EU carmakers bet on nostalgia to fight Chinese EVs

{"text":[[{"start":7.48,"text":"European carmakers are betting on affordable electric revivals of retro models to drive sales as they seek to fight off a second wave of Chinese brands flooding into their home markets."}],[{"start":20.5,"text":"Stellantis-owned Citroën is reviving its classic postwar-era 2CV with plans to roll out an electric version costing €15,000 in 2028, while Volkswagen’s new ID.Polo electric hatchback, priced at €25,000, was inspired by designs of its decades-old bestseller Golf."}],[{"start":39.76,"text":"The 2CV’s return, unveiled at an industry showcase in Paris, follows Renault’s successful electric revival of classic small cars, the R5 and Twingo, and comes as European carmakers seek to capitalise on the nostalgia and heritage that their newer Chinese rivals lack to win over consumers."}],[{"start":56.98,"text":"“[The 2CV] has a huge potential,” said Antonio Filosa, chief executive of Stellantis, which also owns Peugeot and Fiat, adding that it would be built on a new all-electric vehicle platform that would bring down costs. “It will be 100 per cent made in Europe.”"}],[{"start":null,"text":"

"}],[{"start":72.32,"text":"The quirky canvas-topped 2CV attracted some of the largest crowds at the Paris show. But Chinese carmakers were an increasingly dominant presence, accounting for about a third of exhibitors for the first time."}],[{"start":84.34,"text":"Newer technology-focused brands such as Li Auto and Aito joined BYD and more established rivals in courting European buyers, underlining the growing pressure in the region’s stagnating car market from Chinese groups, who are increasingly shifting to high-end models to rival BMW and Porsche."}],[{"start":101.48,"text":"AlixPartners estimates that Chinese brands will account for 16 per cent of European sales by 2030, compared with 12 per cent currently, while western manufacturers are struggling with higher costs, factory closures and job losses in Europe."}],[{"start":113.82,"text":"A Chinese-branded EV made in China costs about $20,000, compared with $31,000 for a European equivalent due mainly to cheaper batteries and materials costs, the consultancy said. Those factors and stagnant demand have left European car plants running at less than 60 per cent of capacity and led to tens of thousands of job cuts across the bloc."}],[{"start":136,"text":"Faced with new restrictions for hybrid exports and other protectionist measures to incentivise car production in the EU, Changan and other Chinese manufacturers have set out plans to build their hybrids and EVs using European supply chains."}],[{"start":null,"text":""}],[{"start":150.44,"text":"Zhao Fei, general manager at Changan group, said the state-owned carmaker was in discussions with several partners in Europe to locally produce its first vehicle by the middle of next year. The group is aiming to produce 180,000 units in Europe by 2028 and almost double that number within two years."}],[{"start":168.56,"text":"“We want to build our long-term localisation capability . . . across the full industrial chain,” Zhao said. The group wants to become one of the world’s largest carmakers by 2030 with 1.5mn vehicles in overseas sales."}],[{"start":181.96,"text":"Chery, which owns the Jaecoo and Omoda brands, will soon start producing vehicles in Spain. China’s biggest car exporter is also negotiating with Nissan to share production at the Japanese group’s Sunderland plant in the UK. The group said it was aiming to replicate the quality of Toyota — the world’s biggest carmaker — by hiring retired engineers from the company."}],[{"start":202.32,"text":"“I think we need to work in the same environment . . . to be able to compete with the local automobile industry,” Chery chair Yin Tongyue said."}],[{"start":210.16,"text":"The CEOs of Stellantis, Volkswagen and Renault have urgently called for new “Made in Europe” rules to be finalised, claiming they stand a better chance of competing if their Chinese rivals are assembling and sourcing cars under the same production constraints. The new rules are part of broader legislation meant to boost EU industry due to be phased in over the next three years."}],[{"start":null,"text":""}],[{"start":230.6,"text":"Meanwhile European carmakers have been trying to make cars more cheaply and quickly. Renault has dramatically cut costs in recent years partly by using Chinese components and engineers — shaking up its supply chains and reducing car development times to under two years. Chief executive François Provost said he believed the French carmaker could be “more competitive than a Chinese manufacturer producing cars in Europe”."}],[{"start":253,"text":"However the group, which presented an electric concept version of its Renault Espace people carrier at the Paris show, is also aiming to win over consumers on other grounds than price. “What I say . . . is don’t look at the purchase price, [look at] who will look after the maintenance for the next 10 years? Who will ensure the spare part will get there in 24 hours?” Provost said."}],[{"start":276.76,"text":"The carmaker was not pursuing “revivals for the sake of revivals” with electric reinventions of classic models, head of product Bruno Vanel said, adding the company wanted to emphasise its history and DNA. “People associate these cars [with] a whole world.”"}],[{"start":293.36,"text":"European car executives have often claimed that a lack of spare parts availability and an insufficient aftersales network could hold back growth for Chinese carmakers. But BYD said it already had 15 warehouses covering about 150,000 square metres for its European parts supply network."}],[{"start":311.8,"text":"The EV maker has also aggressively poached talent from Tesla, Toyota and German rivals, appointing former Alfa Romeo and Audi designer Wolfgang Egger as its design director nearly a decade ago."}],[{"start":323.56,"text":"“We have a design centre in Milan. Our head of styling is a German designer who grew up in Italy, so we are as European as espresso,” said Alfredo Altavilla, the former boss of ITA Airways who serves as special adviser for BYD’s European operations."}],[{"start":344.81,"text":""}]],"url":"https://audio.ftcn.net.cn/album/a_1792043154_7934.mp3"}