Geely departs from convention with plan for new EV unit: Sources

Geely's management realised the need to develop, market and sell EVs in a different way to conventional cars and so decided to set up a separate compa
...
File photo - A building of the Geely Auto Research Institute is seen in Ningbo, Zhejiang province. (REUTERS)
File photo - A building of the Geely Auto Research Institute is seen in Ningbo, Zhejiang province.

China's Geely plans to set up a firm to explore new approaches to product planning, marketing and sales of electric vehicles (EV), sources said, departing from industry convention whereby EVs are marketed and sold alongside traditional cars.

The plan would be Geely's latest push to operate differently after announcing a flurry of tie-ups last month aimed at turning the automaker into a leading EV contract manufacturer and engineering service provider, in its fight against the incursion of EV leader Tesla Inc.

Also check these Vehicles

Find more Cars
Mg 4 Ev (HT Auto photo)
UPCOMING
BatteryCapacity Icon64kWh Range Icon350 km
₹ 30 - 32 Lakhs
Alert Me When Launched
Tata Sierra Ev (HT Auto photo)
UPCOMING
BatteryCapacity Icon69 kWh Range Icon420 Km
₹ 25 - 30 Lakhs
Alert Me When Launched
Tata Harrier Ev (HT Auto photo)
UPCOMING
BatteryCapacity Icon50 kWh Range Icon400 Km
₹ 22 - 25 Lakhs
Alert Me When Launched
Honda Elevate Ev (HT Auto photo)
UPCOMING
₹ 18 Lakhs
Alert Me When Launched
Tata Punch Ev (HT Auto photo)
BatteryCapacity Icon35 Kwh Range Icon421 km
₹ 10.99 - 15.49 Lakhs
Compare
View Offers
Mg Comet Ev (HT Auto photo)
BatteryCapacity Icon17.3 kWh Range Icon230 km
₹ 7.98 - 9.98 Lakhs
Compare
View Offers

The owner of Volvo Cars and 9.7% of Daimler AG will establish Lingling Technologies this year to manage models based on its open-source EV chassis base, announced in September and dubbed Sustainable Experience Architecture (SEA), three people said.

Also Read : China's Geely sets out to become a force in electric cars

The unit will also take over marketing and sales of SEA-based EVs under Geely's Lynk & Co brand - starting with the Zero model - as well as those under its mass-market Geometry marque, they said, declining to be identified as the plan was private.

Geely declined to comment.

Geely's main listed firm, Geely Automobile Holdings Ltd , sold 1.32 million cars last year. However, it saw sales of electric vehicles, petrol-battery hybrid vehicles and plug-in hybrid vehicles decline as drivers turned to conventional petrol-powered cars as well as rival EVs with longer driving ranges.

Management realised the need to develop, market and sell EVs in a different way to conventional cars and so decided to set up a separate company, the people said.

Also Read : China's Geely to help EV maker Faraday Future go public via SPAC deal: Sources)

The new entity has yet to be registered and its formal name yet to be decided, the people said.

It will conduct research and implement updates for SEA-related technology independent of conventional vehicle divisions, and will source market data differently to develop EV models accordingly, they said.

It will have an independent sales team and will open showrooms in city centres, some with dealers and some self-managed where it will directly control pricing and inventory, two of the people said.

Get insights into Upcoming Cars In India, Electric Vehicles, Upcoming Bikes in India and cutting-edge technology transforming the automotive landscape.

First Published Date: 19 Feb 2021, 10:38 AM IST
NEXT ARTICLE BEGINS

Check Latest Offers

Please provide your details to get Personalized Offers

Choose city
+91 | Choose city
Choose city
Select a dealer

Want to get the best price for your existing car?

Powered by: Spinny Logo
By clicking "View Offers" you Agree to our Terms and Privacy Policy
Dear Name

Please verify your mobile number.

+91 | Choose city
Couldn't verify the OTP.
It's either expired or it's incorrect.