If the new car manufacturers were basically on the same starting line five years ago, it can be said that they are now clearly differentiated. It's like a marathon. Those with strong feet have already entered the first echelon of the leading team, and are slightly closer to achieving model mass production and vehicle delivery. What's more, in addition to some brands disappearing overseas, some are still "talking on paper" and are far away from mass production and delivery of vehicles.
Regarding the domestic car manufacturing industry, which has been booming in recent years, although some have withdrawn, they cannot stop the new faces that continue to join. Companies such as Xiaomi and Foxconn have also recently announced car-building news (although Huawei has not officially announced its car-building plans, it has cooperated with multiple car companies to build cars). The participation of these industry giants has made this shuttle bus to electrification possible. While it is crowded, it also makes the current car market more confusing.
The first echelon of car manufacturers successfully landed to build a factory and delivered very busy
As recently as 2020, netizens still jokingly called NIO Li Bin the worst person of the year. However, just one year later, NIO transformed and became a benchmark for everyone to learn from. This change, in addition to NIO's successful financing and mass production, has also resulted in continuous record highs in delivery volume. According to the latest data, NIO delivered a total of 10,628 new cars in September this year. In the first nine months of this year, NIO has achieved sales of 66,395 vehicles.
Judging from the data, it can be said that Weilai has passed the most difficult period. Now the production capacity with monthly sales of over 10,000 yuan can support the normal operation of the company, and there is no need to worry about funds. Therefore, for Li Bin, as long as Weilai Automobile continues towards its established goals, it will only be a matter of time before it reaches the other side of success.
and Weilai are also in the first echelon of brands such as Xpeng and Ideal, and each has its own bright spots in sales performance this year. Among them, Xpeng's sales exceeded 10,000 units in September, and Ideal's sales in September exceeded 7,000 units. The market growth of both has shown steady improvement.
Looking at Wei Xiaoli's car-making history, they all have the experience of solving financial problems through IPO in the United States, and then finding factories in China for processing to solve mass production problems. After achieving a certain amount of delivery, they have also become stronger. Now they either build their own factories or acquire other people's factories, and they have fallen into the usual model of traditional car manufacturing companies.
However, this also shows that they are successfully building cars from the earliest PTT cars to industrial car manufacturing. Wei Xiaoli has no fear of new faces such as Huawei, Xiaomi, and Foxconn joining in with his current strength. He can even combine these cross-border car-making brands to jointly carry out some technological upgrades.
The second-tier car manufacturing industry is now pursuing the NIO model and is seeking an IPO.
Compared with the increased production capacity and delivery volume of NIO, Xpeng, and Ideal, brands such as Nezha, Leapmotor, and WM Motor among the new second-tier car manufacturing forces, Although some mass production and delivery have been achieved, there is still a gap in funding, so for them, where to achieve an IPO is the current top priority.
To put it bluntly, building a car is a very expensive project. Because of financing difficulties, many new car companies that were once prosperous have fallen on the road to success.
Compared with them, Nezha, Lingpao and Weimar are relatively lucky to achieve market sales. In September this year, Nezha sold 7,699 vehicles, Weimar sold 5,005 vehicles, and Leapmotor delivered 4,095 new cars. To achieve partial delivery, if you want to improve, capital investment is a stumbling block.
Regarding the cost of building a car, NIO CEO Li Bin once said that "it takes at least 20 billion to prepare for the car manufacturing industry." In this regard, Weilai has also made a good start. Now listed companies such as Weilai, Xpeng, and Ideal have market values exceeding 10 billion U.S. dollars. For Nezha, Leappo, and Weimar, if they achieve IPO, it will solve their urgent financial needs to a large extent.
However, the road to financing is not smooth sailing. Nezha, Leapao, and Weimar have also achieved mass production and delivery despite multiple rounds of early financing. However, the current market returns are not enough to support the sustainable development of the company, so solving the current funding problem is still a top priority.
It is understood that after the IPO on the Science and Technology Innovation Board encountered obstacles this year, Weimar is considering other IPO channels and does not rule out listing on US or Hong Kong stocks.At the same time, Leapmotor is considering an IPO in Hong Kong to raise at least US$1 billion. In addition, Nezha Automobile was originally preparing for an IPO in 2021. At present, this goal may not be achieved, so let’s put our hope next year.
The situation of third- and fourth-tier brands is not good. Cross-border car manufacturing is accelerating the reshuffle.
Compared with the first- and second-tier brands, which are new forces in car manufacturing, there are some brands that have entered the car manufacturing business for a long time, but have made no achievements so far. Among them, Jia Yueting FF (Faraday Future) is the representative.
To be honest, Jia Yueting’s early conditions and timing on the road to building a car are no worse than those of NIO and Li Bin. However, fate has played a trick on people, and so far Faraday Future is still stuck in telling stories. It has been more than four years since Jia Yueting left the United States. Except for one or two rumors about Jia Yueting and Faraday Future that appear from time to time in the industry, there has been almost no substantial progress in car building.
On October 13 this year, China Court Trial Network showed that Jia Yueting and FF (Faraday Future) were once again involved in a loan contract dispute involving Yingda Asset Management. Coupled with this judicial dispute, Jia Yueting himself has been involved in 96 lawsuits. Can Jia Yueting, who is behind bars, still care about the car-making business?
In addition, Evergrande’s car manufacturing is also a major focus recently. Compared with Evergrande's high-spirited entry into the car-making industry last year, when the Hong Kong stock market value quickly exceeded HK$600 billion, this year's Evergrande looks bleak. First, Hengchi Motors has not yet achieved mass production and delivery. Second, Evergrande Group has been selling related assets everywhere this year. For example, Evergrande’s electric vehicle subsidiary in Sweden has been busy looking for a new owner recently. Various signs indicate that Evergrande’s car manufacturing is hindered and its prospects Not optimistic.
Today, the domestic new energy vehicle market is booming, successfully attracting cross-border participation from many companies such as Huawei, Xiaomi, and Foxconn. These enterprises with strong strength and technology can easily occupy the core competitive heights. In addition to competing with brands such as Weilai, Xpeng, and Ideal, the future of new second- and third-tier car manufacturing brands may not be good with the addition of these new faces.
Huawei and Xiaomi will transform from mobile phone manufacturers to car manufacturers. It can be said that they need money and technology, and they also have no shortage of innovative models. They are really suitable for this role.
For most new car manufacturers, the addition of these heavyweight rivals will not only input technology for the development of the domestic new energy vehicle industry, but also reshuffle the current car market. Therefore, some new car-making brands that have not yet been mass-produced should pay attention. If they do not hurry up to achieve mass production and delivery, I am afraid there will not be many opportunities in the future.
