Optimistic on Bermaz getting the XPeng EV contract
KUCHING: Analysts are upbeat on Bermaz Auto Bhd (Bermaz) as it has been awarded the distributorship of XPeng EV vehicles in Malaysia. Xpeng will take over the vacated Peugeot showroom in Glenmarie.
The first model, XPeng G6 EV (SUV) slated for launch in the last quarter of 2024 (4Q24) will be competitively priced at less than RM200,00.
Bermaz has been awarded the distributorship, sale of spare parts and provision of after-sales services of XPeng marque smart electric vehicles (EVs) in Malaysia by Shenzhen Xiaopeng Motors Supply Chain Management Co Ltd China and Guangzhou Xiaopeng Motors Trading Co Ltd, China.
Xpeng Motors’ is dual-listed on the New York Stock Exchange and the Hong Kong Stock Exchange.
“XPeng marque vehicles are among the top smart EVs in China as well as globally. They are equipped with the latest state of the art features such as autonomous driving technology, digital cockpits and high-performance batteries,” explained analysts with Kenanga Investment Bank Bhd (kenanga Research).
To note, XPeng marque smart EVs’ Navigation Guided Pilot software offers autonomous-driving capability and can navigate in major cities in China such as Beijing and Shanghai.
XPeng group intends to expand its business operations over the next three years.
“In 2023, Xpeng sold 141,601 EV vehicles to mainland China customers,” Kenanga Research said. “Currently, its product lineup of smart EVs includes the P7i (sports sedan), P5 (family sedan), G9 (flagship SUV) and P7i (sports sedan) and the newly launched X9 (flagship MPV).
“Xpeng plan to launch its first right-hand drive EV car, G6 sport-utility vehicle (SUV) in Hong Kong by end-2024. In China, the G6 is priced from 209,900 to 276,900 yuan (RM136,933 to RM180,642).
“We estimate that the earnings impact of the latest development is negligible at less than one per cent. The new distributorship required minimum capex (probably less than RM2 million) and Xpeng will take over the showroom vacated by Peugeot in Glenmarie, Shah Alam (only needed to change the signage).”
Given the crowded EV market with various new EV launches, Kenanga Research believe that at most it will only be able to sell a few hundred CBU units during the first year of operation.
“The first model to be introduce will be the Xpeng G6 EV (SUV) is expected to be competitively priced at less than RM200,000 within the EV premium segment where Tesla 3 and BYD Seal belong.
“We maintain our forecasts as the sales volumes will be insignificant during our forecast period.”