Chinese electric vehicle start-up Li-Auto (LI) unveiled its all-electric strategy at the Shanghai Auto Show on Tuesday. LI stock broke Monday ahead of the event. But stocks of electric vehicles in China fell sharply on Tuesday, the first day of the auto show.
The new strategy will see Li’s first all-electric vehicles achieve a range of 400 kilometers (about 250 miles) on a 10-minute charge, CnEVPost said. The all-electric vehicles, also known as battery electric vehicles or BEVs, will feature an 800-volt EV platform and CATL’s new advanced “Qilin” battery, according to the report.
More details are yet to come.
By 2025, Li’s product lineup will include a “super flagship model”, five hybrid electric vehicles and five BEVs, the company reportedly said.
Li, a maker of high-end electric vehicles, recently boasted a nearly 20% market share in the 300,000 RMB (about $44,000) to 500,000 RMB SUV market. It outpaced its startup peers Nio (NIO) and XPeng (XPEV).
The three startups are emerging rivals for You’re here (TSLA) and BYD (BYDDF) in China, the world’s largest automotive market.
So far, Li has specialized in a type of hybrid electric vehicle, which uses a gasoline internal combustion engine to charge the battery. It calls these vehicles (including its current models on sale, the L7, L8 and L9) “EREV”, for Extended Range Electric Vehicles. They have proven to be very effective in China, where demand for charging stations exceeds supply, especially in less urban areas.
Going forward, Li said he plans a “dual-energy strategy,” meaning he will continue to manufacture EREVs while switching to BEVs.
LI Stock, EV Stocks in China
Shares of Li Auto fell 0.9% to 25.90 early in the stock market today. LI stock jumped 6.4% to 26.13 on Monday, off a buy point of 25.46 from a double-bottom base, according to the MarketSmith chart. The buy range is at 26.73.
Li Auto’s stock plunged for most of 2022, but made a comeback this year. It gave an upbeat delivery and revenue outlook for the March quarter, and most recently announced its plans for the BEVs at the Shanghai Auto Show.
Its next BEVs are expected to cost around 200,000 RMB (about $29,000) to 500,000 RMB.
Among other Chinese EV startups, Nio jumped nearly 7% on Monday, while XPeng jumped more than 13% as of 11:20 a.m. Nio and XPEV shares fell early on Tuesday. Shares of Chinese electric vehicle giant BYD gained nearly 3% on Monday but were quiet early on Tuesday.
Nio and XPeng unveiled new electric vehicles at the Shanghai Auto Show on Tuesday. The event runs until April 27. BYD also has big plans for the auto show.
XPEV stock surged on Monday after the beleaguered startup unveiled its lower-cost next-generation EV architecture over the weekend.
On Tuesday, Xpeng unveiled the G6, its fifth production model and a mid-size electric crossover. Xpeng’s G6 will be its first new model to use the new EV architecture.
The G6 is expected to compete with the Tesla Model Y in China, with a sleeker design and an updated interior.
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