Evergrande aims to rival Tesla with new models

Chinese property developer Evergrande unveiled six electric vehicle models under its Hengchi brand in Shanghai and Guangzhou on Monday, demonstrating its ambition to enter the new energy vehicle market.

The models, named Hengchi 1 to 6, include sedans, SUVs and MPVs. The company said with the world debut of the six models, Evergrande hopes to rival Tesla as the new energy vehicle industry leader.

According to the company's plan, it will develop 14 new energy vehicle models and begin mass production between 2021 and 2022.

Xu Jiayin, also known as Hui Ka-yan, said last November that the company will invest a total of 45 billion yuan ($6.4 billion) by 2021 in electric vehicles and become the world's largest new energy carmaker in three to five years with annual sales reaching 1 million units in five to 10 years.

The company is making efforts to raise the stakes in the automotive industry. Last year, Evergrande acquired a controlling stake in National Electric Vehicle Sweden for $930 million, investing more than $300 million in a new venture with supercar maker Koenigsegg, and paying $154.4 million for a 58 percent stake in lithium-ion battery maker Shanghai Centa New Energy Co.

Since entering the new energy vehicle market in 2018, the net losses of new energy vehicle businesses of Evergrande has risen to 3.31 billion yuan last year from 1.7 million yuan in 2018.

Evergrande announced in July that it will change the name of Evergrande Health Industry Group to Evergrande New Energy Vehicle Group, reflecting the focus of its new business.