Hongqi, the Chinese luxury brand, announces ambitious expansion plans in Europe
The expansion of Chinese manufacturers into Europe continues to make waves in the automotive industry. This time, it is the luxury brand Hongqi, owned by the FAW Group, that is making headlines with its ambitious plans for the European market.
Officially unveiled at the prestigious Goodwood Festival of Speed, Hongqi currently only sells one car, the E-HS9 large SUV, in Norway and a few other Northern European secondary markets. However, the brand has announced plans to introduce as many as 12 models in Europe over the next five years.
These new models will be electric or plug-in hybrids, catering to the growing demand for sustainable transportation options. The lineup is set to include an EH7 mid-size electric saloon and an SUV called the EHS7, both of which are expected to arrive in dealerships by the end of 2024.
What sets Hongqi apart from other luxury brands is its commitment to innovation and technology. The EH7 saloon, for example, promises better performance than a Tesla Model 3, showcasing the brand’s dedication to pushing boundaries and setting new standards in the industry.
Giles Taylor, a designer with a background at Rolls-Royce and now with Hongqi, emphasized that China is no longer simply a country that copies others, but has developed its own unique technologies and personality in the automotive sector.
However, one challenge that Hongqi faces in the European market is pricing. With premium models expected to range between €60,000 and €100,000, the brand must navigate the impact of additional duties that could raise prices by 20%. Despite this hurdle, the goal is to sell between 30,000 and 50,000 cars by the end of the decade, showcasing Hongqi’s determination to establish a strong presence in Europe.
As Chinese manufacturers continue to expand their reach globally, it will be interesting to see how Hongqi’s entry into the European market shapes the luxury automotive landscape and challenges traditional European manufacturers like BMW, Audi, and Mercedes. With a focus on innovation, technology, and performance, Hongqi is poised to make a significant impact in the industry in the coming years.