Over a dozen EV automakers, including Tesla and NIO pledge to avoid further price wars in China
A slew of automakers in China have banded together and pledged to regulate how they market their EVs and avoid further price wars to help stabilize a booming market for consumers. Chinese EV automakers like NIO, XPeng, and BYD have been joined by the likes of Tesla to promote healthy competition and less “bad blood” overseas. But is this good for competition or is this cartel behavior?
It has been happening all over the globe, but the EV price wars in China were truly ignited at the start of this year, as Tesla slashed the MSRPs of its Model 3 and Model Y vehicles by about $7,000 each – sparking concerns over demand for the world’s most popular automaker overseas.
Tesla showrooms were flooded with Chinese consumers the next day, not to buy, but to protest. The American automaker had been slowly increasing the price of all of its EV models in China the past two years without any discounts, then suddenly leaned down to kick off 2023. Customers who had just purchased a shiny new Tesla in late 2022 however, were furious.
Historically, Tesla has increased gross margins with cost improvements and has only adjusted its pricing when it needs to create more demand. On paper, Tesla is already the world’s largest automaker by market cap, but its price manipulation offered a real-world study in global economics as its cuts sent shockwaves throughout the global EV market, including China.
Some automakers like BYD and XPeng scrambled to lower their prices to remain competitive, while others stood their ground. For instance, NIO’s CEO William Li said the company would not partake:
Model 3 and Model Y are less complex in functions and configurations compared to Chinese car brands, such as BYD, so it cuts prices to challenge its rivals. Tesla can fix vehicle prices in the US with a market share of over 60 percent, but not in China, where it holds only about 7 percent.
Whether NIO’s chief wants to admit it or not, Tesla’s strategy worked. The automaker just blew through expectations by reporting over 466,000 deliveries in Q2 of 2023, besting its own record a quarter before. Now however, Tesla looks like it’s ready to play nice with its market manipulation and has joined a dozen other EV automakers in a pledge to help stabilize prices for the good of the consumer.
EV automakers band together to end price wars in China
Earlier today at the 2023 China Auto Forum in Shanghai, the China Association of Automobile Manufacturers (CAAM) has helped facilitate a pledge signed by 16 major automakers vowing to uphold fair market order in their industry.
The pledge is signed by CAAM four months after the association called for a market-wide cooling off of price cuts between competitors, especially as automaker began to use marketing strategies to take digs at other companies in the country. The automakers that signed today include China FAW, Dongfeng Motor, SAIC Motor, Changan Automobile, BAIC, GAC, China National Heavy Duty Truck, Chery, JAC, Geely, Great Wall Motor, BYD, NIO, Li Auto, XPeng Motors, and, last but not least, Tesla. Here’s an excerpt from the commitment letter posted by CnEVPost:
First, we will abide by the rules and regulations of the industry, regulate marketing activities, maintain a fair competition order, and not disrupt the fair competition order of the market with abnormal prices.
Second, we will pay attention to marketing methods, will not exaggerate or conduct false marketing, not to mislead consumers to attract attention and increase customer acquisition.
Third, we will put quality first, use quality-oriented, high-quality products and services to meet the people’s needs for a better life.
Fourth, we will actively fulfill our social responsibility, and take an active role in helping to stabilize economic growth, increase confidence and prevent risks, and work together to make a contribution to national economic growth.
It is important to note, however, that this pricing commitment is self-regulatory and by no means legally binding. Still, it shows good faith among a myriad of different EV automakers in China that should help stabilize price wars overseas… at least for the time being.
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Ava Community Energy just rolled out a new program in California that pays EV and plug-in hybrid drivers for charging their cars when electricity on the grid is cleaner and cheaper.
The new Ava SmartHome Charging program, launched in partnership with home energy analytics platform Optiwatt, offers up to $100 in incentives in the first year. And because the program helps shift home charging to lower-cost hours, Ava says drivers could save around $140 a year on their energy bills.
EV and PHEV owners who are Ava customers can download the Optiwatt app for free, connect their vehicle, and let the app handle the rest. The app uses an algorithm to automatically schedule charging when demand is low and more renewable energy is available, typically overnight or during off-peak hours.
“Ava is on a mission to provide 100% clean energy to our customers by 2030,” said CEO Howard Chang. “This new program helps us get there by giving people an easy way to charge on more renewable energy while simultaneously saving money.”
Drivers who enroll get a $75 bonus for joining, and can earn an extra $25 per year if they stay enrolled. Optiwatt shifts charging to off-peak times, and it takes into account the customer’s individual schedules and preferences.
Casey Donahue, who founded Optiwatt, says this program is a win for everyone. “We can move a lot of energy use to cleaner, more affordable times by using smart algorithms and the growing EV base,” he said. “That benefits every Ava customer.”
The program is available to most EVs and plug-in hybrids. All it takes is signing up through the Optiwatt app (iOS, Android, or web) and completing a quick verification process. Savings and rewards start right away.
The Oakland-based not-for-profit public power provider aims to enroll at least 5,000 vehicles by the end of 2025. The company says this program is the first step in a broader virtual power plant (VPP) strategy. It’s powered by Lunar Energy’s Distributed Energy Resource Management System (DERMS) platform, Gridshare, which will help Ava coordinate energy from EVs, home batteries, and more.
Ava Community Energy was founded in 2018 and now serves 2 million people in Alameda County, California, and the cities of Tracy, Stockton, and Lathrop.
Read more: California now has nearly 50% more EV chargers than gas nozzles
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Environment
Jeep is teasing the new Grand Cherokee, but where’s the EV version of its best-selling SUV?
The Grand Cherokee is due for a refresh, and we just got our first look at it. Jeep claimed “the next chapter in the story of America’s best-selling full-size SUV begins” after releasing the first official images of the updated model. When will we see the Jeep Grand Cherokee as an EV?
2026 Jeep Grand Cherokee first look
Days after revealing the new Compass, Jeep is teasing another refreshed model, its best-selling Grand Cherokee.
Although it was the best-selling full-size SUV in the US last year, the Grand Cherokee is due for an update. The latest model was launched in 2021, but Jeep added a two-row version in 2022.
It remained Jeep’s top seller in the US last year with over 216,000 models sold, but sales were down 12% compared to 2023. It was also one of the best-selling plug-in hybrid (PHEV) vehicles, with over 27,500 4xe models
Jeep is giving us our first official look at the updated 2026 Grand Cherokee, inside and out. The first image previews the front end, which features new LED headlights and a revamped seven-slot grille, similar to the new Compass.
The interior is restyled with a simplified setup and other minor infotainment and climate control display adjustments. The preview also shows an added passenger screen.
When will Jeep launch the Grand Cherokee EV?
Jeep will continue to assemble the updated SUV in Detroit. The new 2026 Jeep Grand Cherokee will be available as a two-row, three-row L, and a plug-in hybrid 4xe, but when will we see an EV version? The outgoing 4xe model is already one of the top three selling PHEVs in the US, so a fully electric version would make sense.
As part of its 2023 agreement with the UAW, Jeep revealed plans to launch the Grand Cherokee EV in 2027. It was scheduled to be built at the Detroit Assembly Complex, but plans have likely changed since then.
Jeep’s new Compass will be available as an EV, but only in Europe. At least for now. Stellantis halted operations at its Brampton Assembly plant earlier this year, where the Compass is built, as it “reassesses its product strategy in North America.”
For those in the US, Jeep currently offers one EV. The Wagoneer S (pictured on the left above), Jeep’s first global electric SUV, starts at $65,200 and has a range of up to 294 miles.
Later this year, Jeep is expected to launch the Recon EV (pictured on the right above), a rugged electric SUV like a Wrangler.
Jeep is currently offering employee pricing plus an extra $1,500 cash allowance on top of the $7,500 EV tax credit on 2025 Wagoneer S models. If you’re looking to snag some savings, you can use our link to find Jeep Wagoneer S models in your area today.
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Can Kia’s first electric sedan live up to the hype? After launching the EV4 in Korea, we are finally seeing it in action. A new test drive of the EV4 gives us a closer look at what to expect as Kia prepares to take it global. Here’s how it went down.
Kia EV4 test drive: The good, the bad, and the ugly
Kia claims the EV4 will “set a new standard in electric vehicles” with long-range capabilities, fast charging, and a sleek new design.
The electric sedan features a unique, almost sports-car-like profile with a long-tail silhouette and added roof spoiler.
Kia claims it is “the new look of a sedan fit for the era of electrification.” Despite its four-door design, the company is calling it a new type of sedan.
The design is not only eye-catching, but it’s also super efficient. With a drag coefficient of just 0.23, the EV4 is Kia’s most aerodynamic vehicle so far, enabling maximum driving range and efficiency.
Kia opened EV4 orders in South Korea in March, starting at about $29,000 (41.92 million won). It’s available with two battery options: 58.2 kWh and 81.4 kWh. The entry-level “Standard Air” model, powered by the 58.2 kWh battery, is rated with up to 237 miles of driving range.
The “Long-Range Air” variant starts at 46.29 million won ($31,800) and has a driving range of up to 331 miles (533 km) in Korea.
With charging speeds of up to 350 kW, the EV4 can charge from 10% to 80% in around 29 minutes. The long-range battery will take about 31 minutes.
The interior boasts Kia’s latest ccNC infotainment system with a 30″ Ultra-wide Panoramic Display. The setup includes dual 12.3″ driver displays, navigation screens, and a 5″ air conditioning panel.
With deliveries kicking off, we are seeing some of the first test drives come out. A review from HealerTV gives us a better idea of what it’s like to drive the EV4 in person.
Sitting next to Kia’s first pickup, the Tasman, the reviewer mentions the EV4 feels “particularly newer.” The test drive starts around the city with a ride quality similar to that of the K5, if not even better.
As you can see from the camera shaking, the ride feels “a bit uncomfortable” on rough roads. However, on normal surfaces and speed bumps, Kia’s electric sedan “feels neither too soft nor too hard,” just normal. The reviewer calls the EV4’s overall ride quality “quite ordinary” with “nothing particularly special about it.”
When accelerating, the electric car was smooth in the beginning but felt “a little lacking in later stages.” Overall, it should be enough for everyday use.
One of the biggest issues was that the rear window appeared too low. The rear brake lights also stick out, making it hard to see clearly through the rearview.
Keep in mind that the test drive was the Korean-spec EV4. Kia will launch the EV4 in Europe later this year and in the US in early 2026.
In the US, the EV4 will include a built-in NACS port for charging at Tesla Superchargers and a driving range of up to 330 (EPA-est) miles. Prices will be revealed closer to launch, but the EV4 is expected to start at around $35,000 to $40,000.
Would you buy Kia’s electric sedan for around $35,000? Or would you rather have the Tesla Model 3, which starts at $42,490 in the US and has up to 363 miles of range? Let us know in the comments.
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