Affordable Rates: Chinese Electric Cars Challenge Western Competitors

Specifically, the average price of electric cars in Europe is $70,462 (VND 1.73 billion), while in the US, it is $71,683 (VND 1.76 billion). In contrast, the average price of electric cars in China is only $32,842 (VND 806.8 million).

If you plan to purchase an electric car in the US, even the most affordable option will still cost you twice as much as a gasoline car. However, in China, the cheapest electric car is 9% more affordable than the cheapest gasoline car.

The data also reveals a clear disparity in the pricing of electric cars between the Western market and China. While electric cars from major US or European brands tend to be quite expensive, making them out of reach for many, in China, almost anyone can afford to buy an electric car.

The main reason for the aforementioned price discrepancy lies in the cost of production. Most electric cars in the West utilize expensive lithium-ion batteries, which provide impressive performance. On the other hand, Chinese car manufacturers use more affordable batteries, resulting in lower costs for electric cars, albeit at the expense of reduced range.

In addition, the Chinese government is actively supporting electric vehicle manufacturers and implementing various incentives to encourage consumers to embrace electric cars.

Moreover, labor costs in the “country of a billion people” are significantly lower compared to Western countries. This also plays a role in the pricing of electric cars.

TH (Tuoitrethudo)