Chinese manufacturers, faced with a loss of competitive advantage in France with the new bonus, are in the process of adapting: they are lowering the prices of their electric cars. BYD has lowered its prices by -15% from a competitor to the Renault Scénic E-Tech and Peugeot e-3008. The BYD Atto 3.
Chinese car manufacturers, like MG, BYD and Geely, have just taken a big hit in Europe.
The ecological bonus, financial assistance for the purchase of electric cars, is no longer accessible to them. This is because of a change in rules which now takes into account the environmental impact of cars. Some say that it is for the environment, others that it is to protect French industry, but in any case, it changes the situation for the Chinese compared to brands that produce in Europe.
But the Chinese have an ace up their sleeve. A Numerama study showed that they could significantly lower their prices. What they are doing.
After the MG4, it’s the BYD Atto 3 which drops in price
MG has already moved by offsetting the ecological bonus on their MG4 model. Today, BYD is following suit by slashing the prices of their electric SUV, the Atto 3, to compete with models like the Renault Scénic E-Tech and the Peugeot e-3008.
Let’s talk numbers: the Atto 3, Comfort version, was 44,190 euros, now it is 37,990 euros. This makes a nice saving of €6,200, a reduction of 14%. For the Design version, it is a reduction from 46,690 euros to 39,990 euros, or 6,700 euros less or 14.35% discount. Incidentally, the entry-level model has disappeared from the catalog.
This movement clearly shows that Chinese manufacturers are ready to adapt and play with prices to stay in the race, despite the new rules of the game imposed by the French government. This strategy is also visible in Germany where the bonus has been eliminated for everyone.