Hozon EV Launches Neta Model Amid Price Competition and Overseas Expansion

Hozon EV Launches Neta S Wagons in Response to Price Competition

Hozon New Energy Automobile has unveiled the new Neta S, a station wagon-style electric vehicle (EV) with an extended-range option that offers a remarkable range of up to 1,200 km. Positioned for a Hong Kong IPO, the vehicle starts at 159,900 yuan (approximately US$22,447), with deliveries expected to commence in September. The Neta S is positioned to compete against Geely's Zeekr 001, priced at 259,000 yuan for the base version.

Strategic Decisions Amid Domestic and Global Competition

CEO Zhang Yong emphasized the importance of using advanced materials and technologies, responding to customer demands for performance and experience. The extended-range version is priced between 169,900 and 179,900 yuan and incorporates a small internal-combustion engine to supplement battery power. Hozon’s strategy avoids drastic price cuts seen in the competitive Chinese market and instead focuses on raising value through innovation.

Market Performance and Future Prospects

• Hozon delivered 11,015 vehicles in July, up 9.7% year-on-year.
• Year-to-date, 64,785 units were delivered, although this is a 10.6% decline compared to the previous year.
• The company is actively expanding to international markets, having initiated assembly operations in Thailand.

Hozon's competitive stance against domestic players like BYD suggests a focus on long-term growth through intelligent vehicle solutions. Industry analysts project an IPO size of around US$1 billion, underscoring Hozon's ambitions in both domestic and international marketplaces.