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The emergence of new automotive forces is reshaping the industry, driving a wave of mass production in electric vehicles. As 2017 draws to a close, several new energy vehicle (NEV) manufacturers are preparing to launch their first models, with some already securing production licenses. Companies like Yundu Automobile and Electric Coffee Car have begun listing their products, while the first model from ES8 is set to hit the market on December 16th.
Looking ahead, more companies, including Singularity Vehicles and Weimar Automobiles, are expected to roll out their offerings in the coming year. Some will also seek new energy vehicle production qualifications, signaling a growing trend in the sector. Since March of last year, when the National Development and Reform Commission resumed approvals for NEV production, 15 companies have been granted licenses. The approval process has since paused, but it’s expected to restart with stricter criteria.
While timing of product launches is important, the real challenge lies in whether these vehicles can gain consumer acceptance. Market demand will ultimately decide which brands succeed. As noted by Wang Xiaolin, chairman of Jiangsu Celin Motors, “If not welcomed, the cold water will splash and many will retreat.†He predicts that in the next one or two years, mergers and acquisitions will become common among new forces, as those without sustainable funding struggle to survive.
Zhang Hailiang, CEO of Electric Coffee Car, echoed similar sentiments, stating that not every new entrant will be successful. He emphasized that while capital and innovation are crucial, long-term viability depends on market performance.
Tesla’s challenges highlight the difficulties of scaling up production. Despite its financial strength and high valuation, Tesla faced significant hurdles in manufacturing its Model 3. For Chinese new forces, the question remains: can they replicate such success?
Wang Xiaolin pointed out that the electric vehicle industry faces bottlenecks at both ends—battery supply and infrastructure. These limitations affect user experience and hinder broader adoption. He stressed the importance of integrating hardware, software, and services, noting that true capability lies in a company’s ability to build a complete vehicle.
Despite these challenges, the window for new forces is still open. As Wang said, “We are at a turning point in the automobile industry revolution.†With smart technology and personalized mass production, companies like Celin aim to meet individual consumer needs through intelligent systems.
Jiangsu Celin, though not a pure new force, combines traditional strengths with modern innovation. Acquired by American Selin International Motor Company in 2014, it has invested heavily in production facilities and aims to transition into a premium brand in China. Its recent launch of the Celeron S1 in Los Angeles shows its global ambitions.
As competition intensifies, new forces must focus on quality and sustainability. Shen Hui, founder of Wima Motors, warned against overemphasizing marketing while neglecting core issues like safety and reliability. “User word of mouth matters more than advertising,†he said.
Ultimately, profitability will determine who survives. Wang Xiaolin urged new forces to plan carefully, avoiding the pitfalls of the past. “Don’t just think about financing rounds; focus on building cars that people actually want,†he advised.
In conclusion, the road ahead for new forces is uncertain but full of potential. Learning from past mistakes, embracing collaboration, and focusing on real value will be key to long-term success in this evolving industry.