Dr Brian Gu of XPENG Motors mentioned the mixture of a big pool of potential prospects open to new applied sciences, and tariff-free entry made the UK engaging as the corporate seeks to broaden in Europe.
XPENG is simply 10 years outdated and has been producing automobiles for simply seven, with its first mannequin obtainable in Britain from this month, the G6, a “premium medium-sized SUV coupe” that, in seems and specification, seems a direct competitor to Tesla’s Mannequin Y.
Retailing at a beginning value of just below £40,000 nonetheless it’s round £7,000 cheaper, which it hopes will give it a bonus within the premium class it’s focusing on.
It’s the newest instance of a Chinese language EV producer seeing a chance within the UK, which has imposed electrical automobile targets forward of a phase-out of recent petrol and diesel fashions by 2030 whereas sitting exterior the EU buying and selling bloc.
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The corporate says it sees a giant alternative within the UK. Pic: XPENG
EVs made up simply over 19% of recent automotive registrations within the UK final yr, a rising market share however nonetheless in need of a authorities goal for home producers of twenty-two% that rises to twenty-eight% this yr.
The UK business physique has warned client demand is slowing and known as for state-funded client incentives, however talking at XPENG’s UK launch, Dr Gu dismissed these issues and mentioned the UK was of “strategic importance” because the model expands.
“We see a very, very big opportunity because we see the market is growing very healthily compared to the rest of Europe, and I think you can see continued growth,” he mentioned.
“And we actually see UK customers embracing new technologies. For example, Tesla is very successful here, so we want to also bring the latest and most innovative technologies from China in our vehicles.”
Success regardless of tariffs
XPENG bought greater than 10,000 automobiles in 14 European territories final yr regardless of the EU imposing tariffs of as much as 35% on Chinese language-made EVs, together with Tesla, in response to Beijing’s beneficiant subsidiaries to the business.
The absence of tariffs within the UK has raised issues that producers together with BYD, Geely and SAIC, which owns the MG model, will flood Britain with low-cost EVs, undermining UK-based producers.
Dr Gu denied “dumping”, and known as for the EU to drop its tariffs.
“Having no tariffs allows the UK market to receive the best products from around the world. And we are certainly not focused on quantity, we focus on quality,” he mentioned.
“We always advocate for less friction and barriers for trade, so for us, if there are improvements on that front, we welcome that. But we also are fully prepared to compete in whatever conditions we face because we think it’s a long-term strategy for a young company to establish a global brand here.”
Safety dangers denied
Dr Gu additionally rejected issues, held in Whitehall and safety circles, of the potential safety threat posed by widespread adoption of Chinese language-owned expertise.
Communications firm Huawei was compelled out of UK networks due to Beijing’s energy to demand knowledge from its corporations.
The probably proliferation of Chinese language automobiles storing British drivers’ knowledge raises one other query.
“As a company currently operating in 30-plus countries, we adhere to the most stringent data and privacy rules in every market that we enter,” Dr Gu mentioned. “We put privacy and data security as the utmost focus for our business, so we will do whatever it takes.”
Requested immediately if he may resist a requirement for knowledge, he mentioned: “Well, right now, I don’t think that there is any demand for that. But I think as a company we will do whatever it takes to protect our customers.”
