August 8, 2022
It’s widely recognized to many who the brand new power automobiles (NEVs) of German luxurious

It’s widely recognized to many who the brand new power automobiles (NEVs) of German luxurious carmakers BMW, Mercedes-Benz and Audi don’t carry out in addition to native startups in China. And issues get much more attention-grabbing when a state-owned media outlet begins to concentrate on the phenomenon.

Financial Day by day nowadays revealed a piece of writing titled “Why Audi’s new power automobiles don’t promote in addition to the brand new vehicle makers,” giving their take at the factor.

Even though Audi has offered a number of e-tron sequence electrical automobiles in China, gross sales had been embarrassing, the object stated, including that information from the China Passenger Automotive Affiliation (CPCA) display that only one,439 Audi e-tron devices had been offered in 2021.

And to not point out a fit with Tesla, Audi has no longer even stuck up with the rear lights of the brand new forces of car-making, together with NIO and Li Auto, the object stated.


The explanation why Audi’s NEVs don’t promote is, at the one hand, the loss of product power. The item explains:

Take, for instance, FAW-Volkswagen’s Audi e-tron 2021 fashion 50 quattro Zunxiang, which is the topmost fashion within the lineup.

It’s provided with twin motors with a complete energy of 230 kW, 96.7 kWh ternary lithium batteries, and the NEDC vary is split into two variations of 450 km and 500 km relying at the fashion.

It may be stated that both the variability or the 0-100 km/h acceleration efficiency, Audi e-tron has no benefit in comparison with its competition in the similar magnificence.


Extra importantly, Audi’s NEVs lack intelligence options, the object stated, including that the product energy of nowadays’s electrical automobiles isn’t just mirrored within the energy alternate, but additionally within the clever enjoy.

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In particular within the Chinese language marketplace, good and community connectivity has change into elementary product options and main competencies for NEVs, the object stated.

“Simply as within the transition between smartphones and standard cellphones, the focal point of Chinese language customers is now not on ruggedness, sturdiness and smashing walnuts, however contains on-line and offline packages, in addition to a myriad of good eco-experiences.”

“By way of this usual, Audi’s e-tron is just a half-baked good electrical car. It isn’t tough to needless to say its competitiveness is inferior to the brand new car-making forces together with Tesla and NIO.”


However, it lies within the unrealistic pricing of the product. The item explains:

FAW-Audi’s in the community produced e-tron has a beginning worth of RMB 546,800.

Even though the beginning worth of the in the community produced e-tron has been decreased via RMB 146,000 in comparison to the imported model, this worth is way upper than no longer most effective the Tesla Type Y, but additionally the BMW ix3.

One of these top worth is, to place it properly, “overconfidence” and no longer appearing sufficient “sincerity” within the Chinese language marketplace, or to place it badly, “systematic mistakes in product definition” within the Chinese language marketplace.


“Some other folks say that Audi’s NEVs are nonetheless within the gasoline vehicle generation in the case of product definition, and there’s a trail dependence on conventional gasoline automobiles, which is fairly justified,” the object stated.

This trail dependence and inertia in product positioning is already constraining its skill to innovate, consistent with the object.

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Whilst this trail dependence isn’t totally because of technological backwardness, however quite a mistake in product definition method, and it’s going to most certainly result in its fall at the good EV monitor and must be sufficiently alarmed, consistent with the object.

“China has now change into the sector’s greatest marketplace for NEVs and crucial battleground for Audi’s electrification transition.”

“Consistent with its new goal, Audi’s electrified fashions will achieve one-third of overall gross sales in 2025. Obviously, Audi has to make extra adjustments to reach this objective,” the object stated.


This newsletter was once first revealed via Phate Zhang on CnEVPost, a web page specializing in new power car information from China.