Chinese EV Makers Plan Global Expansion
SOHU reported that 222,855 Chinese EVs were exported overseas in 2020, of which 72,677 were exported to Europe, an increase of 211% year-on-year. Many Chinese EV makers are eyeing the European market.
The Chinese electric vehicle startup NIO is expanding its business faster than planned. NIO used to operate exclusively in China – now the first vehicle from the manufacturer is to be offered in Europe as early as the second half of 2021. The expansion to the European market will be almost a seamless transition, as the automotive regulations there are similar to China's, Company CEO William Li said. The proportion of electric vehicle sales has risen very quickly in Europe in 2020. In Norway, EVs accounted for about 50% of total vehicle sales. Following the European foray, the company is eyeing expansion into other international markets in 2022.
Xpeng, another Chinese manufacturer, has started delivering its electric cars to customers in Norway. According to Electrive, 100 units of the Xpeng G3 electric SUV have been handed over to their new owners in 28 Norwegian cities in December 2020. The Norwegian G3 version comes up with an English user interface. After Norway, Xpeng said it wants to expand the market for the electric SUV into other European countries where markets are mature with supportive government policies, advanced EV infrastructure and high EV awareness.
Europe is buying electric vehicles at a record pace and it is the world’s biggest EV market, as consumers are encouraged by government subsidies and dozens of new hybrids. Globelnewswrie revealed that the Europe EV market is anticipated to hit USD 143.08 billion by 2027. Besides, European consumers have large acceptance of EVs compared to other regions. Thus, many EV startups prefer European market when going global. However, the barrier to entering Europe is tough and many carmakers are struggling to meet new anti-pollution rules, so the startups need to get themselves fully prepared.
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