Look out Tesla, SAIC's $4,500 electric car takes China by storm

[Klaralven]

BEIJING -- On the showroom floor of a SAIC-GM-Wuling Automobile dealership in Chongqing, a salesman enthusiastically recommended the Wuling Hong Guang Mini EV, an electric car that has quickly won over Chinese drivers since its nationwide launch in July.

The boxy compact lives up to its name, measuring less than 3-meters long and 1.5-meters wide, yet can still accommodate four people. The price starts at 28,800 yuan ($4,460), though the most popular model, with air conditioning, goes for just over $5,000.

"If you make a 13,000 yuan down payment, the rest will be interest-free," the salesman said.

Though the Hong Guang Mini lags well behind offerings from the likes of Tesla when it comes to range and performance, its convenience and low price have made it one of China's bestselling "new-energy" vehicles, a category that includes electrics and plug-in hybrids.

The compact has been a big hit for state-owned SAIC Motor, China's top automaker. SAIC holds a majority stake in SAIC-GM-Wuling, the joint venture that produces and sells the car and is known locally as Wuling, and General Motors is a major shareholder as well.

Marketed as "the people's commuting tool," the basic model can travel 120 km on a full charge and has a top speed of 100 kph -- good enough for day-to-day driving for most consumers. It does not use a cutting-edge battery, which helps keep the price down, and it can conveniently be charged from a standard outlet.

The car sold 112,000 units between July and the end of 2020, ranking second for the year behind Tesla's Model 3, but first on a monthly basis. It is also believed to be the second-best-selling electric model worldwide, again behind only the Model 3.

https://asia.nikkei.com/Spotlight/Electric-cars-in-China/Look-out-Tesla-SAIC-s-4-500-electric-car-takes-China-by-storm