Xpeng, a premium Chinese electric vehicle (EV) maker, has ambitious plans to challenge market leader BYD by launching a mass-market brand. This move comes amid an escalating price war in the EV industry. Here are the key details:

1. New Mass-Market Brand:

   - Xpeng intends to introduce a new brand targeting the mass market. These vehicles will be priced between 100,000 yuan (US$13,897) and 150,000 yuan.

   - The new EVs will come equipped with an advanced driver assistance system and will cater to budget-conscious drivers.

   - Xpeng aims to make these vehicles accessible both in China and global markets.

   - In the future, Xpeng envisions that cars within this price range could evolve into fully autonomous vehicles.

2. Cost Reduction for Autonomous Driving Technology:

   - Xpeng plans to slash development and production costs related to autonomous driving technology by 50% in the current year.

   - Currently, Xpeng produces smart EVs priced at over 200,000 yuan.

3. Competition with BYD:

   - BYD, the world's largest EV builder, delivered 3.02 million pure electric and plug-in hybrid vehicles in 2023, with most priced below 200,000 yuan.

   - The segment of EVs priced between 100,000 yuan and 150,000 yuan is currently dominated by BYD, which caters to budget-conscious consumers.

4. Industry Trends:

   - Xpeng's move follows Nio's decision to launch cheaper models after BYD reduced prices to maintain its leading position.

   - Nio plans to unveil details of its mass-market brand Onvo in May.

Xpeng's strategic shift toward a more affordable price point reflects the competitive landscape in China's EV market. As the industry continues to evolve, we can expect further developments in pricing, technology, and market share.