Role reversal? Now WW carmakers want to partner with China Inc.
Could Volkswagen’s (ETR:VOW) US$700m investment in Xpeng (NYSE:XPEV) simply be the first of a wave of investments by Western automakers in Chinese EV makers? Many analysts think so. VOW spent US$700m to acquire a 4.99% stake in the Chinese EV maker via a capital increase and gets a board seat along with that. VOW’s EV sales fell in H1/23 despite China’s EV sales rising 20% y/y. With Chinese EV makers being responsible for some of the best-selling and most technically-advanced EVs on the roads, the thinking goes that the Western World OEMs, whose EV businesses are lagging, could look to...
Topics
China
EVs
OEMs
Volkswagen
Xpeng