The new energy vehicles produced by SAIC have attracted fans worldwide

A reporter from China Business Daily learned from SAIC that SAIC sold more than 20,000 new energy vehicles in Europe in May, including 8,000 in the UK. Wang Xiaoqiu recently said that SAIC is expected to be second only to Tesla in the number of new energy vehicles exported to Europe in 2023, becoming the runner-up in sales of new energy vehicles in Europe. 

As its new energy vehicles continue to sell well in overseas markets such as Europe, SAIC's profits are also increasing accordingly. Wang Xiaoqiu said recently: "The price of the MG4 new energy model in China is about 140,000 yuan, the price in the UK is about 210,000 yuan, and the price in Germany is about 180,000 yuan. The gross profit of SAIC's new energy vehicles sold in Europe is Higher."

Behind the sales of MG, new energy vehicles overseas are the true reflection of SAIC Motor's aim at new opportunities for Chinese car companies to go overseas and strive to seize the global market. According to data from the China Association of Automobile Manufacturers, in the first five months of this year, SAIC Motor has An export volume of 396,000 vehicles and ranks first in the industry. In 2022, its sales in overseas markets will reach 1.017 million vehicles, a year-on-year increase of 45.9%, ranking first among domestic auto companies for seven consecutive years.

"Overseas sales continue to be hot, and exports are boundless." Huaxi Securities analysts recently said that SAIC's new energy vehicles "have obvious advantages in terms of product strength compared with mainstream European competitors." At the same time, they believe that SAIC's "sea sales are expected to rise steadily."

Overseas sales exceeded 1.2 million during the year.

"China's new energy vehicles going overseas to Europe is an important step for China's auto industry to go global, and it is also an inevitable choice for developing China's new energy vehicle industry." Norbert Meyring, partner in charge of KPMG China's automotive and industrial manufacturing industry, said recently express.

As China's new energy vehicles accelerate towards overseas markets such as Europe, the MG brand, which sells well in European markets such as Britain, Germany, and France, has attracted market attention and has won the "China's single-brand overseas sales champion."

According to information from SAIC Motor, in May this year, the MG brand continued to perform well in the European market, with monthly sales of more than 20,000 vehicles, a year-on-year increase of 170%, ranking first in the sales of new cars in the UK, Germany, France, Italy, Spain, Sweden, and other countries. Top the leaderboards. Wang Xiaoqiu said: "In Italy and other European countries, MG has become the number one market segment."

What attracts the outside world's attention is why MG's new energy vehicles continue to sell well in overseas markets such as Europe.
In the eyes of industry insiders, the key to the success of the MG brand in overseas markets such as Europe lies in its insistence on making "global cars" based on global standards. Take the MG4 EV model (MG MULAN in China) as an example. The automotive industry's first global car".

"MG4 EV is SAIC's first global car, so we set the Euro NCAP high-star development goal when the project was established." Cui Meng, Safety Engineering and Virtual Technology Department of SAIC R&D Institute, once said in an interview, "At the beginning of the development, SAIC International and our R&D Institute conducted relevant research. We found that Euro NCAP's star rating greatly impacts sales in the European market." He also emphasized: "To support the sales of MG4 EV in the global market, we will Obtain a high star rating in the European crash test is our absolute goal, and currently MG 4 has received five stars in the latest Euro NCAP rating." MG, which adheres to high standards to build "global cars," is also located in Europe, the birthplace of the world's automobile industry. It has been widely recognized. For example, MG4 EV won the "Compact Electric Car of the Year" award from the British traditional automotive media "What Car?" and was also included in the latest list of the top ten models of the year released by the Swedish car magazine "teknikensvarld."

"European consumers still recognize MG's history. This is our advantage. We should seize this advantage and stabilize MG's market in Europe." The relevant person in charge of SAIC Europe said in an interview recently. , "European users pay great attention to service and have certain requirements for pre-sales and after-sales experience. Sometimes even if there is a problem with the product, the after-sales staff will give a reasonable after-sales plan with a friendly and caring attitude, which many consumers can accept. So after-sales quality is very important. Of course, in the long run, we still have to start from the product quality perspective and keep the first gate well." The reporter noticed that as of 2022, the SAIC MG brand had ranked first in overseas sales of a single Chinese brand for four consecutive years. SAIC Group believes the MG brand ranks among the top ten local single-brand sales in nearly 20 countries worldwide, "establishing the high-end technology, products and brand image of Chinese brands."

With the help of MG and other brands, SAIC Motor's overseas sales also showed a steady growth trend.

In 2022, SAIC's overseas sales will reach 1.017 million vehicles, a year-on-year increase of 45.9%—a "100,000-level" overseas regional market.

The latest data shows that SAIC's overall sales in overseas markets reached 92,000 vehicles in May this year. Soochow Securities believes: "In terms of domestic and foreign markets, exports remain relatively high." During the period from January to May, SAIC Motor sold a total of 438,000 vehicles in overseas markets, a year-on-year increase of 47.7%. Wang Xiaoqiu said that in 2023, SAIC Motor's overseas sales are expected to exceed 1.2 million vehicles, and the European market will exceed 200,000.

Build an all-around and systematic overseas chain.

"Referring to the share of alternative car series in the core area of ​​​​the overseas market, we estimate that the export volume of independent brands will reach 3.53 million vehicles in 2025, with a three-year compound growth rate of 73%, becoming the number one exporter of automobiles. Global brands will also be re-ranked." Huatai Securities analysts think so recently.

Under such circumstances, many Chinese car companies have increased their overseas markets. Statistical analysis of the China Association of Automobile Manufacturers shows that in May, auto companies exported 389,000 vehicles, a month-on-month increase of 3.4% and a year-on-year increase of 58.7%. From January to May, auto companies exported 1.758 million vehicles, a year-on-year increase of 81.5%.

The reporter noticed that many Chinese car companies are also facing multiple challenges in terms of channels, talents, and regulations as they aim at the development opportunities of new energy vehicles and strive to seize overseas markets. McKinsey believes that brand building, local market compliance, product development for target markets, or the construction of overseas supply chains and talent systems will all be "blockers" in the overseas development of Chinese auto companies.
Nevertheless, as the "vanguard" of Chinese car companies going overseas, SAIC, which has ranked first in China in overseas sales for seven years, has quietly built a comprehensive and systematic overseas chain after years of development, becoming China's "first systematic, An auto company that has plans and established a system to 'go global.'"

The "vanguard" of Chinese car companies going overseas, and SAIC Group has ranked first in China in overseas sales for seven years.

"The company actively responds to the country's 'One Belt, One Road' initiative and has initially established an overseas automotive industry chain integrating R&D, manufacturing, marketing, finance, logistics, parts, and second-hand cars. It has established three overseas companies in Thailand, Indonesia, and India The vehicle manufacturing base has established more than 2,000 overseas marketing service outlets." Said SAIC Motor.

Since 2023, SAIC has continuously pressed the "fast forward button" to go overseas.

On April 30 this year, the groundbreaking ceremony for the SAIC-CP New Energy Industrial Park was grandly held in the Hemele Industrial Park, Chonburi Province, Thailand. According to SAIC Motor, the industrial park covering an area of ​​120,000 square meters will focus on the localized production of key components for new energy vehicles. The project's first phase will be completed this year, and the overall project will be completed in 2025, targeting Thailand and the entire ASEAN market.

Coincidentally, in April, SAIC-GM-Wuling and the Indonesian Maritime and Investment Coordinating Department formally signed a memorandum of understanding on investment in new energy vehicle projects. They will actively expand investment in Indonesia, introduce new energy vehicles to the local market, and promote the joint construction of the All the Way" high-quality development.

In addition to increasing its footprint in Southeast Asia and other areas along the "One Belt One Road" to seize opportunities to go overseas, SAIC, which owns Anji Logistics, the world's largest automotive logistics company, is also constantly solving the pain points of shipping.
It is reported that SAIC Motor has opened several self-operated international routes in Southeast Asia, South America, Europe, etc., and its products and services have entered more than 90 countries and regions worldwide and formed two "100,000-class" vehicles in Europe and America. And the four "50,000-vehicle-level" regional markets of Australia and New Zealand, the Middle East, ASEAN, and South Asia.

According to SAIC's plan, by 2025, SAIC will shift from focusing on domestic development to focusing on domestic development and overseas expansion. Overseas sales will reach 1.5 million vehicles, accounting for more than 20% of the group's overall sales.

"In the future, SAIC Motor will continue to maintain and expand its leading advantages in overseas markets, seize the opportunity of the 'time window,' accelerate the creation of 'popular and popular' global products, expand the global market, and take the lead in becoming China's most globalized development feature. It is also a multinational car company capable of achieving sustainable and large-scale profitability in overseas markets." Wang Xiaoqiu said recently.