Chinese parent company of new Saab loses 10 million euros per electric car
You might think that things can't go well for much longer
We boarded the NEVS Emily GT earlier this year with many high expectations. And guess what? Our prayers have been answered. The 430 hp GT with a range of 965 kilometers is great on the road. Also nice: it was built by former Saab employees. Yet the fate of the Emily GT does not seem rosy. The Chinese parent company of the new Saab loses 10 million euros on every EV.
Bloomberg dug into the figures of the parent company, China Evergrande New Energy Vehicle Group. In 2019, the company shouted from the rooftops that it wanted to compete with Tesla. And things went well between 2020 and 2021. Thanks to many investments, the group had a greater value than Ford, but at the beginning of 2021 things went wrong. The value dropped from more than $75 billion to less than $5 billion in a few months.
Chinese parent company of the new Saab is making a lot of losses
Evergrande registered 1,300 cars and lost $14.4 billion in its short existence. The loss amounted to more than 13.6 billion euros. As a result, NEVS's parent company lost approximately 10.4 million euros on each electric car. Oof. And Evergrande is not the only Chinese EV brand that is in dire straits. Of the 91 active EV builders from China, a third make fewer than 500 cars per quarter. By comparison, Tesla builds 74,000 per month… at its Shanghai factory.