The Fort Worth Press - Tesla, Chinese brands take centre stage at Munich car show

USD -
AED 3.67303
AFN 67.838392
ALL 92.377753
AMD 386.688871
ANG 1.800698
AOA 913.502416
ARS 997.768799
AUD 1.531206
AWG 1.8015
AZN 1.696166
BAM 1.840129
BBD 2.017388
BDT 119.39484
BGN 1.84192
BHD 0.376919
BIF 2950.605261
BMD 1
BND 1.337248
BOB 6.928346
BRL 5.750197
BSD 0.999144
BTN 84.369678
BWP 13.59321
BYN 3.269728
BYR 19600
BZD 2.013907
CAD 1.39558
CDF 2868.999932
CHF 0.883035
CLF 0.03573
CLP 985.910202
CNY 7.217203
COP 4436.5
CRC 511.286119
CUC 1
CUP 26.5
CVE 103.742697
CZK 23.922016
DJF 177.924558
DKK 7.03025
DOP 60.208316
DZD 133.442029
EGP 49.2101
ETB 123.478326
EUR 0.94245
FJD 2.262987
GBP 0.78492
GEL 2.74026
GHS 16.285152
GMD 71.502227
GNF 8611.175145
GTQ 7.720606
GYD 209.01701
HKD 7.77921
HNL 25.215231
HTG 131.419485
HUF 387.44023
IDR 15775.3
ILS 3.760604
INR 84.398451
IQD 1308.851756
IRR 42105.000351
ISK 139.019898
JMD 158.767795
JOD 0.709102
JPY 155.062016
KES 129.249581
KGS 86.201889
KHR 4048.796323
KMF 460.374947
KRW 1407.180006
KWD 0.307503
KYD 0.832581
KZT 495.813105
LAK 21907.960971
LBP 89472.248097
LKR 292.168873
LRD 188.329711
LSL 18.052427
LTL 2.95274
LVL 0.60489
LYD 4.840941
MAD 9.911843
MDL 17.884664
MGA 4670.637273
MKD 57.970401
MMK 3247.960992
MOP 8.005344
MRU 39.705121
MUR 47.189429
MVR 15.459973
MWK 1732.200487
MXN 20.60015
MYR 4.45702
MZN 63.924983
NAD 18.051918
NGN 1676.550213
NIO 36.770621
NOK 11.092875
NPR 134.99873
NZD 1.687575
OMR 0.385029
PAB 0.999078
PEN 3.775893
PGK 4.01385
PHP 58.719841
PKR 277.683782
PLN 4.100974
PYG 7806.663468
QAR 3.64259
RON 4.690204
RSD 110.268975
RUB 97.750531
RWF 1371.17641
SAR 3.757184
SBD 8.351256
SCR 14.059865
SDG 601.498728
SEK 10.916545
SGD 1.338865
SLE 22.799618
SOS 571.033393
SRD 35.234985
STD 20697.981008
SVC 8.742614
SZL 18.043677
THB 34.738062
TJS 10.620208
TMT 3.5
TND 3.141024
TOP 2.342098
TRY 34.383803
TTD 6.789548
TWD 32.495501
TZS 2663.729768
UAH 41.382279
UGX 3671.15761
UYU 42.122199
UZS 12792.683443
VES 44.872833
VND 25350
XAF 617.19122
XCD 2.70255
XDR 0.752722
XOF 617.19122
XPF 112.21355
YER 249.775034
ZAR 18.091397
ZMK 9001.201624
ZMW 27.201475
ZWL 321.999592
  • RBGPF

    59.3400

    59.34

    +100%

  • CMSC

    -0.1800

    24.54

    -0.73%

  • NGG

    -1.2400

    62.9

    -1.97%

  • BTI

    0.0900

    35.24

    +0.26%

  • RIO

    -1.4000

    61.2

    -2.29%

  • VOD

    -0.8500

    8.47

    -10.04%

  • RYCEF

    -0.0500

    7.11

    -0.7%

  • RELX

    -1.2100

    46.59

    -2.6%

  • SCS

    0.0200

    13.67

    +0.15%

  • BP

    -0.7600

    28.16

    -2.7%

  • CMSD

    -0.2100

    24.75

    -0.85%

  • GSK

    -0.8300

    35.52

    -2.34%

  • BCC

    -2.0100

    141.13

    -1.42%

  • JRI

    -0.3000

    13.22

    -2.27%

  • BCE

    -0.1600

    27.69

    -0.58%

  • AZN

    0.4000

    65.19

    +0.61%

Tesla, Chinese brands take centre stage at Munich car show
Tesla, Chinese brands take centre stage at Munich car show / Photo: © AFP

Tesla, Chinese brands take centre stage at Munich car show

Tesla and Chinese carmakers showed off their newest electric models at the Munich auto fair on Monday, throwing down the gauntlet to their European rivals as competition in the sector intensifies.

Text size:

The industry-wide shift towards electric vehicles (EVs) was on full display on the opening day of Germany's biennial IAA mobility show, one of the world's largest.

Homegrown giant Mercedes-Benz unveiled its CLA concept, a family of all-electric cars with a range of more than 750 kilometres (466 miles), while BMW showcased its "Neue Klasse" (New Class) generation of battery-powered vehicles.

Renault debuted its new Scenic, the French group's first full-electric compact SUV.

But it was the non-European brands that promised to steal the limelight at this week's fair.

US electric car pioneer Tesla, owned by Elon Musk, returned to the IAA for the first time since 2013, sending visitors jostling for a glimpse of its revamped, mass-market Model 3.

Industry experts said Tesla's appearance in Munich was a sign it was taking the increased competition in the EV market seriously -- especially from China.

Having already captured a sizeable chunk of the prized Chinese market, Chinese manufacturers were out in force at the fair, hoping to win over European drivers with cheaper electric cars.

Chinese groups were starting "their assault on Europe with the IAA", said analyst Ferdinand Dudenhoeffer from the Center for Automotive Research in Germany.

In all, 41 percent of exhibitors at the fair have their headquarters in China, including brands such as BYD, Leapmotor and Geely.

- 'Crucial' Chinese market -

Chinese groups benefit from lower production costs, allowing them to offer cut-throat prices at a time when entry-level EVs are still a rarity.

Mercedes-Benz CEO Ola Kallenius said European firms had to stay competitive in the face of stiff competition.

"Don't make it worse. Don't start a debate that we should work less hours at the same pay, those types of things. That would be going the wrong direction," Kallenius told reporters at the IAA on Sunday.

Volkswagen CEO Oliver Blume predicted that Chinese competitors would struggle to keep their prices low in Europe, citing the costs of transport, customs and setting up distribution networks.

"The Chinese won't be able to offer the cost level they have in China in Europe either," he told reporters.

Volkswagen for its part would "continue to work hard" on cutting costs, Blume said, adding that the group's EVs were expected to reach the same price level as its combustion engines in the second half of the decade.

Blume acknowledged that it was "crucial" for VW to succeed in China's domestic EV market -- where it is currently lagging far behind BYD and Tesla.

"The more electric cars we have, the more we can benefit from economies of scale," Blume said.

The historic transition to zero-emission driving comes at a challenging time for the continent's auto makers.

While the supply chain problems caused by the pandemic have eased, surging energy prices in the wake of Russia's war in Ukraine and a weaker global economy are weighing on manufacturers.

Although car sales in the EU have steadily improved over the last 12 months, they remain around 20 percent below their pre-pandemic levels as inflation and higher interest rates dampen appetites for new vehicles.

- Climate protests -

Some 700,000 visitors are expected to attend this week's IAA, with Chancellor Olaf Scholz touring the fair on Tuesday.

Climate groups have vowed to stage protests, including acts of "civil disobedience" aimed at disrupting the fair.

On Monday morning, Greenpeace activists submerged three cars in a small lake outside the convention centre.

"The car industry continues to rely on too many cars, that are too big and too heavy. It's sinking the planet with that business model," Greenpeace spokeswoman Marissa Reiserer told AFP.

J.P.Estrada--TFWP