Very small, cheap and Chinese

There was a time when trends were written somewhere in Europe. Later it was in the United States. It happened because the future was there first. Times have changed and today the first lines of our future are written in China., For this reason, they send us a letter that dictates our scenario as a company and contains information. In a country without oil, where electric cars were discovered before the others, 40% of those sold this year are urban vehicles, i.e. very smallThis idea may not be entirely acceptable to the average European, but knowing that The average price of these cars was 6,700 euros. Maybe a better understanding of what’s to come.

The average cost of a new car purchased in Spain has skyrocketed over the past two years and exceeded 20,000 eurosIf it’s in new cars, old cars have never been so expensive, and in 2022 they’re gone €12,500, figures never seen before. If we add that CPI growth In Europe it is around 10% this year, with peaks of up to 18% as in the United Kingdom, we have the general impoverishment of the population who will find it difficult to decide to buy a car. According to the savviest economists, the crisis that could begin this fall will be less violent than predicted by most doomsdays, but it will be longer, which could end up getting worse, especially for the middle class. Without the middle class, middle class products and services would be lost, whether it be hotels, clothes, food or…cars.

Therefore, the much cheaper and smaller electric car is thought to be in the flight plan, as the cheaper Dacias had their heyday after the 2007-2010 crisis. According to EU data, The average displacement of a second-hand car on the Old Continent is 1.5 people per trip, That is, on many occasions, a person travels alone. A vehicle can be a two-seater or even a single-seater, small or very small, for commuting to work, shopping, seeing friends, etc. This is where vehicles like the Ford Ka, Renault Twingo, Kia Picanto, Fiat 500 or Smart come in.

This type of car has many advantages for most users for whom a scooter or an electric bicycle does not meet their needs. Cheap used cars seem to be in the sights of officersThose who try to eliminate them because of their age, pollute heavily because they lack sophisticated emission cleaning systems and do not regenerate vehicle fleets.

Today, European countries are Promote electric cars with strong subsidiesThese are on average around 5-7,000 euros and depend on the country, whether a used car is delivered, what type, etc. Economic strains on the horizon and a growing tendency to balance the books with these aids will wear them down to the point where electric cars are the dominant trend, there won’t be one for everyone.

a chance for china

This is where the Chinese will find their luck, a country in which they learned and burned their feet before Westerners. In 2010, the government announced an experimental incentive program of up to 60,000 yuan (8,500 euros) for private purchases of new electric vehicles., and 50,000 yuan (7,400 euros) for the rechargeable hybrid in five cities: Shanghai, Shenzhen, Hangzhou, Hefei and Changchu. The pandemic and aid cuts have slowed its growth in 2020, but remnants of low-cost electric vehicles have boosted its industry significantly. Something happened in parallel: The pollution of its cities has decreased significantly,

In some of these towns it was customary to put wet towels in the groove of the front door; Towels that woke up the next day turned black due to pollution. United States Similar assistance programs have been developed in the United States for electric cars made by Labor, leading to a similar situation, but exactly the opposite. The biggest winners were high-end cars, which were sold in a more mature market, among other possibilities. In Europe, circulation taxes have been abolished, direct aid of up to 9,000 euros has been granted, as in Germany, and the Norwegian paradox is attracting all the attention. One of the few oil-producing countries in the region, it has the highest electrification rate in the world. In comparison, the average sale price of electric vehicles registered in Europe has risen from a low of €33,292 in 2012 to €42,568 in 2021, an increase of 28% over this period. Although the United States has seen the largest percentage increase in prices over the past decade, the weighted average retail price of electric vehicles remains lower than in Europe, the region where the average retail price of these cars is the highest.

Despite the efforts of manufacturers, they are still too expensive, compared to models equipped with internal combustion engines. There is an urgent need for the industry to focus on affordable electric models that reflect consumer demand. Last year, SUVs accounted for 44% of global passenger car demand, but only contributed 25% of passenger electric vehicle sales in China.

Western factories focus too much on expensive cars, which are expensive for their buyers, and are far from the trend imposed by the Chinese. Exploit and develop the largest market on the planet. If you visit any generic brand dealership in our cities, it won’t take long to see that the cheap cars, the smaller, cheaper cars, are disappearing. And they are there for a simple reason: they are not profitable. The higher the bill, the higher the bottom line, and the brands that fill our streets with utility vehicles have ceased to appeal to this market. In Europe, the Volkswagens are the only ones relatively heading in this direction, but they don’t have anything on the horizon that costs less than 25,000 euros. Although the Chinese do. Environmental regulations weigh more and more every day, the cost of hydrocarbons will not go down, the push by officials to ‘you can only enter your city center by electric car’ will encourage the trend.

If you add up the huge increase in car prices which have gone up by 20-30%, Obtaining electricity for less than 15,000 euros would seem like a gift to us, and the public will already find solutions to its shortcomings and shortcomings. Today, only the Chinese have such a product, and they are fried to bring their teeth to the European market. They have already started. So, European manufacturers, you have been warned. Officers, the message is also for you.

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