GAC giant GAC targets target 17 times for European sales by 2027

Guangzhou Motor Group (GAC) aims to increase the sales of European electric cars 17 times over the next two years, becoming the latest Chinese player to take over the traditional car manufacturer in the region through aggressive expansion.

The entrance to the Chinese state -owned car maker will exacerbate competition in the already intense European market, which recently witnessed interest from players from the second largest economy in the world, from Byd to Xpeng.

The presence of GAC will add pressure to the European giants – such as BMW and Mercedes – I looked at the Chinese participants entering their own electrical cars.

“Europe is one of our five main markets. It is a strategic market. We hope that Europe will explain a major part of our market abroad in the future,” Wei Higang, President of GAC International, told CNBC in an interview with the IAA MOABITY AUTO exhibition in Munich on Monday.

Wi -Gac said to sell about 3,000 cars in Europe this year, before strengthening this target to 15,000 in 2026 and at least 50,000 units by 2027.

GAC shows AION V and AION UT cars completely at the IAA offer this week. Wei said the company is also looking to launch a hybrid car in Europe in the future.

The goals are aggressive, but come at a time when Chinese companies continue to achieve roads in the electric car market in Europe. The market share is a brand for Chinese cars in the first half of the year in Europe, almost doubled from the same period last year, according to Jato dynamics. While the market share is still small by a slightly more than 5 %, it has made a rapid growth.

GAC puts scenes on expansion despite the European Union’s tariff on Chinese Chinese EVS, where the company said it is looking for local manufacturing in Europe.

“We hope that the Chinese government and the European Union will negotiate for more customs tariffs,” Wei said. “In the future, we hope to accelerate the localization of manufacturing. So we serve (in the future) in the future (we can) the possibility of manufacturing in Europe, to better serve European markets.”