EV makers are fighting fiercely over the green vehicle maket by sacrificing as many resources as they find from the public and lenders. Economy class drivers are still demanding from EV makers to offer cheaper green cars costing between $10k and $20k.
The manufacturers from the Far East could come out with those cheaper EVs destined for use in cities with available charging stations.
Tesla To Offer Affordable EV
As everyone knows that model S has been a crucial model to compete with Mercedes Benz S Class in the price war. Top Tesla’s management actually lowered the price of that model. Then, Model 3 with autonomous driving surprised many customers with a minimum $30k price tag. As the battery making cost decreases $20k car for Tesla is already possible to manufacture but the number of plants to handle that is limited.
Kandi Thinks Big Too
While Tesla has been booming in social sites with rumors, leaks, and plans, the Chinese EV maker has already come out with affordable models that have price tags from $8k to $20k but with much lower battery capacities as compared to Tesla. That standard is well satisfactory for the Asian market full of big cities.
Tesla Has a lot of Funds
If Tesla wants to be like Volkswagen Group with countless well-established brands, acquiring Kandi Motors opens a wide door to fill the gap of economy class EVs. Multibillion EV maker, Tesla has no challenges in getting money to buy any brand out in the crowded tech market.
After getting Kandi, rebranding it to Tesla is also a nice move to strengthen the brand authority. Being like Toyota in the fast-growing EV market can bring a lot of benefits to market penetration.
Writing for business and finance publishers has become his passion over the last decades after he completed a master’s degree in Financial Management. Sharing some opinions and forecasts to thousands of readers is a routine job for him but he never promises to invest in one stock.