Weekly Index
Weekly News
Spy Shots of Two All-New SUVs – N7 / N8 from DENZA
Recently, DENZA Motors officially released a video of the new car undergoing winter testing. The video revealed for the first time the two upcoming all-new SUV models, the large five-seat mid-size SUV N7 and the six/seven-seat mid-to-large size SUV, the latter is expected to be named N8.
At the beginning of the video, the silhouettes of two new SUV models appear on the screen. The first one is expected to be the all-new mid-size SUV N8, and from this shot, only its headlight styling can be seen. Above the headlight assembly are slender LED daytime running lights. It is anticipated that other areas of the front end are disguised, so the styling of the other headlight assemblies cannot be seen.
The other SUV is the five-seater SUV N7, and the design of its front light is fully exposed. In addition to the slender main headlight above the front end, there are also horizontal LED light groups distributed on both sides of the grille, and this may be its family-style. In another shot, it can be seen that the taillights are designed as integrated, and the words “DENZA N7” can already be seen in the license plate frame.
In a shot where all three cars appear simultaneously, we can see the overall outline of the new car. On the right side of the screen is DENZA N7, a midsize SUV which has more rounded lines and shows the headlight assembly in full in the previous shot. On the left side of the screen is DENZA N8, which is of a higher level and is taller with relatively straight lines.
The side lens reveals more differences. The roof line of the N7 is a sleek design with a relatively large fixed spoiler on the back, and the bottom of the window quickly rises above the B-pillar, all indicating that it will be a dynamic style product.
On the other hand, the roof line of the N8 above the picture is flatter, clearly providing more headroom for the third row. At the same time, we can see that the N8 will also use a through-type taillight, but the details are completely different from the N7. We also notice that the N7 uses a dynamic and trendy five-spoke wheel, while the N8 uses a more luxurious dense spoke wheel that emphasizes luxury.
Subsequently, on February 17th, official spy photos of the N7 were released by DENZA Motors, which gives us a clearer look at what this car looks like.
The car is currently being tested in Yakeshi, Inner Mongolia, including ice and snow road tests, ice and snow large discs, S-bends, ice and snow climbing tests. At the same time, three-electricity related performances such as charging speed, range, and battery temperature control are also tested in the extremely cold environment.
By means of a screenshot from the video, the car adopts a brand-new style design, with slender and angular headlights on both sides, paired with a raised line on the hood. Meanwhile, the car uses a closed grille design commonly used in current new energy vehicle models, which not only enhances the visual aesthetics but also optimizes the wind resistance coefficient.
According to official statements, the N7 is equipped with a unique new battery temperature control technology that optimizes the low-temperature driving experience of pure electric vehicles, achieves unrestricted battery temperature control and energy supplementation, and solves the current pain points of slow charging and severe range attenuation of new energy vehicles in low temperatures.
Quick Comment:
According to previous official announcements, these two new cars, N7 and N8, will be officially unveiled later this year. DENZA will create 5 series of multiple models using the letters D, E, N, Z, and A, among which D is a series of MPV models, N is a series of SUV models, and DENZA will also create sedan and coupe series.Tencent currently achieves a monthly sales volume of over 6,000 units with only one car, the D9. After the release of the N7/N8, Tencent will further supplement its product line. Breaking the ten-thousand sales mark per month is only a matter of time.
2023 Hundred-People Forum Expert-Media Exchange Conference Held
On February 17th, the 2023 China Electric Vehicle Hundred-People Forum Expert-Media Exchange Conference was held in Beijing, with four special invited experts participating, namely:
- Mr. Chen Qingtai, Chairman of China Electric Vehicle Hundred-People Forum
- Mr. Miao Wei, Vice Chairman of the Economic Commission of the National Committee of the Chinese People’s Political Consultative Conference
- Mr. Ouyang Minggao, an Academician of the Chinese Academy of Sciences, Professor of Tsinghua University, and Vice Chairman of the Hundred-People Forum
- Mr. Dong Yang, Vice Chairman of China Electric Vehicle Hundred-People Forum and Chairman of China Automotive Power Battery Innovation Alliance
The main content of the exchange conference is to answer various questions raised by the media, involving topics such as the subsidy decline of new energy, future development of new energy vehicles, and the changing cost of batteries, among others. The amount of information involved is enormous.
Regarding the subsidy decline of new energy, future development of new energy vehicles, and the restriction of importing chips, Vice Chairman Miao Wei explained:
The decline in subsidies for new energy will indeed have some impact on the sales of new energy vehicles. However, the impact is expected to be no greater than the subsidy decline in 2019. The second half of new energy vehicles involves not only the automotive industry, but also the electronic information industry.
Specifically, it involves hardware, software, and intelligent networked vehicles, and also involves communication companies and internet companies if we are to coordinate car and road, which may also require the transformation of roadside units, and the participation of traffic construction companies. Therefore, the car of the future must be a cross-border integrated product. It is impossible to rely solely on the automotive industry to complete all technology development in the future.
Furthermore, the United States and other countries imposing stricter export restrictions on chip products exported from China will undoubtedly have an adverse impact on China’s semiconductor industry development. However, at the same time, it will cause greater damage to the semiconductor industries and enterprises of those countries and regions. In the long run, it is ultimately the interests of global consumers that will be harmed.New energy vehicles require an average of 1,500 chips per vehicle, which may increase to over 3,000 chips in the future when it reaches the autonomous driving stage. This is far more than the usage of chips in consumer electronics products. The United States’ policy of restricting chips, particularly the export of equipment that produces advanced process chips to China, will only worsen the situation for related enterprises in these countries.
Regarding issues related to power batteries and the development trends of the new energy industry technology, Academician Ouyang Minggao stated that last year’s surge in lithium resource prices was driven by factors such as demand growth, demand amplification effects, delayed supply, and supply shocks caused by the epidemic. However, this year the price of lithium ore will definitely continue to decline, but it will not drop too low, otherwise, battery recycling will become unprofitable.
Currently, the domestic new energy vehicle market has achieved full coverage of models at different price points, significantly improving product competitiveness, and the overseas export market is also starting to open up. China’s power battery industry is also the global leader, and 70% of the world’s power batteries come from China.
In the short term, due to China’s national conditions, the proportion of plug-in hybrid and extended-range electric vehicles in the sales of new energy vehicles will increase since the charging infrastructure is still not yet sound in many areas. However, in the long term, the proportion of pure electric vehicles will definitely surpass that of non-pure electric new energy vehicle models.
In terms of commercial vehicles, battery-swapping heavy-duty trucks are a good development direction for the future. Last year, 25,500 electric heavy-duty trucks were sold, of which nearly half were battery-swapping models. Sales are expected to increase substantially this year.
Regarding the issue of price reduction in the new energy market and the carbon trading market, Chairman Dong Yang stated that the collective price reduction in the new energy market does not mean that the market has become weak. Last year, the growth rate of China’s new energy vehicles was close to 100%, which was high growth within high growth. With the end of the impact of the epidemic, the market will only get better and better. As for the issue of carbon credits market trading, for safety reasons, only the power sector’s carbon credit trading has been opened up for now, but it is not ruled out that it will be opened up to new energy vehicle enterprises in the future.Finally, Chairman Chen Qingtai made a summary of the communication meeting:
In the process of developing a new industry, I think we should have a new understanding of it and we cannot fully understand some new industries with old concepts.
At the beginning of the trial production or in the early stages when your technology maturity is not enough, consumers are not willing to take risks. At this time, consumers have many concerns. The output cannot go up, the cost cannot go down, and if the cost cannot be reduced, the price becomes high. Consumers are even less willing to buy. There will be some phenomena similar to this, which are all normal.
But at this time, new investors will flock in and they will all see opportunities. So what should the government do at this stage? I think it should be liberalized. Because this stage is a trial and error process, with so many innovators and investors willing to use their real money to participate in trial and error, the result will be that more investors will shorten the process of trial and error. The first stage is a wave of influx, then comes the sandstorm, and most of the companies will collapse.
Electric vehicles are a must for China’s auto industry to become stronger. Because we have been chasing after gasoline vehicle technology for 50 years, but we have not succeeded. This time, we are changing course and making a profound change in our country’s competitive position.
It is now transforming from a typical mechanical product into a mechanical product on the basis of electronic and electrical products, internet products, and high-tech electronic information products. It is a walking machine, but it is also a mobile smart terminal defined by software that determines the experience by data. Therefore, the core of the automobile has changed, and its boundaries have also changed, and the level of digital capability will determine the competitiveness of future cars.
Quick Comment:
From the above answers from experts, it can be seen that China has always had a strong vision for the development of new energy vehicles. Even with external obstacles, the development of new energy vehicles in our country is still thriving.
In the field of new energy vehicles, the development of related companies in our country has surpassed many traditional old car manufacturers. The new and old forces in our country are constantly developing better products, making the entire market environment better.
It is believed that in the near future, the penetration rate of new energy vehicles can really reach the milestone of 50% ahead of schedule.### Tesla North America Adjustment, Model Y First Quarter Order Sold Out
Recently, Tesla again adjusted the price of Model 3/Y in North America. The standard version of Model 3 decreased by $500 to $42,990 (approximately RMB 293,000), while the standard and performance versions of Model Y increased by $500, and the current prices are $51,990 (approximately RMB 354,000) and $58,990 (approximately RMB 402,000), respectively.
According to foreign media reports, some states in the United States have also launched tax reduction policies, and middle and low-income people can receive an additional subsidy of $5,000, as well as the federal government’s $7,500 subsidy, which means that buying a Model 3 in that state can be eligible for a maximum subsidy of $15,000 and the purchase price is $27,990 (approximately RMB 191,000).
In addition, with the sharp drop in prices and the new $7,500 federal tax credit for electric vehicles, Tesla’s orders in the United States have skyrocketed. Informed sources revealed that Model Y is currently Tesla’s best-selling model, and the production capacity of Model Y for this quarter has been fully used up. The estimated delivery time has now been changed to April to June 2023.
The new basic version of Model 3 can still be manufactured and delivered this month. The expected delivery time is from February to March of 2023. Despite the sharp price drop since early January, Tesla is still reducing the price of Model 3. The expected update will happen soon, so Tesla is now considered to be facing the problem of selling Model 3 vehicles.
Regarding the domestic market, Tesla raised the price of Model Y on February 10. The latest selling price of the entry-level Model Y rear-wheel drive version is RMB 261,900, which is an increase of RMB 2,000 compared to the previous price of RMB 259,900. A few days later, Tesla also raised the price of the other two versions by the same amount. The price of the long-range version of Model Y increased from RMB 309,900 to RMB 311,900, and the price of the performance version increased from RMB 359,900 to RMB 361,900.
According to the Tesla China official website, the delivery periods of the entry-level and long-range versions of Model Y are expected to be 2-5 weeks, and the delivery period for the high-performance version is 1-4 weeks, which is consistent with the hot selling period in the previous period.
Quick comment:
From Tesla’s recent pricing strategy, it can be seen that both in the North American and Chinese markets, due to consumers’ preference for SUV models, Model Y will be more popular than Model 3 in these two regions. From the previous sales statistics, it can also be seen that Model Y’s sales are indeed much higher than Model 3.
The extended delivery period of Model Y in North America until April also shows that Model Y has reached a state of supply shortage. In China, due to recent negative news about Tesla, it is currently unclear how much impact it will have on domestic sales.
European Parliament Passes Proposal to Stop Sales of Vehicles with Internal Combustion Engines by 2035
On February 14th local time, the European Parliament passed the proposal to stop sales of vehicles with internal combustion engines by 2035 in Strasbourg with 340 votes in favor, 279 votes against, and 21 abstentions.
It is worth mentioning that a survey conducted earlier by foreign media showed that consumers hope to accelerate the electrification transformation of automobiles through legislation, and one-third of global consumers support the ban on gasoline vehicles before 2030 or earlier.
This global survey covered 18,000 respondents in 19 markets including North America, Asia-Pacific, and Europe. The results showed that 34% of consumers support the ban on internal combustion engine vehicles (ICE) before 2030. If the time limit is extended to 2035, this proportion will increase to 47%. The latest survey also shows that three-quarters of respondents believe that society needs products different from the past to improve and protect the climate environment, and thus benefit future generations.
Quick comment:
This ban on the sale of gasoline vehicles enacted in Europe covers not only gasoline vehicles but also plug-in hybrid new energy vehicles and extended-range electric vehicles.，为用户提供了可充可换可调节的补能服务，这将带来更为便捷和高效的用户体验。此次与中石油合作，将加速飞凡换电站的建设，未来将在更多的城市提供充电和换电服务，为用户出行带来更可靠的保障。
同时，飞凡汽车在建设充电和换电服务的同时，也兼顾了不同城市的用车需求。其在全国 23 个城市建立 114 座尊享充电站，并优选了 1,100 多座权益充电站及 56 万多根第三方充电站，进一步满足用户多样化的用车需求。
In Europe, due to the small land area of each country, the driving range of pure electric vehicles is already sufficient for daily travel needs. In Nordic regions such as Norway, despite the cold climate, the penetration rate of pure electric vehicles is still relatively high.
For Europe, which has always attached great importance to controlling carbon emissions, the official passage of the ban on the sale of fossil fuel vehicles undoubtedly marks another major step in environmental protection.
On February 16, RisingAuto Auto signed a contract with PetroChina Sichuan Sales Company, in partnership with the national team in the new energy industry, Jieneng Zhidian, to jointly develop, invest, construct, operate, and manage electric vehicle battery swap stations in eligible regions. The first station will be built in Chengdu, and later expanded to the whole Sichuan province. RisingAuto Auto will become the first cooperation brand, and its mid-to-large-sized luxury pure electric SUV, RisingAuto R7, will be the first model to use the stations. The mid-to-large-sized pure electric sedan, RisingAuto F7, will also provide users with “charge-and-swap” services through a vehicle-to-battery separation commercial model.
So far, two battery swap stations in Anting International Expo Park and Nanxiang Impressions City in Shanghai have been put into use, and more than 40 swap stations in over ten cities, including Beijing, Guangzhou, Shenzhen, Chengdu, Tianjin, Hangzhou, Suzhou, Nanjing, and Zhengzhou, have completed site selection and land surveys and are now being built and put into operation as soon as possible.
RisingAuto Battery Swap Station offers two types of batteries with capacities of 77 kWh and 90 kWh respectively. In addition to battery swapping, RisingAuto has also built 114 exclusive charging stations covering 23 cities across the country, and selected over 1,100 equity charging stations and over 560,000 third-party charging stations.
As a new player in the field of new energy battery swapping, RisingAuto’s main challenge at present is the low coverage density, which is far from being as comprehensive as its earlier competitor, NIO. However, RisingAuto is now making every effort to accelerate the construction of a complete charging and battery-swapping network.
After adopting vehicle-to-battery separation solutions, RisingAuto R7 provides users with convenient and efficient “charge-and-swap” services, which will bring a better user experience. This cooperation with PetroChina will accelerate the construction of RisingAuto’s battery swapping station network, and bring more reliable charging and battery swapping services to users in more cities.
At the same time, RisingAuto Auto has also taken into account the diverse needs of different cities for car use when building charging and battery-swapping services. It has established 114 exclusive charging stations in 23 cities across the country, as well as selecting over 1,100 equity charging stations and over 560,000 third-party charging stations, further meeting the diverse needs of users for car use.The starting price has dropped to less than 200,000 yuan. After the upcoming launch of Feovan F7, Feovan Automotive will become an irreplaceable player in the 200,000 yuan price range.
This article is a translation by ChatGPT of a Chinese report from 42HOW. If you have any questions about it, please email bd@42how.com.