SINGAPORE: XPENG, a Chinese electric vehicle (EV) brand backed up by German automaker Volkswagen, is gearing up for its launch in Singapore, set to hit the roads by the second half of 2024.
The Straits Times reported that insiders familiar with the negotiations disclosed that Chinese EV XPENG has recently appointed Premium Automobiles as its distributor for the Singapore market.
This move marks Premium’s second venture into representing a Chinese EV brand, following their collaboration with Zeekr from Geely.
The first XPENG to hit Singapore roads is expected to be the G6, a sport utility vehicle comparable in size to the Tesla Model Y. Expectations are high for this model, with a single motor version projected to cover an impressive 580 kilometres on a single charge.
However, according to The Straits Times, Premium Automobiles only confirmed the launch of Zeekr by the third quarter of 2024 remains on track. XPENG’s entrance into Singapore arrives amidst a rising trend of EV adoption, with electric vehicles constituting 18.1% of total car registrations in 2023, a significant surge from previous years.
XPENG’s global expansion strategy includes introducing right-hand drive models by the second half of 2024, as reported by the South China Morning Post on March 11.
Volkswagen’s 5% stake in the Guangzhou-based company underscores the collaboration between the two, which aims to develop two VW-branded models tailored for the Chinese market.
Renowned automotive consultant Say Kwee Neng highlighted XPENG as one of three leading Chinese EV brands, alongside Nio and Li Auto, acclaimed for their technological prowess, design, and sophistication.
He said, “There is a lot of hype behind these three brands, but ultimately, it will be down to the representative in Singapore to bring in the right model mix and be relevant.
We have already seen how BYD has broken down walls to make Chinese EVs desirable to consumers here.”
Mr Say also said that Chinese EV manufacturers are accelerating their entry into the Singaporean market to enhance their worldwide reputation while getting into European markets.
According to automotive analysts, the growth of EV sales in China is projected to slow down in 2024 despite efforts by domestic EV manufacturers and Tesla to stimulate demand through price reductions.
This diminished demand is prompting Chinese EV companies to seek overseas sales opportunities, as certain industry insiders suggested.
In 2023, the Chinese EV brand BYD was the fourth-best-selling brand in Singapore, outperforming established names like Nissan, Hyundai, and even Tesla.
The impending arrival of XPENG is part of a broader wave of Chinese car brands entering the Singaporean market, including GAC Aion, Smart, Chery, Seres, and Neta, signalling a significant expansion compared to the four Chinese brands present in 2023. /TISG
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