As Polestar falters, this Geely-backed EV company is one to watch. Plus: Hyundai’s Genesis needs hybrids to grow.
It’s got a sport sedan. It’s got a crossover. It’s even got a robotaxi you’ll soon see on U.S. roads. So not only does China’s Zeekr brand—part of the Geely Group conglomerate that also owns Volvo, Lotus and more—feel like one of the most direct shots at Tesla yet, but more and more, it feels like what Geely actually wanted to do with Polestar.
It’s a slow news day on the mobility and tech front ahead of Labor Day in the U.S., but Critical Materials still has you covered. Also on tap this Friday: why Genesis needs hybrids more than other brands do right now, and why it’s due to premier the newest and best of what the Hyundai Motor Group is cooking up.
30%: Zeekr Readies 7X Crossover For Europe, Has Big Plans For The Rest Of The World
We like to try to be ahead of the curve here at InsideEVs. And all year, our man Kevin Williams has been telling you that Geely’s Zeekr brand is one to watch. Not long after he was pretty impressed by its offerings in China, Zeekr even got listed on the New York Stock Exchange and inked a deal with Google’s Waymo to supply its next-generation robotaxis even on American roads.
Clearly, Geely has big plans for Zeekr. And I’d argue that its latest debut, the Zeekr 7X crossover, is the biggest deal yet. Here’s CNBC on what to expect:
Electric vehicle company Zeekr announced Friday that it would launch its first SUV in China next month, undercutting Tesla’s Model Y pricing in the country by over $1,400.
The Zeekr 7X, priced at 239,900 yuan ($33, 829), is the Chinese EV maker’s first midsize electric SUV and will be launched on Sept. 20.
It’s the latest Chinese EV to take on Tesla’s Model Y, which has also been challenged by Xpeng and Nio. Zeekr plans to deliver the 7X globally by the end of this year. It said the launch was targeted at global markets but did not specify the regions.
The five-seater Zeekr 7X SUV comes with two battery options that allow users to drive between 605 kilometers and 780 kilometers (about 376 to 485 miles) on a single charge. Developed by Zeekr’s engineers, the lithium-ion phosphate batteries take 10.5 minutes to charge by 75%, the company said.
Zeekr has said in the past that its latest batteries offer the fastest charge in the world, beating that of Tesla’s.
That story says global markets haven’t been announced, but it’s basically a lock to enter Europe in 2025—where it’s also considering local production to duck tariffs.
So between the huge lineup, the advanced tech, the robotaxi, the clear aim at Western buyers and Tesla’s dominance, this whole playbook feels like what Geely aimed to do a decade ago with Polestar—but ultimately
As our Rob Stumpf wrote yesterday, much of Polestar merely cannibalized designs from Volvo, leaving the latter brand pretty devoid of EVs. And Polestar’s strategy got hammered by the increase in protective anti-China tariffs all over the world.
So Zeekr could be Polestar 2.0, with the fresh, new product that brand never had, and a better understanding of the modern rules of engagement around EVs from China. Tariffs are what they are, but if I had to put money on it, I’d say we’ll see them for sale in America someday.
60%: Polestar’s Problems Add Up
I don’t mean all of this to dog on Polestar. I actually like Polestar. When shopping for an EV earlier this summer, a Polestar 2 was our runner-up choice; the Polestar 3 crossover looks extremely promising; and I have this weird affinity for the Polestar 4 after sitting in one in New York. I kind of want one someday.
But that can only happen if the brand survives long enough. Right now, things look dark. It replaced its founding CEO with an industry veteran this week, albeit one with more experience running brands on the decline than on the rise. And though sales were up more than 80% this past quarter, the company’s results continue to be not great. From Bloomberg:
The Swedish manufacturer reported a $242.3 million operating loss for the second quarter, although this was slightly narrower than the corresponding three-month period last year. Revenue dropped 17% to $574.9 million due to “lower global volumes and higher discounts,” Polestar said Thursday.
Once a vanguard of the electric-car movement, Polestar is grappling with high costs and increasing competition from new players, including from China. At the same time, consumer demand for EVs is waning amid high inflation and the end of subsidies in key markets, forcing some carmakers to offer discounts. Polestar’s share price has plunged by more than 90% since spinning out of Volvo Car AB two years ago.
Polestar expects more growth soon from the 3 and 4 going on sale. Can those two models reverse its fortunes?
90%: Genesis Eyes Growth, Hybrids, New Hyundai EV Platform
Hyundai gave us a lot of future-facing news this week, including plans for more hybrids and an extended-range electric vehicle (EREV) platform. But I was surprised at the lack of Genesis-specific announcements during that event in Seoul; often, automakers use investor-facing presentations to really hype up their luxury brands.
And the Korean giant clearly has big plans for Genesis beyond “fancy Hyundais.” That includes the Genesis GV90, previewed by the Neolun concept seen above, and now more hybrid models too as it aims to accelerate its growth and compete more evenly with big names like Lexus and Mercedes-Benz.
Consumer demand for conventional gasoline-electric hybrids has increased this year as EVs remain unaffordable to most mainstream consumers, and the build-out of the EV charging infrastructure has been slow going.
“Customers who live in Los Angeles or the smile states, where there’s more charging infrastructure, are embracing electric vehicles. But if they’re in the middle of the country, for example, a hybrid is more their speed,” Ash Corson, director of product planning for Genesis, told Automotive News.
Corson’s group has been working closely with dealers so the brand can bring the “the right product at the right time in the right place.”
Adding hybrids is part of that plan, he said.
[…] Genesis’ current global goal is to eliminate sales of new gasoline-powered models by 2025 on the path to becoming all electric by 2030.
A Genesis spokesperson said they are not making changes to its commitments “for the time being.”
One analyst quoted in that story speculates that perhaps the next evolution of Hyundai’s E-GMP platform could accommodate hybrid power as well. Maybe adding a gas engine to that could be the EREV that Hyundai is planning? I expect we’ll learn more next year.
100%: Would You Buy A Zeekr?
That Zeekr 7X looks like a real contender. So does this brand have the juice, and would you consider one if it was available in your market
