Xpeng is starting to offer a RMB 50,000 discount, or 14.7 percent, on the P7i Wing Edition, as competition heats up in China’s EV space.
(An Xpeng P7i Wing Edition on display at the April 2023 Shanghai auto show. Image credit: CnEVPost)
Xpeng (NYSE: XPEV) is starting to offer a significant discount on the top-trim version of its flagship sedan, the P7i, as the Chinese electric vehicle (EV) market begins 2024 with a new round of price war.
Customers who purchase the P7i Wing Edition between January 24 and February 29 will receive a discount of RMB 50,000 yuan ($6,970), the company announced today.
The P7i Wing Edition is the highest-priced version of the P7i with a starting price of RMB 339,900, which is reduced to RMB 289,900 after the latest offer.
This means that Xpeng is offering a discount of 14.7 percent on the P7i Wing Edition.
In addition, Xpeng said the latest starting price for the full P7i range is RMB 209,800, without elaborating.
The P7i is currently offered in six versions, with official guide prices starting at RMB 223,900, RMB 239,900, RMB 249,900, RMB 269,900, RMB 289,900, and RMB 339,900, respectively.
Xpeng launched the P7i in China on March 10, 2023, an upgraded version of the P7 sedan initially offered in four configurations.
The model was initially available only in lithium ternary battery versions. On November 6, Xpeng rolled out two new versions of the P7i with lower-cost lithium iron phosphate (LFP) battery packs, lowering the starting price by RMB 26,000 yuan.
On December 8, Xpeng began offering up to RMB 26,000 in discounts for all versions of the P7i, though the offer was valid from December 8 to December 17.
Xpeng has not announced since then whether the offers had been renewed.
The EV maker delivered 20,115 vehicles in December, the third consecutive month above the 20,000-unit mark, according to figures it announced on January 1.
China’s EV industry is starting 2024 with a new price war, as the beginning of the year is usually a low point for sales.
Li Auto (NASDAQ: LI) said on January 11 that its 2024 model will be released and deliveries will begin in March, while customers who buy the 2023 model will be able to take advantage of purchase discounts.
Li Auto didn’t mention further details, but local media reported that it offered discounts ranging from RMB 35,000 to RMB 38,000, depending on the model.
On January 12, Tesla (NASDAQ: TSLA) lowered the prices of almost its entire Model 3 and Model Y lineup in China, with the Model 3 dropping as much as nearly 6 percent and the Model Y as much as 3 percent.
On January 17, Nio (NYSE: NIO) announced that it would begin deliveries of its 2,024 models in early March, and that the company had also begun offering discounts on current models.
Nio also didn’t mention the exact amount of the discounts, but local media are reporting that the discounts range from RMB 24,000 to RMB 40,000 yuan.
($1 = RMB 7.1712)