In response to China's new energy vehicle market, it has set off a price war and affects the income of car companies. China electric vehicle manufacturer Weilai Automobile plans to accelerate the expansion of the European market.
Comprehensive Bloomberg and Reuters report, the founder of Weilai Automobile Li Bin said at a press conference before the opening of the Shanghai Auto Show that Weilai Automobile will show the supply of the European market in the next quarterNew small cars.This model will also be sold in the Chinese market.
Qin Lihong, president of Weilai Automobile, said at the meeting that the company will launch a new car brand made in China for the European market next year.This project is named Fireflies.
According to the analysis of Bloomberg, the price war driven by the US electric vehicle giant Tesla, which enabled China to reduce the price of more than 10,000 yuan (S $ 1940) per five electric vehicles in the first quarter.The fierce competition in China, the world's largest automotive market, has prompted Weilai Automobile, which is based on Shanghai as an international business headquarters to decide to expand the European market.Weilai Automobile first extended an angle to Europe two years ago and took root in Norway.
Qin Lihong said that it is difficult to enter the European market than expected.The company's plan to install 20 battery exchange stations in Norway was delayed, and only 65%were installed so far.
Li Bin, also the CEO of Weilai Automobile on Tuesday (18th), interviewed at the Shanghai Auto Show, said that when Chinese electric vehicle manufacturers are grasping the cost advantage, they must do well.Prepare protectionist measures that foreign governments will implement.
Li Bin predicts that benefiting from China ’s control over raw materials and supply chains, the cost advantage of Weilai Automobile and other new energy vehicle manufacturers in China is 20%higher than American competitors Tesla.
China's demand has slowed down, so that Chinese new energy vehicle manufacturers such as Weilai Automobile, Xiaopeng and BYD will lock their attention to fight for more foreign customers, especially the European market.Renault, Tesla, and BMW are some foreign brands that are sold overseas in Chinese manufacturing electric vehicles.
Li Bin said: "As the exports are increasing, market protectionism will definitely occur. This is not a good thing for sustainable global development, but we must respect the considerations of every country to protect the local industry.. This is the reality we must face. "
