Chery Boosts EV Prices Amidst Policy Changes and Rising Costs
Chery, a prominent Chinese automaker, has announced a significant price increase for its popular electric vehicle (EV) models, the Little Ant and QQ Ice Cream series. The price hike, ranging from RMB 3,000 to RMB 7,100 ($1,120), is Chery's response to national policy adjustments and soaring raw material prices, particularly batteries and chips.
The price increase, effective immediately, is aimed at maintaining the quality of Chery's products and services. Consumers who have already paid a deposit and signed up for the models are unaffected by the price change. The new prices for these budget-friendly models now range from RMB 29,900 to RMB 81,900, with some models experiencing a close to 10 percent increase.
The Little Ant, a minicar, is powered by a permanent magnet synchronous motor and offers two battery pack options, 30.6kWh and 40.6kWh, providing an NEDC range of 301km and 408km respectively. Meanwhile, the QQ Ice Cream model offers two range options, 120km and 170km, with a maximum power of 20 kW and a peak torque of 85 Nm.
Chery's decision to increase prices follows a trend in the industry, with Great Wall Motor's electric vehicle brand Ora also pausing orders for its lower-priced Black Cat and White Cat models due to significant losses. The price increase is also a result of the Chinese government reducing purchase subsidies for new energy vehicles (NEVs) by 30 percent this year compared to 2021, with no subsidies planned for next year.
Chery's price increase for its Little Ant and QQ Ice Cream series is a strategic move to navigate the challenges posed by national policy adjustments and rising raw material costs. Despite the increase, these models remain competitive in the budget-friendly EV segment, offering consumers a range of options to suit their needs.
