sales manager of Yiyou Auto, said that Xiaopeng Motors’ pricing structure “is aimed at a wide range of customers and seems attractive to middle-income earners who want to own smart electric vehicles. In China, the price is less than 200,000 yuan. The customer base for RMB (RMB 130,000) electric vehicles is very large.”
Of all electric vehicles sold globally in 2020, China contributed as much as 45.3% (1.2 million; 6.3% of the total number of passenger vehicles), equivalent to 3.7 times the total number of electric vehicles sold in the United States. UBS, the Swiss bank, said that this number will grow by 34% annually and will reach 4.2 million by 2025. By then, each of the four cars sold in China will be electric.
Xiaopeng Motors delivered 29 electric vehicles in its first production year in 2018, and then sold 12,728 vehicles in 2019 and 27,041 vehicles in 2020. In the first quarter of 2022, it sold 13,340 pure electric vehicles.