China’s Xpeng hikes price of cars following Tesla and other EV makers as raw material costs rise

China’s Xpeng hikes price of cars following Tesla and other EV makers as raw material costs rise


A Xpeng P7 electric car is on display during the 18th Guangzhou International Automobile Exhibition at China Import and Export Fair Complex on November 20, 2020 in Guangzhou, Guangdong Province of China.

VCG | Visual China Group | Getty Images

Chinese electric vehicle maker Xpeng will hike the price of its cars citing a sharp rise in the cost of raw materials.

Xpeng said from Mar. 21, price increases on its vehicles will range from 10,100 Chinese yuan ($1,587) to 20,000 yuan before subsidies. The company did not give a breakdown of the specific price rises for each of its models.

Xpeng currently sells the flagship P7 sedan, the P5 sedan and the G3 sports utility vehicle. It is gearing up to launch the G9 SUV later this year.

Electric carmakers have been struggling with rising costs of raw materials such as nickel, which is a key component of batteries. Other components such as semiconductors continue to be in short supply, providing another headwind for Xpeng and its rivals such as Nio.

Xpeng is not the first electric vehicle company to raise prices. Over the last week, Tesla has done several price hikes across various models of its cars.

Earlier this week, Warren Buffett-backed automaker BYD also raised the prices of its new energy vehicles, which includes electric cars.



Source

China urges halt to auto industry’s bruising price wars
World

China urges halt to auto industry’s bruising price wars

People work on the production line of auto parts at a carmaker in Qingdao in east China’s Shandong province Saturday, March 1, 2025. Yu Fangping | Feature China | Future Publishing | Getty Images China called on Saturday for its automotive industry to halt brutal price wars, as a threat to the sector’s health and […]

Read More
Pentagon chief says ready to ‘fight and win’ against China, urges Asian allies to boost defense spending
World

Pentagon chief says ready to ‘fight and win’ against China, urges Asian allies to boost defense spending

US Secretary of Defense Pete Hegseth (C) gestures beside Malaysia’s Defence Minister Mohamed Khaled Nordin (R) and other defence officials from the Association of Southeast Asian Nations (ASEAN) during a multilateral meeting ahead of the Shangri-La Dialogue Summit in Singapore on May 30, 2025. Mohd Rasfan | Afp | Getty Images SINGAPORE — Pentagon chief […]

Read More
China’s manufacturing activity contracts amid trade tensions
World

China’s manufacturing activity contracts amid trade tensions

A worker works in a workshop of a textile products manufacturing enterprise in Qingzhou Economic Development Zone in Qingzhou City, Shandong Province, China, on May 10, 2025. Costfoto | Nurphoto | Getty Images China’s manufacturing activity contracted for a second month in May, an official survey showed on Saturday, raising expectations for more stimulus to […]

Read More