The Tesla showroom is displayed with its logo and the displayed electric cars, including the 3 and Model Y, on January 12, 2025, in ChongQing, China.
Cheng Sheen Gety pictures
Electric car companies in China welcomed the snake year with a large number of incentives for consumers, after the main auto manufacturers informed the decrease in delivery operations at the beginning of the year.
Lizi, assistant director of research resistance research, said that the softness in Chinese consumption indicators raised fears that car manufacturers may not be able to sell their accumulated cars stocks. “So about Chinese New Year holidays … they just started [these] Total promotional offers. Let’s see how [long] You will continue.
The Lunar New Year lasted from January 28 to February 4 in China on the mainland this year, as it took the Chinese Chinese Agricultural Agricultural Year. In January, Beijing said it has already released 81 billion yuan ($ 11.12 billion) to support the consumption of electric cars, smartphones and home appliances during the extended holidays period.
Wednesday, the first official working day after the holiday, Timing Declare 8000 yuan Insurance subsidy and benefits financing plan by five years 0 % for its cheapest car, form 3. This reduces the total price of the basic version of about $ 1100 for customers who get a payment of 34 % about 11,000 dollars this month and participate in 0 % financing plan. Customers who achieve a lower introduction will benefit.
In January, Tesla announced the same five -year interest -free plan for its new Y for China, which is scheduled to start in March. The American auto company said its sales in China had increased last year, but warned of competitive pressure.
Chinese start starting Xpeng Wednesday I got rid of the batch provided While providing a five -year -free financing deal for four models, it was highlighted in the retail mark on social media that it was the only auto industry company to offer a zero introduction alongside 0 % interest. Xpeng has already gave up the batch offered to a car, G6 SUV, during a sales deal in December.
New On February 1, a Five -year interest plan, 0 % For the next month, total car sales decreased to 13863 units in January, a decrease from 3,1138 in the previous month.
This new promotion is a higher step from the three -year interest rate loan plan and launched by the company in January. competitor Car In November, also announced a Plan of benefits for a period of three years 0 %.
The latest incentives “important”, which are “ways to drop prices without decline [the] Stephen Dyer, partner and administrative director, participating in Greater China, said at Alixpartners Consulting.
He warned that unlike consumers in North America, those in China were tending not to increase car prices, preferring to wait for more discounts.
Amid some seasonal pressure, many major Chinese electric car companies have reported a sharp decrease in local delivery operations in January. Even the largest player, BydThere was a decrease in passenger vehicle sales to 296,446 in January from 509440 cars in December. Analysts generally expect a slower growth in the industry after rapid expansion in the past few years.
“There is a little shake that begins now,” said Dyer. “I will not be surprised to see this year until more shaking with continued pressure.”
Foreign brand challenge
The new energy vehicle share in the passenger car market may grow only – from about 50 % this year to 86 % by 2035, according to the projections of CounterPoint.
It is expected that more international brands will launch its own incentives for Chinese auto buyers. But she expects promotional offers only in general or only two months, and that the final survivors will be local brands.
Dyer said that 20 new brands for energy cars stopped in China last year, while 13 marks entered the market, which led to a net decrease from seven brands, noting that the majority of new arrivals as well as those who closed Chinese origin companies. He expects that “American auto manufacturers are probably anxious.”
The challenge is not only inside China.
Ford Motor got $ 600 million in China last year, and announced on Wednesday that its regional president will now lead the international markets group. CEO Jim Farley said in a statement This global success “requires benefiting from our business in China as well as successful competition against Chinese auto manufacturers in these markets.”