Aston Martin Hunting for Sales and an EV Partner in China
Aston Martin is seeking a joint venture in China to ensure a future for itself in the world’s largest electric vehicle market, according to CEO Andy Palmer. The brand has previously stated it wants BEVs to account for roughly 25 percent of its global sales by 2030, with the remaining fleet adopting hybridized powertrains. However, Palmer said those early EVs sold in China may not wear the Aston name.
The automaker has also decided to build the RapidE electric sports sedan, limiting its production to 155 units sometime in 2019. While the model currently exists only as a test mule based on the gasoline-powered Rapide, Palmer claims the finished product will provide Tesla shoppers with what they should have been offered in the first place.
“For me Tesla is a very credible competitor in the premium market, against Daimler, BMW, Audi, and the others. But they’re not in the [upper reaches of the] luxury market where we are … Most of the people who buy a Model S are buying it fully loaded. They’re not limited by their cash; they’re limited by the offer,” the CEO told Car and Driver late last year.
“We’re looking to those guys looking for something above Tesla. That customer probably isn’t looking for ‘Ludicrous mode.’ Our offer will have very credible acceleration — equal to a petrol Aston Martin — but you’ll be able to drive the car rapidly all the way around the Nürburgring without it derating or conking out on you.”
As the test version of the RapidE doesn’t appear to be ready to do that, Aston Martin needs a more compact power source than what the mule currently uses. That’s where the Chinese connection comes into play. According to Bloomberg, Aston is considering Contemporary Amperex Technology as its Chinese battery supplier.
Palmer claims his company is already in talks to share its lightweight materials and aerodynamic technologies with a Chinese partner. Again, that doesn’t mean the region will see battery-powered Astons in the next five years, but it does help the British company set itself up for future endeavors. Since China requires any foreign automaker to enter into a 50/50 partnership with an established domestic company, Aston Martin can only benefit from laying down roots now.
While EVs remain niche market, unable to tempt consumers the same way crossovers have, most governments are pushing for electrification — and China is far and away the most aggressive example. The country has mandated that a certain percentage of automobile fleets be electric, whether or not anyone wants to buy them. In 2019, China will institute a cap-and-trade program on companies with annual sales of more than 30,000 vehicles, requiring 10 percent of their fleet to be electric or plug-in hybrid vehicles. That level would rise to 12 percent of sales in 2020. Automakers unable to meet the quota would be forced to purchase credits.
[Image: Aston Martin]
A staunch consumer advocate tracking industry trends and regulation. Before joining TTAC, Matt spent a decade working for marketing and research firms based in NYC. Clients included several of the world’s largest automakers, global tire brands, and aftermarket part suppliers. Dissatisfied with the corporate world and resentful of having to wear suits everyday, he pivoted to writing about cars. Since then, that man has become an ardent supporter of the right-to-repair movement, been interviewed on the auto industry by national radio broadcasts, driven more rental cars than anyone ever should, participated in amateur rallying events, and received the requisite minimum training as sanctioned by the SCCA. Handy with a wrench, Matt grew up surrounded by Detroit auto workers and managed to get a pizza delivery job before he was legally eligible. He later found himself driving box trucks through Manhattan, guaranteeing future sympathy for actual truckers. He continues to conduct research pertaining to the automotive sector as an independent contractor and has since moved back to his native Michigan, closer to where the cars are born. A contrarian, Matt claims to prefer understeer — stating that front and all-wheel drive vehicles cater best to his driving style.
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A lot of talk for something that doesn't even exist, and if and when it does they'll make 150 of them. I'd say that without Tesla he wouldn't even be talking, and since he is talking, how will these special well heeled customers of this non existent car recharge them. Give Musk a call and get back to us.
Aston Martin makes some very sexy cars. I'm not liking the increased grill size though.