Category: Price Cut

China Electric eMobility eV Industry News Price Cut price war SAIC-Volkswagen Volkswagen

SAIC-Volkswagen offers up to $7,250 discount as China auto price war continues

Post author By Lei Kang/CnEVPost
Post date March 17, 2023

The offer has a deadline of April 30, and SAIC-Volkswagen plans to offer up to RMB 3.7 billion in subsidies for car purchases.

SAIC-Volkswagen offers up to $7,250 discount as China auto price war continues-CnEVPost

(A screenshot from SAIC-Volkswagen's website shows the automaker's marketing of discounts.)

A Volkswagen joint venture in China has started offering official discounts as the price war in the Chinese auto industry continues.

SAIC-Volkswagen is offering limited-time discounts of up to RMB 50,000 yuan ($7,250) on its entire model lineup, the Volkswagen-SAC joint venture announced yesterday.

The offer has a deadline of April 30, and SAIC-Volkswagen plans to provide up to RMB 3.7 billion in subsidies for car purchases, according to a poster on its website.

The campaign involves 20 SAIC-Volkswagen models, the vast majority of which are conventional internal combustion engine vehicles, that can enjoy discounts ranging from RMB 15,000 to RMB 50,000.

The Volkswagen Phideon, with an official guide price of RMB 343,000 to RMB 449,000, received an RMB 50,000 discount, while most other models received discounts of RMB 25,000 to RMB 30,000.

SAIC-Volkswagen is offering discounts of RMB 20,000 for the ID.3 pure electric vehicle and RMB 30,000 for both the ID.4 X and ID.6 X.

In addition to the cash discounts, SAIC-Volkswagen is also offering trade-in benefits of up to RMB 12,000, as well as a zero-interest entitlement for 2-to-5-year loans.

One of the reasons SAIC-Volkswagen chose to cut prices is that the company is responding positively to China's policies as well as the consumer environment, sources at the automaker were quoted as saying in a report by Beijing News today.

On the other hand, SAIC-Volkswagen was able to get closer to consumers after the marketing changes and respond more quickly to consumer feedback, the source said.

Last week, both SAIC-Volkswagen and FAW-Volkswagen, another Volkswagen joint venture in China, began offering discounts of up to 40,000 yuan on ID. family models as the price war in China's auto industry intensified.

Volkswagen is one of the top car companies in China in terms of vehicle sales. SAIC-Volkswagen's retail sales in February were 74,013 units, down 7.7 percent from a year earlier, with a 5.3 percent share of the Chinese auto market, according to data released earlier this month by the China Passenger Car Association (CPCA).

FAW-Volkswagen sold 110,511 units in February, up 5.3 percent year-on-year, with an 8 percent share in China.

($1 = RMB 6.8925)

More Chinese EV makers promise no price cuts as price war intensifies consumer wait-and-see sentiment

The post SAIC-Volkswagen offers up to $7,250 discount as China auto price war continues appeared first on CnEVPost.

For more articles, please visit CnEVPost.

China Electric eMobility eV Li Auto Price Cut

Li Auto rolls out price protection policy amid China auto price war

Post author By Lei Kang/CnEVPost
Post date March 14, 2023

The price war in China's auto industry has intensified the wait-and-see mood among car buyers, and Li Auto's move helps to allay potential consumers' concerns to some extent.

Li Auto US | Li Auto HK

(Image credit: Li Auto)

As the price war in China's auto industry continues, Li Auto (NASDAQ: LI) is telling consumers that it won't be cutting prices, at least they don't need to worry about it in the short term.

An image circulating on the Chinese internet on March 13 shows Li Auto rolling out a consumer price protection policy covering all of the company's currently available models -- the Li L7, Li L8 and Li L9.

For consumers who purchase these models, if the prices drop within 90 days of their order, then Li Auto will refund the difference.

The policy is in effect from March 11 to March 31, and the price reduction Li Auto refers to includes both a drop in the vehicle's official prices and the cash-off benefits the company offers, according to the image.

In a report today, local media outlet The Paper quoted Li Auto salespeople as saying the image is true.

The policy, which is available to consumers when they purchase the Li L7, Li L8 and Li L9, is primarily intended to make clear to them that Li Auto will not be dropping prices, the salesperson said.

On March 2, Li Auto founder, chairman and CEO Li Xiang said on Weibo that the price of lithium carbonate would be drastically reduced no matter what because the demand is far less than expected.

He said at the time in the comments section of that Weibo that Li Auto's models would not be reduced in price.

Notably, a wave of price cuts then began in the Chinese auto industry, with some internal combustion engine automakers starting to offer huge discounts.

The increasing number of car companies joining the price war has also led to an increased wait-and-see sentiment among consumers to avoid seeing price cuts soon after purchasing a car.

Li Auto's move will partly contribute to allaying the company's potential consumers' concerns and thus help it achieve its sales targets.

Li Auto has an internal goal of 25,000-30,000 monthly deliveries and will aim to meet that goal in the second quarter, its management said in a February 27 analyst call after announcing fourth-quarter earnings.

The company delivered 16,620 vehicles in February, up 9.77 percent from 15,141 in January and up 97.53 percent from 8,414 in the same month last year.

Li Auto guided for deliveries of 52,000 to 55,000 vehicles in the first quarter when it reported fourth-quarter earnings. The company's delivery figures for February mean it is on track to deliver 20,239 to 23,239 vehicles in March.

China auto price war: BMW dealers offer discounts of up to $14,360 for i3

The post Li Auto rolls out price protection policy amid China auto price war appeared first on CnEVPost.

For more articles, please visit CnEVPost.

Tags Li Auto

China Electric eMobility eV FAW volkswagen Industry News Price Change Price Cut SAIC-Volkswagen

VW joins China auto price war, offers up to $5,820 discount on ID. series EVs

Post author By Lei Kang/CnEVPost
Post date March 13, 2023

FAW-Volkswagen's retail sales of NEVs in January-February were 9,572 units, down 8.3 percent from 10,442 units in the same period last year.

VW joins China auto price war, offers up to $5,820 discount on ID. series EVs-CnEVPost

The price war in China's auto industry continues, with Volkswagen becoming the latest to join in.

FAW-Volkswagen is offering discounts of up to RMB 40,000 yuan ($5,820) on the ID. family of models, with the lineup starting at as low as RMB 174,900 yuan, according to a poster posted on Weibo on March 11 by the Volkswagen joint venture in China.

This is to celebrate the second anniversary of the launch of the ID. family of models, according to the poster.

In addition to the discount, FAW-Volkswagen is offering consumers a free camping kit worth RMB 4,900.

FAW-Volkswagen's poster shows that these offers are for a limited time, but no expiration date is provided.

Currently, FAW-Volkswagen is selling the ID. series of ID.4 Crozz and ID.6 Crozz, two SUVs with suggested retail prices starting at RMB 217,900 and RMB 258,900 respectively.

In addition to FAW-Volkswagen, SAIC-Volkswagen, another Volkswagen joint venture in China, is also offering discounts for the ID. series EVs.

SAIC Volkswagen ID. series pure electric vehicles are offering discounts of up to RMB 30,000, and consumers can also receive up to RMB 10,000 worth of other benefits at dealership stores, according to a poster.

Like FAW-Volkswagen, SAIC-Volkswagen also offers the ID.4 series models, ID.4 X and ID.6 X, with suggested retail prices starting at RMB 195,888 and RMB 259,888, respectively.

In addition to the two ID. series models, SAIC Volkswagen also offers the compact ID.3 model with a suggested retail price starting at RMB 162,888.

Volkswagen had announced monthly sales of the ID. series EVs in late 2021 to early 2022, but then stopped publishing them.

FAW-Volkswagen's retail sales of NEVs in January-February were 9,572 units, down 8.3 percent from 10,442 units in the same period last year, according to a ranking released earlier this month by the China Passenger Car Association (CPCA). SAIC Volkswagen did not make it into the ranking of top sellers of NEVs in China.

FAW-Volkswagen's January-February retail sales of all vehicles were down 24.9 percent to 221,946 units, according to the CPCA. SAIC-Volkswagen's retail sales of all vehicles for the same period were down 29 percent to 154,631 units.

($1 = RMB 6.8695)

China auto price war: BMW dealers offer discounts of up to $14,360 for i3

VW joins China auto price war, offers up to $5,820 discount on ID. series EVs-CnEVPost

The post VW joins China auto price war, offers up to $5,820 discount on ID. series EVs appeared first on CnEVPost.

For more articles, please visit CnEVPost.

Changan China Electric eMobility eV Industry News Price Cut Shenlan Tesla

Changan’s EV brand Shenlan offers up to $6,030 discount on vehicle purchases

Post author By Lei Kang/CnEVPost
Post date March 10, 2023

Shenlan is currently selling only one model, the SL03, a Tesla Model 3 competitor, with 4,103 units delivered in February.

(Image credit: Shenlan)

Shenlan, Changan Automobile's new energy vehicle (NEV) brand, is offering consumers tens of thousands of yuan in incentives to purchase vehicles as the auto price war in China continues.

Shenlan, based in the southwestern Chinese city of Chongqing, announced today that it is offering discounts of up to 42,000 yuan ($6,030) on vehicle purchases.

The offer includes an RMB 22,000 cash subsidy and up to RMB 20,000 in option benefits.

The subsidy is valid from March 10 to March 31 and is limited to 10,000 units.

Shenlan, Changan's NEV brand announced in 2022, officially launched the Shenlan SL03 electric sedan on July 25, another strong competitor to the Model 3.

Unlike the Tesla Model 3, the Shenlan SL03 is available in three powertrain variants -- an all-electric version, an extended-range version and a version with a hydrogen fuel cell.

The Shenlan SL03 BEV currently has a starting price of RMB 189,900, lower than the Model 3's starting price of RMB 229,900 in China, and the SL03 EREV starts at RMB 171,900.

Shenlan began deliveries of the SL03 at the end of August 2022 and has delivered a total of 37,328 units as of the end of February this year, including 4,103 units last month.

On March 5, Shenlan officially unveiled its second model, the Shenlan S7, a model similar to the Tesla Model Y crossover, in Shanghai.

In addition to the Shenlan brand, Changan is offering car purchase incentives for its other sub-brands.

Changan announced yesterday that for consumers who buy any of its passenger cars and get a delivery this month, they will receive a coupon for thousands of yuan.

($1 = RMB 6.9675)

China auto price war: BMW dealers offer discounts of up to $14,360 for i3

The post Changan's EV brand Shenlan offers up to $6,030 discount on vehicle purchases appeared first on CnEVPost.

For more articles, please visit CnEVPost.

Tags Tesla

BMW BMW i3 China Electric eMobility eV Industry News Price Cut

China auto price war: BMW dealers offer discounts of up to $14,360 for i3

Post author By Lei Kang/CnEVPost
Post date March 9, 2023

A rare price stampede is taking place in the Chinese auto market.

(Image from BMW China Weibo)

As a large number of car companies in China are offering huge subsidies or price cuts, BMW is offering more than 100,000 yuan ($14,360) off its all-electric model, the i3, according to local media.

In the past two days, rumors have surfaced that BMW dealers are offering massive subsidies for the i3 in China, and that consumers who pay full cash for the car can even get the model for RMB 120,000 to 180,000, less than half the retail price.

BMW insiders deny this, local media Cailian reported today. However, salespeople at BMW dealers say they are indeed offering discounts, and that these measures were introduced only this month, according to the report.

For the BMW i3 eDrive35 L, which currently has a guide price of RMB 353,900, the cost after discounts is RMB 248,000, the report said, citing BMW dealership sources.

Consumers will also receive an additional RMB 6,000 subsidy if they trade in their vehicles, the sources said.

BMW officially made the BMW i3 available in China on March 31, 2022, when only one version, the BMW i3 eDrive35L, was offered, and only for the Chinese market.

BMW's suggested retail price for the BMW i3 eDrive35L at the time was RMB 349,900, and its website currently displays a suggested retail price of RMB 353,900.

On February 20, BMW announced the launch of the BMW i3 eDrive40L in China, offering two versions with starting prices of RMB 383,900 and RMB 413,900 respectively.

The BMW i3 eDrive40L is the premium model of the BMW i3 with better performance and a longer range, the company said in a press release.

Notably, in late November last year, a media report said that Chinese consumers were offered discounts of RMB 80,000-100,000 by dealers when purchasing the BMW i3.

There were even dealers offering discounts of RMB 105,000, equivalent to a 30 percent discount, bringing the vehicle's selling price down to around RMB 245,000, Cheshi reported at the time.

These deals seem to have worked to boost sales in the past few months, as the BMW 3 Series BEV, or BMW i3, sold 2,976 units at retail in China in February, placing it as No. 8 on the list of high-end sedans with a starting price above RMB 300,000 in China, according to a list released earlier today by the China Passenger Car Association (CPCA). A list.

In addition to BMW, Mercedes-Benz dealers are also rumored to be offering huge discounts, including up to RMB 110,000 for the Mercedes-Benz C-Class and Mercedes-Benz E-Class.

Cailian today quoted a Mercedes insider as saying there is no such thing. A salesperson at a Mercedes-Benz dealership store in Beijing said that the information circulating on the Internet was untrue and that consumers could only get discounts on their purchases if they registered their vehicles in Beijing.

The Mercedes-Benz C-Class is currently discounted by RMB 60,000 and the Mercedes-Benz E-Class by RMB 50,000, the salesperson said.

The rumors and the dealers' moves come as the Chinese auto industry is staging a rare price war.

Earlier this month, authorities in central China's Hubei province joined forces with a number of local car companies to offer subsidies to consumers for car purchases of up to RMB 90,000 for some models, marking the open entry of fuel models into the price war.

As things stand, car companies are already stampeding each other, Cailian quoted auto industry analyst Zhu Yulong as saying.

The previous price cuts by Tesla had a big impact on the car market, and whoever acts first now will have a head start, Zhu said.

For the internal combustion engine vehicle market, new emission standards that will come into effect on July 1 are one of the major factors that will cause them to cut prices.

China will start enforcing national standard 6b in the second half of the year, which is described as the world's most stringent emissions standard and will force car companies to try to clear their inventories by July, Cailian said, citing a source from consulting firm Ways.

It is worth noting that the sharp price cuts by ICE car companies, which appeared in the process of reducing prices or offering discounts by electric vehicle companies, also brought an impact to the NEV industry.

Earlier today, BYD announced that consumers who order the BYD Song Plus series from March 10 to March 31 will receive a discount of RMB 6,800, or RMB 8,800 for the Seal.

(1 $= RMB 6.9643)

Automakers in central China's Hubei offer hefty subsidies as sales pressure mounts

The post China auto price war: BMW dealers offer discounts of up to $14,360 for i3 appeared first on CnEVPost.

For more articles, please visit CnEVPost.

Tags BYD

BYD BYD Seal BYD Song China Electric eMobility eV Price Change Price Cut Tesla

BYD offers discounts for Song and Seal as China’s auto price war intensifies

Post author By Phate Zhang/CnEVPost
Post date March 9, 2023

Consumers who order BYD's Song Plus lineup this month will receive a discount of RMB 6,800, or RMB 8,800 for the Seal.

(Image from BYD's Weibo)

As the price war intensifies in China's auto industry, BYD has also started offering discounts for its two models, even though the official prices remain unchanged.

Starting tomorrow, consumers who order BYD's Song Plus lineup can get a discount of RMB 6,800 ($980), or RMB 8,800 for the Seal, according to a BYD Weibo post today.

This is a limited-time marketing campaign valid from March 10 to March 31, BYD said.

BYD did not provide more details, but the Song family, as well as the Seal, are among its best-selling models.

BYD sold 193,655 new energy vehicles (NEVs) in February, including 191,664 passenger cars and 1,991 commercial vehicles, the company said in figures released on March 1.

Song family models sold 52,400 units in February, BYD's highest sales in the month, contributing 27 percent of all its passenger car sales.

Song family models include the hybrid Song Pro and Song Max, both of which are part of BYD's Dynasty lineup.

The family also includes the hybrid Song Plus DM-i and the all-electric Song Plus EV, which are part of BYD's Ocean series.

BYD announced today that the offer is limited to these two Song models in the Ocean series, as well as the Seal.

BYD's Seal sold 7,754 units in February, which was up 17.17 percent from 5,043 units in January. The model went on sale on July 29, 2022.

Since the end of last year, several EV makers have cut prices, including Tesla and XPeng (NYSE: XPEV).

Earlier this month, authorities in central China's Hubei province joined forces with a number of local car companies to offer subsidies for consumers to purchase vehicles, with some models offering subsidies of up to RMB 90,000, marking the open entry of fuel models into the price war.

The first to participate are the Dongfeng Motor family of brands, including Dongfeng Honda, Dongfeng Nissan, Dongfeng Citroen, Dongfeng Peugeot and Dongfeng Aeolus, with the Dongfeng Citroen C6 offering a combined subsidy of up to RMB 90,000.

($1 = RMB 6.962)