On July 6, FAW-Volkswagen announced that in order to celebrate the 70th anniversary of FAW Group, it specially aimed at ID. Family series of models launched time-limited discount activities, from now on ID. The family model starts from 155900 yuan.
The Tramway report learned from FAW-Volkswagen's official website that the current price range of ID.4 CROZZ is 21.79-293900 yuan, with the exception of the LIFE PRO version, which is priced at 255400 yuan, with an official discount of 201400 yuan, with a price reduction of 54000 yuan. The ID.6 CROZZ guidance price is 25.89-336900 yuan. Except for the PURE version, the PURE+ version and the PRO version, the other two models do not accept reservations, of which the PURE+ version offers the largest discount, with an official guidance price of 282900 yuan, a price reduction of 87000 yuan, and the latest preferential price of 195900 yuan. As for ID. Pure limited edition with a suggested retail price of 193900 yuan and a reduced price of 155900 yuan.
In addition to FAW-Volkswagen, SAIC-Volkswagen also announced a price reduction of up to 37000 yuan for its ID.3 models, starting at 125900 yuan. It should be noted that the deadline for the event is July 31, and the edition is limited to 3000.
What is Volkswagen's intention to reduce prices? In the Chinese market, Volkswagen should be the most determined development of electric vehicles, and it is also an international car company with good development in the field of joint venture electric vehicles, but it is still unable to compete with Chinese electric vehicle manufacturers. According to the FIFA data, the top three companies in sales of new energy vehicles from January to May 2023 are BYD, Tesla and GAC EAN, respectively. In addition, SAIC GM Wuling, Geely Motor, ideal Automobile and Changan Automobile also sold more than 100000 new energy vehicles. In TOP10, there is no joint venture car company.
At present, Volkswagen has three pure electric models, ID.3, ID.4 and ID.6, in the Chinese market. After entering 2023, the intensive listing of domestic new cars and price wars occur one after another, the prices of joint venture fuel vehicle brands continue to decline, and independent new energy brands participate in the market competition in the way of increasing quantity without price increase, which leads to Volkswagen ID. Family products lack competitive advantage. From January to May in 2023, the cumulative sales of ID.3, ID.4 (including North and South Volkswagen) and ID.6 (including North and South Volkswagen) were 11846, 19450 and 7630, respectively, according to the CAC data. In the joint venture pure electric market, ID.4 sales are second only to smart Spirit # 1, which sells 19711 vehicles.
ID.4 and ID.6 mainly focus on the pure electricity SUV market in the range of 20-350000 yuan, which has not really entered the state of white-hot competition before. New energy brands such as BYD, Ean, Zero, Nezha and other new energy brands are mainly concentrated in the range of 10-200000 yuan, while Ulai and ideal mainly distribute the market of more than 300000 yuan. Today, Volkswagen has announced its response to ID. The reduction in family prices may also be an increase in market pressure, and the price reduction is bound to stimulate the end market, but at the same time it will also intensify competition among products, including the Polar Krypton X, Buick E5, smart Elf # 1, M5, Xiaopeng G6 and other models, but in any case, price reduction may be the most useful means for Volkswagen to improve the competitiveness of its products.
As the industry leader in the fuel era, facing the extremely oppressive threat of electric cars, Volkswagen's transformation seems to be more determined. Compared with other automakers, Volkswagen is the first traditional car company to realize the crisis and opportunity, and the launch of a series of "radical" plans represents Volkswagen's firm transformation to the future business direction.
At the 2023 China Automobile Forum held in Jiading, Shanghai, Baird, chairman of Volkswagen Group (China) Co., Ltd., pointed out that in the future, Volkswagen will involve suppliers in research and development at an early stage, in terms of software. more dependent on local Chinese partners. Baird said that by 2030, 74% of Volkswagen's new cars in the Chinese market will be new energy vehicles, with more than 30 new models.
Volkswagen plans to invest 180 billion euros (1.3265 trillion yuan) in battery production, software and digitization in China, and expanding its business in North America between 2023 and 2027. Over the next five years, Volkswagen will spend 70% of its investment on electrification and digital software, of which 15 billion euros (110.6 billion yuan) will be spent on battery factories and raw materials. Volkswagen said investment in internal combustion engine technology would peak in 2025 and then begin to decline, aiming to account for 50 per cent of global pure electric vehicle sales by 2030.
At the 2023 China Automotive Forum, Baird, chairman and CEO of Volkswagen Group (China), said that the first models of Volkswagen's first all-electric car, ID.7, will be delivered to customers in the autumn. At the end of this year, the new joint venture Volkswagen Anhui will be officially put into production. In addition to the all-electric model Cupra Tavascan, which will be exported to Europe, another Volkswagen-branded model is expected to go offline in 2024. Audi FAW New Energy Automobile Co., Ltd. will also be put into production in Changchun by the end of 2024. Audi will launch three new models in 2025 and 2026. By 2030, the group's brands will have no less than 30 pure electric models.
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