Arjun Neil Alim, Patricia Nilsson, and Peter Campbell of the Financial Times report that German carmakers are looking at sharing costs to counter the wave of cheaper cars produced in China. He writes:
Volkswagen is considering partnering with other carmakers to produce cheaper electric vehicles to help it compete with a coming wave of lower-cost rivals from China. The world’s second-largest carmaker plans to decide later this year how to produce an EV costing less than €25,000, chief executive Oliver Blume told a press conference in Berlin. Chief financial officer Arno Antlitz said it was “so difficult to make money in such a segment”. VW was “considering co-operation” that would share costs by “hoisting the platform on more shoulders”, he said.
The world’s second-largest carmaker plans to decide later this year how to produce an EV costing less than €25,000, chief executive Oliver Blume told a press conference in Berlin.
Chief financial officer Arno Antlitz said it was “so difficult to make money in such a segment”. VW was “considering co-operation” that would share costs by “hoisting the platform on more shoulders”, he said. […]
“Higher tariffs imposed by the EU on Chinese imports may also give the industry breathing room, however the industry is likely to remain reliant on the strength of its brands to offset higher prices [than] Chinese models,” he added.
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