NEVS to deliver 150,000 EV’s to Panda New Energy Ltd. (Update)

Nevs has signed a Strategic Collaboration Agreement with Panda New Energy Ltd., about 150,000 9-3 Sedan EV

National Electric Vehicle Sweden (Nevs) and the Chinese company Panda New Energy Co., Ltd. have signed a strategic collaboration agreement. According to the agreement, Nevs will provide Panda with 150,000 9-3 sedan electric vehicles until the end of 2020. In addition, the agreement also includes 100 000 other EV products and services from companies associated to Nevs and its owners. The total value of the agreement is 78 billion RMB.

Panda New Energy is a new energy vehicle leasing company with focus on low emission mobility solutions. Cooperating with many chauffeured car service platforms in China, Panda aims to become one of the biggest EV leasing companies in the world.

“This is a strategic collaboration for Nevs not only in terms of the numbers of vehicles, but it is also an important step to implement our vision and new business plan. In the long term, we want to provide our customers with both sustainable products and mobility services,” said Stefan Tilk, Vice Chairman Nevs.

”We are very pleased to form a cooperation with Nevs, a company with a rich innovation heritage and the right ability to fulfil our demands. Being in an emerging market for new energy vehicles, we are happy to find a partner who shares our commitment to the environment,” said Ma Chao, Chairman Panda New Energy.

National Electric Vehicle Sweden AB’s (Nevs) vision is to shape mobility for a more sustainable future, and focuses on the development of electric vehicles and sustainable mobility services. Nevs acquired the main assets of the former Saab Automobile in 2012. Nevs is Co-owned by National Modern Energy Holdings, Tianjin Binhai Hi-tech industrial Development Area (THT), and the Beijing State Research Information Technology Co., Ltd. (SRIT).

78 billion RMB is about 11 billion Euros or 12 billion Dollar, or a bit more than 2 billion per Year for the next 5 years, which really is a big amount of money.

The target for those cars , chauffeured car service platforms, makes much sense as the average distances they do per service are well within the range of a current EV.


Update (2015-12-17 ; 15:00)

According to an interview from the local Newspaper ttela.se to Matthias Bergman, those 150k cars are meant to be all “corporate Sedans”, the one based on the last 9-3. The bodies will be build and painted in Sweden, and then sent to China for final assembly.

It makes sense as nobody would expect this car to have a huge public acceptance. And with this contract, they can build cars, which means revenue, and trained workers while developing the other four cars on their list.

ingvar
Member
9 months 10 days ago

Ops!
Things starts to happen,I Think. Maybe–?

Jonathan
Admin
9 months 10 days ago

Way to go Nevs! Let’s just keep our fingers crossed that these cars can be branded “Saab”.

JoPlSe
Member
9 months 10 days ago

+1, my exact thought as well.

Mika
Member
9 months 10 days ago

It sounds foolish to me to agree to spend billions on unbranded/no-make cars, so perhaps Panda already know something about what they will be called. At least I would like to know if I was to place such an order.

Trued
Member
9 months 9 days ago

NEVS own the rights to “9-3” so most probably that. The SAAB name is more uncertain.

StefanH STHLM
Member
9 months 9 days ago

They always have another four letter abbreviation i handy. Perhaps not the sexiest but I think Saab also wasnt so obvious as a car brand name when it was released.
What Im suggesting they have as a bail out is the letters NEVS.

Hakan
Member
9 months 10 days ago

Wow!

Angelo V.
Member
9 months 10 days ago
30,000 delivered per year. Well, if it actually happens, it’s better than zero I guess. They’ve signed agreements before that have been fruitless. Let’s see how this one goes. As Mr. Chao, CEO of Panda New Energy put it, “NEVS (has) a rich innovation heritage.” And who am I to disagree with that? NEVS has been innovative from day one. It’s reassuring that Stefan Tilk, the Vice Chairman at NEVS, wants to provide customers with “sustainable products and mobility services.” Both are very important in my estimation. Sustaining a product and having mobility is a good thing. Great things are… Read more »
Avelik
Member
9 months 10 days ago

More like 50 000 a year. Deliveries should start 2017.

Angelo V.
Member
9 months 9 days ago

Okay, I read it as 150,000 between now and 2020, and I broke that down to 5 years x 30,000 = 150,000. But you are correct—-2016 will be a dead year with no deliveries, so it is going to be more shipped per year if any cars are ever made. In any case, in the U.S. alone, KIA sells about 150,000 Souls per year. One model, one market, same volume as NEVS projections over several years. It’s just a different approach I guess.

Bradley Tallent
Guest
9 months 9 days ago

angelo, they need to at least make 1 ice saab. otherwise they shouldn’t bother coming to the u.s.

StefanH STHLM
Member
9 months 9 days ago

Have You informed TESLA about that? 😉

Angelo V.
Member
9 months 9 days ago

Tesla hasn’t made a profit yet.

StefanH STHLM
Member
9 months 9 days ago

Thought your comment suggested there would be no interest, among buyers, in a Saab EV.

hughw
Member
9 months 10 days ago

Angelo, do I detect a hint of sarcasm here? or have you gone full monty supporting NEVS?

Anyway, the more I read about NEVS announcements, even if taken a face value, and even if they are successful beyond all imagination, leads me to believe that we will never see a car on our shores (whether named “SAAB” or not) that remotely fills our wishes and desires for a SAAB reminiscent of what we love about SAAB.

Angelo V.
Member
9 months 9 days ago
No Hugh, they’ve made a believer of me. These guys just needed a little time to work the bugs out—-get the kinks out if you will. Now that they have three and a half years of experience under their belt, they’ve figured it out. A light went blink-blink in their head and they have it figured out now. If they don’t get use of the Saab name from Saab AB, I believe they should see about adopting the Desoto name. A new Desoto Motorcars might play well in China as they seem to love all things retro American in China.… Read more »
Mick E. Bice
Member
9 months 9 days ago

It’s a pity that Mitsubishi is already using the Mirage name, as that would have been a good name for a NEVS product.

Joe
Guest
9 months 9 days ago

I still prefer the “Vapor”

Romac
Member
9 months 8 days ago

A FOAF told me that the cars will be branded under the new Svenska National AB company (CEO KJ (no not the Korean), and badged as SNAB…

…so we can all continue to be snabs yay!

Mick E. Bice
Member
9 months 8 days ago

Or they can add an extra -B and have SNABB, which is Swedish for fast. Only problem with that is that NEVS is neither Swedish nor fast…

Mick E. Bice
Member
9 months 8 days ago

Or they can add an extra -B and have SNABB, which is Swedish for fast. Only problem with that is that NEVS is neither Swedish nor fast…

cpmoneymakerinfo
Member
9 months 9 days ago
to angelo v angelo i m0nique i am brand new on su i made some posts to red j and the site exploded i hope not because of my posts i followed su since victor M your posts record is amazing can you explain why you are so influenced by saab sweden and still drive a saab 95 og? why you care about nevs they just steel a heritage for nothing why you drive a small petrol engine while most us goes for the real thing v6 v8 v12 or harley s from millwaukee your posts are like instant coffee… Read more »
Angelo V.
Member
9 months 9 days ago
I live near Washington, DC and do have a marketing background. I drive a Saab 9-5, BMW 325i, KIA Sedona, 1979 Chevrolet Monza 2+2 and a Toyota Prius—-five cars and I’m the only driver in the household. Why do I love my Saab? Because it’s safe for my child to ride in the back seat. It has sentimental value because it was the last new car we bought before my wife died. And I have love and admiration for Sweden and Swedish people even though no one in my family has any roots at all to Sweden—-no Swedish blood and… Read more »
cpmoneymakerinfo
Member
9 months 9 days ago
nice said hugh if trollhattan in the interim just like to make painted bodies ok light in the plant saab did before supplying just bodies along side full completed cars land rover did in india the uk delivered ckd units if victor had launched the 95 ng combi together with the sedan maybe we were still there .but according japanese wording its the duty of a company to make a profit saab never did after 8 saabs i drive landrover now 4wd haldex like saab but with a intelligent ptu added by lr to see a real saab coming from… Read more »
John
Member
9 months 8 days ago

Hate to sound old and grumpy, but can you please use punctuation, capital letters, and grammar? I can’t make out what you’re saying.

John
Member
9 months 9 days ago

Unlike other posters here, I’m not hoping that these electric vehicles will be badged as Saabs. However, given the amount of money that equals, perhaps there is finally the money for a new platform that could be branded a Saab, and without shame? As long as the designs are inherently Swedish, and not inherently Chinese.

Angelo V.
Member
9 months 9 days ago

The company isn’t just “inherently Chinese” it’s a Chinese company, period.

John
Member
9 months 9 days ago

Aye, but you can always go back and enlist the design services of Saab designers from the past, or use some new and exciting Swedish designers. As long as the designers aren’t Chinese (nothing against the Chinese, but I want Swedish quirkiness in a Saab – something missing for decades now – not a Chinese take on the brand).

Aerobic
Member
9 months 9 days ago

Those figures work out at nearly €75,000 per car.

That’s 50% more than a Tesla for a car that’s nearly 20 years old. Doesn’t make sense. Have I dropped a nought or something in the calcs?

Avelik
Member
9 months 9 days ago

The deal is for 150 000 cars and 100 000 EV products and services. We don’t know what these products and services are, so we can’t say what costs what.

Steve
Member
9 months 9 days ago

Its not just the cars its other products as well. At least its a start and will bring some employment to Trollhatton at least.

saaburban
Member
9 months 9 days ago

The consumer in China will lease an all electric 9-3 from Panda, that includes electricity from National Electric. NEVS will provide a chinese assembled car, with european DNA loaded with China made batteries from National Electric. The car will include some smart mobility service that will assist in the leasing charge. The consumer will be those in goverment run businesses and authorities, where public contracts will be made on a massive scale.
Nevs is a 100% chinese owned company, it offers chinese made product, that has its orgins in north european premium cluster of Saab & Volvo.

saabdog
Member
9 months 9 days ago

Why would any company enter into a multi-billion dollar purchase agreement with a “manufacturer” that has no track record? Call me skeptical, but something just doesn’t sound quite right about this. At this point, I don’t know what to think or believe anymore.

Mick E. Bice
Member
9 months 9 days ago

+9000!

saaburban
Member
9 months 9 days ago

Your asking the wrong question: WHO owns Panda?

Jesse Crandle
Member
9 months 9 days ago
Exactly. I think we can all take a shot in the dark and conclude a majority of Panda is owned by the Chinese government. Just like a majority of the company who owns the people supposedly working with NEVS to make the electric components is owned by the Chinese government, and just like, how now, NEVS is mostly owned by the Chinese government. You know… it makes me wonder. They keep saying that they’re going to “sell” someone (in this case) 11 billion dollars worth of product… but can you really call it “selling” when it’s just the Chinese government… Read more »
John
Member
9 months 9 days ago

Aside from Jesse’s good observation (is NEVS gov. owned though?), I dare say new money often invests in new money likewise.

saaburban
Member
9 months 9 days ago
To be both swedish & chinese is a smart balancing act that makes for a complex business plan that is both a short & longterm strategy to build a global business. The priority is not the cars, its to build a company that creates synergies for its diverse owners and investors. By keeping up a small production in Trollhattan, Nevs can demonstrate that its know-how connects down to 50 years of Saab DNA. Maybe for the next 10 years China will be the priority, but to grow outside China in the rest of the world the Scandinavian roots is the… Read more »
Bradley Tallent
Guest
9 months 9 days ago

nomore ice saab, nomore saab for me.

John
Member
9 months 9 days ago

Likewise, I don’t really want these electric only cars being badged Saab either and understand Saab AB’s position. But if the money’s real, NEVS should have the budget to build something new, which under a Saab brand name could have an ICE without compromising the NEVS brand.

If they do that, I’d save a whole lot of money by basing a new 900 on Skoda Octavia, with significant re-styling and the larger 1.8 or 2.0 engine.

WD78
Member
9 months 9 days ago
In another news artical at svt.se, interviews with Nevs and THT: “-We work very closely with the development of the new batteries that will mean faster loading times of a few minutes. The car will also be able to run six hundred to perhaps a thousand kilometers on a single charge, says José Vidal who is battery technology manager at Nevs. However, it takes three to five years before the new technology will be available in electric cars, and then the great battle for the automotive customers in China begin. And the authorities there are doing everything to ensure that… Read more »
Jesse Crandle
Member
9 months 9 days ago

The thing I don’t get… is China owns most of NEVS, most of the company making the battery technology, most likely a large majority of “Panda”, then they’re going to basically “buy” 150,000 electric NEVS 9-3s from themselves, then sell them at huge discount to the Chinese people. What’s the point? In a way I guess it’s communism at it’s finest, government providing you with a free (or very very cheap) car, but I don’t see how this will benefit the Chinese government if they’re not selling to the rest of the world.

jond
Member
9 months 9 days ago
Well, initially what they need is a plausible base on which to build these vehicles. Saab had a worldwide reputation for innovation and to own the company implies that they will most likely start with a solid and comfortable vehicle, which may actually be a delight to drive. Also, with Volvo and Saab both now in Chinese hands they have conduits to Western markets and, most importantly, to Western technology. If they build just a few of these new vehicles for the Swedish market then they will be able to maintain this situation. There will be no need to compete… Read more »
saaburban
Member
9 months 9 days ago
Its called tax, you take money from ordinary people and companies, give it to Nevs to develop and produce a car, the car is then sold to a goverment owned company, that leases the car back to the taxed companies and people. By subsidising some of the lease, they can avoid competition, and the taxmoney has been converted into a product that can be used to not only Clean up chinese cities suffering from pollution, but also develop tech know-how to compete on the world market. The taxmoney has now created both jobs = more taxpayers and Clean enviroment =… Read more »
FW
Member
9 months 9 days ago
So the dust settles and NEVS strategy is beginning to unfold. Except the Swedish, nobody will ever be able to buy the old 9-3 NG ever again. This car will be reserved to Chinese authorities and some adventourous Swedish. The relaunch of the brand new oldtimer 9-3 series is meant to generate cash and nothing else. In 2018 new models will follow and the should be available around the rest of Europe and maybe later North America. A short calculation: what, if all these 150,000 vehicles placed on order are to substitute the texyi fleet of Tianjin city. Wiki tells… Read more »
Angelo V.
Member
9 months 9 days ago

This was the plan three years ago too, remember? Build some 9-3s for cash infusion, because their big investor in China wanted them to. Well, they did it. Now they’ll do it again, with electric. It’s the “electric slide.”

Steve
Member
9 months 9 days ago

If only the Swedish government could have done something similar in Victor Mullers days. But, like our British government, they would rather see home grown and prestige companies go to the wall. If it weren’t for the Chinese they’re would be no Swedish car industry.

cpmoneymakerinfo
Member
9 months 8 days ago

impressive statement angelo same as me the complete saab feeling although its just material i wished i was back in the high live again as before with a new saab keep going angelo.

Angelo V.
Member
9 months 8 days ago
Thank you Monique. When I think about Saab and Volvo—-it saddens me to see that the one I always preferred, Saab, went down a “road of the damned” while Volvo followed the Yellow Brick Road. Volvo is now introducing beautiful new products and gaining market share in the U.S., while Saab is no longer Saab—-it’s NEVS and there’s a shell game going on with a company calling themselves New Panda (sounds like a Chinese take-out joint in Scranton). One company is launching new products with their competent Chinese owner overseeing a rebirth, while the other company is mired in quicksand… Read more »
Joe
Guest
9 months 8 days ago

Maybe Scranton is where the first New Panda SUV Superstore will land, Angelo! Don’t be so harsh…

Angelo V.
Member
9 months 8 days ago

Joe: NEVS has bigger aspirations. Their first three stores will be in New York, Miami and Los Angeles with Chicago not far behind. If Jiang is feeling really charitable, he might even invite Elon Musk to allow Tesla to share showroom space with New Panda. More than likely, Musk will decline, as he won’t want his products to be dwarfed by the technology, style and superiority of NEVS.

Joe
Guest
9 months 8 days ago

New Panda coming to an upscale mall near you…perhaps even Tysons Galleria?

Angelo V.
Member
9 months 8 days ago

Tesla’s already in there! I walk past the Tesla store often but haven’t gone in. I’ll definitely go in the NEVS Store if they have a 9-3 EV in there.

Angelo V.
Member
9 months 3 days ago
Joe: I wonder if we’d get in trouble for trade infringement if we went into business with a car company called “Old Panda” and did an Elio type three wheeled vehicle, but an EV? We could market it as a hip, swinging, Latin flavored vehicle—-in “Muchacha Pink” and “Macho Black” as well as “San Mateo Red” (an old Cadillac color) and Navidad Green, among others. The first model would be the “Nueve-Uno” to be followed by the Nueve-Dos, Nueve-Tres, etc. Oh, and then I want to talk to you about a movie project I’m working on, “A Man Called Muller.”
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