China's Xpeng hikes price of cars

OlWestyWin
2022-03-19

$XPeng Inc.(XPEV)$

Chinese electric vehicle maker Xpeng will hike the price of its cars citing a sharp rise in the cost of raw materials.

Xpeng said from Mar. 21, price increases on its vehicles will range from 10,100 Chinese yuan ($1,587) to 20,000 yuan before subsidies. The company did not give a breakdown of the specific price rises for each of its models.

Xpeng currently sells the flagship P7 sedan, the P5 sedan and the G3 sports utility vehicle. It is gearing up to launch the G9 SUV later this year.

Electric carmakers have been struggling with rising costs of raw materials such as nickel, which is a key component of batteries. Other components such as semiconductors continue to be in short supply, providing another headwind for Xpeng and its rivals such as Nio.

Xpeng is not the first electric vehicle company to raise prices. Over the last week, Tesla has done several price hikes across various models of its cars.

Earlier this week, Warren Buffett-backed automaker BYD also raised the prices of its new energy vehicles, which includes electric cars.

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Comments

  • MyrnaNorth
    2022-03-19
    MyrnaNorth
    Do you believe it that the best EV manufacture Xpeng has market value of $20 billions, LI has $40 billions and NIO has $35 billions!
    • OlWestyWin: 
      cant wait!
    • LeilaLynch: 
      Xpeng will soon be above $40 and any entering under $30 will be smart move.
    • CyrilDavy: 
      Let's wait the Xpeng will reach the $50 billions in short time period and over LI and NIO for sure.
    • FranklinMorley: 
      DIDI gets back where it was 5 days ago; XPEV is on its way, but not yet it will get back soon.
  • BorisBack
    2022-03-19
    BorisBack
    XPeng will hit in the range of $75 to $90 this year but that’s not what I’m going for. It’s the year after when they have profits. Price target $250 to $300.
    • OlWestyWin: 
      lol slow n steady wins the race, idm $30 or $50 as long as there is progress
  • Evey77
    2022-03-19
    Evey77
    Waiting for recovery
  • BaronLyly
    2022-03-19
    BaronLyly
    Over 40% of employees @ XPeng are engineers and geniuses working on R&D. Their future is bright.
    • ming22: 
      Good to know
    • ChristKitto: 
      Xpeng 2022 $100,2023 $150 + flying car here! price in 10 years? $4,000+I hear more than half Xpeng cash goes for research,
  • MatthewWalter
    2022-03-19
    MatthewWalter
    I'm still here and a long shareholder. I have had unrealized gains/losses on certain stocks. If you have done your due diligence on a company, you'll do fine long term.
  • MR_Wu
    2022-03-19
    MR_Wu
    Raising prices will only frustrate users who love electric vehicles.
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