Leapmotor brand EVs at Chrysler in three or four years? | Ride the Lightning

Good news for those hoping for an EV between $25,000 and $30,000. Most manufacturers seem to be working on this at the moment. There is Honda which announced recently, there is also Toyota and Ford.

Even in the case of VinFast, a new Vietnamese company founded in Quebec and which sells the VF8 and VF9 models, not only will we soon sell the VF6 and VF7 models, but now it is almost certain that we will also sell a model for 25.000 Canadian dollars, VF3!

What? do you know how that decision was made? It’s a funny story. There was a huge gathering of VinFast dealers last summer in Florida. We presented the VF6 and VF7 cars and, to please people, we brought the small VF3 which was to be sold only in Vietnam. Well, during the event, dealers liked the little car so much (several tried it out) that they asked the parent company to sell the VF3 in the US as well.

A wine Fast a dit oui!

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I have a feeling that there is a new enthusiasm for small cars. Electricity makes them more attractive, it seems. But beware! I’m not saying that soon everyone will drive small EVs, but I believe that my intuition is good and that in the near future people will choose their EV more according to their needs. For example, a family car for the whole family and a small car for shopping and short trips.

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But hey, it’s not about VinFast that I want to talk to you about today, but about Stellantis that sells Chrysler, Dodge, Jeep, RAM (and Fiat) products to us.

I believe they also feel that there is a demand not only for cheap, but also small, EVs. Their first step? Buy an electric Fiat 500 from us this summer.

But this is just the beginning of new attacks. Because the 500 electric, even if it will be the cheapest electric in North America, is not cheap ($ 40,000). The big boss of Stellantis, Carlos Tavares, admits that an electric car still costs 40% more to produce than the equivalent petrol.

So what are the challenges for the coming years? It offers a compact EV for $25,000 and a compact EV for $30,000. And if Western manufacturers can’t do it, it’s the Chinese who will. The giant BYD is also considering building a factory in Mexico, which would allow it to avoid tariff restrictions and sell its cars in the United States.

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All this is to tell you that Carlos Tavares, the CEO of Stellantis, has decided to join forces with a Chinese manufacturer that has the wind in its sails, Leapmotor, and acquire a joint venture intended to sell Leapmotor models outside of China.

A new tool will be called Leapmotor International, but will be 51% controlled by Stellantis. In other words, Leapmotor will continue to sell its EVs in its home country, but will go through Stellantis for sales outside of China. New factories will be built. As always, the first to benefit will be the Europeans (who are far superior to us in electrical equipment) and then it will spread to America. An investment of 2.2 billion Canadian dollars.

In short, in three or four years, not only will there be affordable EVs in Chevrolet, Toyota or Tesla dealerships, but there will also be some under the Chrysler Dodge Jeep banner thanks to Leapmotor.

According to Natalie Knight, CFO at Stellantis, the most attractive aspect of this joint venture is that “it will allow us to expand our branding”.

What does this mean in plain English? Stellantis will be able to enter Leapmotor factories, see and understand the Chinese manufacturing process and get inspiration from it for its factories.

Stellantis is currently capable of producing EVs that it sells for between $35 and $45,000 (Jeep Avenger, Peugeot e-208, Fiat 500e). In a few years, thanks to Leapmotor, he can give them $10,000 for less.

History repeats itself: either we allow ourselves to be invaded, or join forces with the enemy! (Chevrolet Sprint, Pontiac Firefly, Dodge Colt, does that mean anything to you*?

*Marriages of convenience between Americans and Japanese.

Sources Leapmotor
1- https://electrek.co/2024/02/21/chinese-evs-in-us-stellantis-ceo-open-to-the-idea-if-governments-block-exports/
2 – https://electrek.co/2023/12/06/stellantis-ceo-says-evs-need-to-be-affordable-but-profitble/
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Sources VF3
1- https://insideevs.com/news/703867/ultra-cheap-vinfast-vf3-confirmed-us/
2-