Stellantis takes a jab at Tesla, warns EV price cuts could cause ‘bloodbath’
At least one automaker will avoid cutting EV prices to compete with Tesla. Stellantis CEO Carlos Tavares took aim at Tesla, saying EV price cuts could lead to a “bloodbath,” and the brand is avoiding a race to the bottom.
Stellantis will avoid EV price cuts, takes aim at Tesla
After unveiling Stellantis’ second EV platform Friday, which will underpin the first Jeep and Dodge electric models in the US, Tavares said the brand must avoid price cuts that could pressure profits.
It could even lead to several automakers being takeover targets, Tavares said. The group’s leader claims the brand was better protected from pricing pressure that could put some rivals “in trouble” with widening losses.
“If you go and cut pricing disregarding the reality of your costs, you will have a bloodbath,” Tavares warned Friday, according to Reuters.
He added, “I know a company that has brutally cut pricing and their profitability has brutally collapsed,” taking aim at Tesla.
Tesla slashed prices throughout 2023, dropping prices on its best-selling Model Y in Europe days ago. The news comes after Tesla lowered prices in China earlier this month, the largest EV market globally.
(Source: Tesla)
Stellantis knows a thing or two about merging companies after it was formed through a Fiat Chrysler and PSA Group business combination in 2021.
Although Stellantis is one of the largest EV sellers in Europe, the automaker is launching its first all-electric models in the US this year.
New EVs launching in the US
Ram launched its first EV, the Ram ProMaster electric van, that will compete with Ford’s E-Transit and Rivian’s commercial electric van.
Jeep is next up. The rugged off-road brand’s electric Wagoneer S is going on sale this fall. The electic SUV will feature 600 horsepower and up to 400 miles range. It can also sprint from 0 to 60 mph in 3.5 secs.
Jeep is also launching the Recon, inspired by its iconic Wrangler. The new “rugged and fully capable electric SUV” will be able to cross the Rubicon Trail.
To keep the Wrangler’s spirit alive, the Recon will include features like removable doors and windows.
Dodge’s first EV is also set to hit the market later this year. It will be an all-electric version of its iconic Charger.
The new Dodge Charger EV was spotted testing earlier this week near Chrysler’s HQ suggesting the EV is coming soon. Although Stellantis has yet to confirm specs, rumors suggest the top variant could feature around 900 horsepower.
Electrek’s Take
It’s easy for Stellantis to take a jab at Tesla over price cuts when it doesn’t sell any EVs in the US yet.
With the new EVs launching, Stellantis is set to double its all-electric lineup. It will be interesting to see how pricing impacts the first Jeep, Dodge, and Ram EVs as they roll out.
Tavares comments come after Ford announced plans to cut F-150 Lightning production Friday, citing “slower than expected” demand.
Although Ford and GM have slowed EV output, overseas rivals like Volvo and Hyundai are doubling down.
Both automakers have unique EV offerings in key segments. With Volvo launching the EX30, starting at $35,000, CEO Jim Rowan expects “tremendous growth” for its EVs.
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Environment
Baidu- and Geely-backed JiYue brand unveils ROBO X EV that goes 0-100 km/h in under 1.9 sec
JiYue, a Chinese EV brand focused on delivering all-electric “robocars” to the masses, has unveiled its latest model, and it’s quite a deviation from its previous EVs—but in the best way. Earlier today, JiYue launched the ROBO X supercar, designed for high-speed racing. By high speed, we mean 0-100 km/h acceleration in under 1.9 seconds. My mouth is watering.
JiYue has only existed since 2021, when parent tech company Baidu announced it was expanding from software development into physical EV production, joining forces with multinational automotive manufacturer Geely.
The new “robotic EV” marque initially launched as JIDU with $300 million in startup capital before garnering an additional $400 million in Series A funding, led by Baidu, in January 2022.
In August 2023, Geely took on a larger role in JIDU alongside a greater financial stake as the brand reimagined itself as JiYue, inheriting the JIDU logo and its flagship model, the 01 ROBOCAR.
In December 2023, Baidu and Geely unveiled a second model called the JiYue 07. It was born from JIDU’s ROBO-02 concept, which debuted in 2023 and was designed to compete against the Tesla Model 3 in China.
The 07 finally launched in China earlier this year with 545 miles of range. With an all-electric SUV and sedan on the market, JiYue has unveiled an exciting new entry in the form of a performance supercar called the ROBO X. Check it out:
JiYue’s new ROBO X EV is available for pre-order now
JiYue showcased its new ROBO X hypercar in front of the crowd at the 2024 Guangzhou Auto Show earlier today. Similar to previous models but with a unique spin, JiYue described the ROBO X as an AI smart-driving supercar that, for the first time, blends artificial intelligence and autonomous driving into a high-performance, race-ready EV.
When we say “high performance,” we mean a quad motor liquid-cooled drive system that can propel the ROBO X from 0 to 100 km/h (0 to 62 mph) in under 1.9 seconds. JiYue called the new ROBO X a “performance beast” with “the perfect balance of excellent aerodynamic performance and high downforce.” JiYue CEO Joe Xia was even bolder in his statements about the ROBO X:
For the next 20 years, the design of supercars will bear the shadow of Robo X. This is the best design in the history of Chinese automobiles today, and it is a landmark presence.
Fighter-style airflow ducts bolster the EV’s aerodynamics, efficiency, and overall posture. Per JiYue, the two-seater ROBO X is expected to deliver a maximum range of over 650 km (404 miles).
The new supercar features falcon-wing doors, a carbon fiber integrated frame, and a professional racing HALO safety system offering 360° of support. The interior features an AI smart cockpit with SIMO real-time feedback to give drivers an immersive racing experience.
Furthermore, JiYue said the vehicle will utilize parent company Baidu’s Apollo self-driving technology, which could make it the first electric supercar to apply pure-vision ADAS technology that enables track-level autonomous driving.
Following today’s unveiling of the ROBO X, JiYue has officially opened up pre-orders in China for RMB 49,999 ($6,915). That said, reservation holders will need to be patient as JiYue shared that it doesn’t expect to begin mass production of the ROBO X until 2027.
What do you think? Will people be talking about the ROBO X for the next 20 years?
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This week on Electrek’s Wheel-E podcast, we discuss the most popular news stories from the world of electric bikes and other nontraditional electric vehicles. This time, that includes the launch of the Lectric XPedition 2.0, Yamaha e-bikes pulling out of North America, LiveWire unveils an electric scooter concept, PNY readying its cargo e-scooters for pilot testing, Royal Enfield’s first electric motorcycle, and more.
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Crude oil futures were on pace Friday for loss for the week, as a supply gut and a strong dollar depresses the market.
U.S. crude oil is down more than 2% this week, while Brent has shed nearly 2%.
Here are Friday’s energy prices:
- West Texas Intermediate December contract: $68.56 per barrel, down 14 cents, or 0.2%. Year to date, U.S. crude oil has shed about 4%.
- Brent January contract: $72.36 per barrel, down 20 cents, or 0.28%. Year to date, the global benchmark has lost nearly 6%.
- RBOB Gasoline December contract: $1.99 per gallon, up 0.46%. Year to date, gasoline has fallen more than 1%.
- Natural Gas December contract: $2.70 per thousand cubic feet, down 2.98%. Year to date, gas has gained more than 4%.
The International Energy Agency has forecast a surplus of more than 1 million barrels per day in 2025 on robust production in the U.S. OPEC revised down its demand forecast for the fourth consecutive month as demand in China remains soft.
A strong dollar also hangs over the market, as the greenback has surged in the wake of President-elect Donald Trump’s election victory.
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