Finance
Chinese EV maker Xpeng shares rise 6% after launching mass-market cars
He Xiaopeng, founder of Chinese EV company Xpeng, said on August 27 that the startup will focus on integrating artificial intelligence in the next decade.
CNBC | Evelyn Cheng
BEIJING – €” Xpeng Shares rose after the Chinese electric car company launched its new mass-market Mona brand on Tuesday, with prices starting at $16,812, well below Tesla‘s Model 3.
The Chinese automaker said orders for the Mona M03 electric coupe surpassed 10,000, just 52 minutes after the car’s formal launch in Beijing.
Xpeng’s U.S.-listed shares closed 6.5% higher in New York trading on Tuesday, while Hong Kong-traded shares rose almost 2% early Wednesday morning.
“With cars costing less than $20,000, China is further cementing its new position as a global center for auto manufacturing,” Michael Dunne, founder and CEO of consultancy Dunne Insights, said on CNBC’s “Squawk Box Asia” on Wednesday.
“China can produce cars cheaper than anyone else in the world,” he said.
Xpeng
Xpeng shares extended gains from Monday after a filing showed the company’s founder and CEO He Xiaopeng purchased at least 1 million shares each of the company’s shares traded in the US and Hong Kong.
According to the filing, the total U.S. purchase was worth nearly $10 million, giving He approximately 18.8% of the company’s total issued share capital.
Xpeng shares have lost more than 45% so far this year.
Tesla shares closed almost 2% lower on Tuesday. Shares of Chinese electric car companies Zeekr And Li Auto rose, while that of Nio closed slightly lower.
– CNBC’s Sheila Chiang contributed to this report.
