Xpeng is making waves! The electric vehicle (EV) manufacturer is seeing such strong initial demand for its new X9 extended-range electric vehicle (EREV) that it's scrambling to secure more materials. This is a clear signal of the X9 EREV's early success.
According to a recent report, Xpeng has sent a memo to its suppliers, requesting materials for an additional 5,000 X9 EREVs to be built by the end of the year. This move is a direct response to the robust order numbers following the X9 EREV's launch. A supply chain source indicated that this is to ensure that deliveries stay on schedule.
The X9 EREV, Xpeng's first extended-range model, was launched on November 20 with a starting price of RMB 309,800 (approximately $43,600). Interestingly, this price is lower than the initial pre-sale price, and also significantly less than the starting price of the battery electric vehicle (BEV) version of the X9. This strategy shows Xpeng's strong commitment to the EREV market.
But here's where it gets interesting... Orders for the X9 EREV exceeded the previous single-day record of the MPV within just the first hour of launch! This rapid uptake suggests a strong consumer appetite for the new model.
On November 21, Xpeng celebrated the production of its one-millionth vehicle, which happened to be an X9 EREV. To further incentivize purchases, Xpeng has pledged to cover potential vehicle purchase tax benefit losses for customers buying the X9 EREV by December 31, mirroring a strategy employed by its competitor, Nio.
A Quick Look at China's Tax Breaks:
- 2024-2025: New energy vehicles (NEVs) are exempt from purchase tax, up to a maximum of RMB 30,000 per vehicle.
- 2026-2027: NEV purchase tax will be levied at half the standard rate (5%), with a maximum reduction of RMB 15,000 per vehicle.
The X9 EREV's competitive pricing, starting at RMB 309,800, is a strategic move by Xpeng. It's a clear indication of their ambitions in the EREV market.
What do you think? Is Xpeng's aggressive approach a winning strategy? Do you think the lower price point will attract more buyers? Share your thoughts in the comments below!
