[The Epoch Times, March 13, 2023](Epoch Times reporter Xia Song interviewed and reported) At the beginning of 2023, China’s new energy vehicle price war started. In March, traditional fuel vehicles joined the battle, and more than 30 brands of vehicles have cut prices. It appears on the Internet that the BMW 1 Series 12iM sports version is less than 130,000 yuan (RMB, the same below), and Mercedes-Benz, Audi, Cadillac, and Volvo have also begun to cut prices.
Car prices dropped sharply, high-end joint venture cars joined
According to a report by the official media “China News Network” today (13th), topics such as “Has the era of comprehensive car price reductions come?” The price cuts of luxury brand cars such as “Mercedes-Benz C-class discount of 110,000 yuan, the bare car price of Audi A6 is about to drop to 220,000 yuan, and the price of BMW 3 Series will be in the early 170,000 yuan after discounts” have attracted attention.
A number of car dealers in Beijing, including Mercedes-Benz, BMW and Audi, told China News Network’s financial channel “China News Finance” that there are indeed discounts for new cars, but they are not as wide as those reported online.
According to reports, in terms of fuel vehicles, the discounts for Mercedes-Benz C-class and E-class models are about 60,000 to 70,000 yuan; BMW 3 series and 5 series are about 10 points; Audi A4, A6, Q5 and other models are also discounted at 6 10,000 to 70,000 yuan. The discounts for electric vehicles of the above-mentioned brands are even greater.
While first-tier brands launched price reduction activities, second-tier luxury brands have joined the price war one after another. The sales staff of Cadillac, Volvo and other brands told Zhongxin Finance and Economics that there are generally discounts for new cars at present, and the discount rate is similar to that of first-line luxury brands, depending on the inventory situation.
In China, Mercedes-Benz, BMW and Audi are recognized first-tier luxury brands. Second-tier luxury brands generally refer to Cadillac, Lexus, Volvo, etc., followed by Jaguar, Land Rover, Lincoln, Infiniti, and Acura.
A salesperson told Zhongxin Finance, “We are in a hurry to sell and we have to complete the task. The market is a bit weak now, and the progress of the sales task has not kept up. The weaker the market, the cheaper we can sell here.”
The joint venture brand has always been highly sought after by Chinese consumers, and its prices have always been very firm. The recent price cuts have been unprecedented. Lu media “Securities Times” reported on March 9 that industry insiders said that joint venture brands have never been so “rolled”.
You can buy a BMW with 130,000 yuan
According to the “Securities Times” report, recently, a BMW limited-time car purchase poster has been widely circulated. The poster shows that the BMW 1 Series 12iM sports version with an original price of 200,000 yuan has a maximum discount of more than 70,000 yuan, and the preferential price is as low as 129,000 yuan.
There are also some models that have directly reduced their prices by nearly 100,000 yuan. The X1 sDrive 20Li fashion model has a factory guide price of 279,800 yuan, and the preferential price is as low as 176,000 yuan. The iX3 leading model with an original price of 405,000 yuan is as low as 316,000 yuan after the discount.
The poster is the information of Quanzhou Fubao, and the activity time is from March 11th to 12th.
According to the report, several BMW dealers said that the current dealer discount for BMW i3 is between 80,000 and 90,000 yuan. However, according to the customer’s personal loan and car use, the highest discount can indeed reach about 100,000 yuan.
Preferential subsidies for BMW models also started in Fujian. Previously, news of a big price cut for all BMW series has been reported on the Internet. A blogger with the online name “8888 Wheels Car” said that the BMW i3 has launched a substantial subsidy discount in some provinces and cities.
The discounts were too high, reports said, which could not be confirmed. The official guide price of BMW i3 is 353,900 to 413,900 yuan. If the minimum price is 120,000 yuan, the subsidy rate is as high as 230,000 yuan, and the price reduction ratio is as high as 70%.
Reasons for the price cuts of more than 30 brands of cars: the economic downturn and the population drop sharply
The “Securities Times” said that the auto industry generally believes that the beginning of 2023 will be the moment of real life and death. After Tesla and BYD started to cut prices, other car companies that rushed to fight “blood flowed into the river.”
Car companies, dealers and local governments have joined forces to find ways to cut prices and promote sales. The subsidy intensity is unprecedented, and the preferential forms are even more diversified.
According to the report, according to incomplete statistics, more than 30 auto brands have directly or indirectly participated in this price war, and some models even have a discount of more than 100,000 yuan.
Current affairs commentator Li Linyi told The Epoch Times today that gasoline vehicles in mainland China are now competing to cut prices, and the price cuts are so large, which is relatively rare, and the mainland media mostly focus on reporting the phenomenon.
He said: “The fundamental reason is that on the one hand, the economy is not good, and on the other hand, China’s population has actually dropped sharply during the epidemic, which has caused an oversupply, so it is difficult to sell cars now.”
Li Linyi said that it is not only a car, but also a house. The statistics of the CCP admit that there are now 600 million houses in the mainland. In the case of a sharp decrease in the population, the house will of course not be sold. In the future, not only fuel vehicles, but also new energy vehicles will be difficult to sell, which is also a reason.
Responsible Editor: Sun Yun#
