Some Chinese carmakers, including SAIC-GM-Wuling Automobile, have lowered the prices of their electric vehicles to below CNY100,000 (USD13,900) after BYD launched two new cheap models priced from CNY79,800 (USD11,000).
SAIC-GM-Wuling, a joint venture between Chinese carmakers SAIC Motors and Wuling Motors and US car giant General Motors, yesterday cut the prices of its Wuling Xingguang hybrid model's 150-kilometer advanced edition to CNY99,800 from CNY105,800.
The move was a simple follow-up to BYD, Zhou Xing, vice general manager at SAIC-GM-Wuling's brand project department, said on Weibo yesterday.
Changan Automobile lowered the starting prices of its Q05 and A05 models under the Qiyuan brand to CNY73,900. Neta Auto, the NEV brand under Hozon New Energy Automobile, cut the prices of its X series by CNY22,000 to CNY99,800.
BYD announced yesterday the launch of two new NEV models, the Qin Plus and the Destroyer 05, both priced from CNY79,800, which is about CNY20,000 cheaper than the entry price of the Shenzhen-based company's existing similar models.
BYD sells plug-in models at prices lower than same-grade fuel vehicles thanks to its scale effect and advantages in all reaches of the supply chain, Li Yunfei, general manager at the company's brand and public relations division, said on Weibo yesterday. This will start a war against traditional fuel cars, as nobody will want to buy them anymore, Li noted.
In fact, the segment of the Chinese market for cars priced below CNY100,000 is mostly occupied by fuel vehicles from joint ventures between Chinese and foreign automakers.
Mainstream car models are usually priced at between CNY50,000 and CNY150,000 in China, and most of them are fuel-powered ones, according to statistics from the China Passenger Car Association.
Meanwhile, hybrid models are gaining popularity in the Chinese NEV market. In January, 59 percent of the NEVs sold in the country were all-electric ones, compared with 70 percent a year earlier, CPCA data showed. In comparison, the share of hybrid models increased to 41 percent from 30 percent in the period.
