Since the end of October last year, when Hengchi 5 started deliveries, just over 900 units have been delivered in nearly half a year. 2023 will end in the first quarter, and the 10,000-unit target of Evergrande Automobile is already out of reach.

The year 2023 is destined to be an extraordinary year for the auto industry. In the new energy automobile national subsidy canceled, new energy automobile fired the first shot of the price war. From Tesla to ask the world Peng, expanded to the entire new energy industry, competition tends to white-hot.

By March, the price war spread to the field of fuel cars, from the price war range to the price cuts, are unprecedented events in the automotive industry. The price war is nothing more than a brutal commercial war, or even a war of life and death, in which profits are sacrificed for sales.

In the face of the hot price war, for the car companies have long been on the edge of life and death, is undoubtedly worse. Evergrande automobile announcements have the risk of shutdown, life and death exist between a line.

An announcement makes waves.

Real estate enterprises to build cars, which three years ago was a very hot event, and even home appliances, science and technology enterprises are cross-border car. But after a period of precipitation, it will be found that the rich and powerful real estate enterprises, have the signs of water and soil. Evergrande is so, Baoneng is also so.

The storm started, Evergrande Automobile March 23 announcement, "the group can not get new liquidity in the case of the risk of stopping production." In fact, before that, there have been few people to pay attention to Evergrande Auto, relative to the price war opened by Tesla, Dongfeng-led fuel car counterattack, Evergrande seems to be forgotten.

From the March 23 announcement, since last October, the first batch of Hengchi 5 formally opened delivery, has accumulated more than 900 Hengchi 5 delivery, in order to be able to focus on financial resources to support the mass production of Hengchi 5, the company continued to promote cost-saving initiatives, took the initiative of the group's Swedish subsidiary National Electric Vehicle Sweden AB to take attrition measures, the optimization of staff structure. The staff structure was optimized.

Hengda Motors said there is a risk that the group will stop production if it is unable to secure additional liquidity. But the group's cumulative barbless cash flow from 2023 to 2026 is expected to reach between minus $7 billion and minus $5 billion if it can seek more than $29 billion in future financing for its plans to launch a number of flagship models, which it expects to be mass-produced.

Simply put, Evergrande Automotive can not get financing again, there will be a risk of production stop. That is, new energy vehicle enterprises often said "capital chain" broken, such as Weimar automobile is already at stake.

Hengchi 5 is not good

Over the past period of time, Evergrande has been resolving the debt crisis, which to the transition to new energy vehicles, is also one of the troika of self-help.

However, relative to measures such as guaranteed delivery of buildings, the new energy car seems to be not smooth. The first model Hengchi 5 delivery is not ideal, and there are problems with funding.

As Evergrande's first mass-produced SUV model, Hengchi 5 is positioned as a compact SUV, targeting luxury models such as Mercedes-Benz GLA, Audi A3, BMW X1, etc. It is equipped with a 150-kilowatt electric motor, accelerating from 0-100 kilometers/hour in 7.8 seconds, and is equipped with a Ninde Times lithium iron phosphate battery with a rated capacity of 72.8KWh and a range of 602 kilometers.

Since the delivery started at the end of October last year, the Hengchi 5 has been in turmoil. Within 15 days after the pre-sale was opened, Hengchi 5 claimed that orders had exceeded 37,000 units, but at that time, only 100 units could be found in the delivery data. By the end of December last year, Hengchi 5 delivered ****324 units.

Relative to the new car-making forces, the listing of scheduled to break 10,000 deliveries gradually climbed the state, Evergrande Automobile's rhythm is obviously not right. After the year, Evergrande Automobile will not move, until the announcement on March 23, only to return to the public eye again.

Nearly half a year, Hengchi 5 deliveries are less than 1,000 units, out of the blue. With such a scale and efficiency, it is obvious that it can't protect itself, let alone save the aircraft carrier Hengchu.

Rats from a sinking ship.

From Evergrande's announcement, it can be seen that in order to cut down on costs and expenses, Evergrande has taken a number of measures, including reducing the overall number of employees, arranging for some of the employees to take a break from work and reducing the salaries of some of the employees, etc., which is actually more than that.

Relative to the Hengchi 5 mass production before the vow, after the mass production of sales and less than expected, some subsidiaries of Evergrande Automobile has been difficult to sustain. For the Swedish subsidiary National Electric Vehicle Sweden AB to take measures to reduce the number of employees, has not been as simple as reducing the number of employees.

According to an interface news report, in order to reduce costs and clean up debt, the Swedish global electric vehicle company (NEVS) announced that it will start a "hibernation program" that will lay off 95% of its 320 employees, leaving only 20 employees. NEVS had acquired Saab's assets, which were then taken under Evergrande Automobile's umbrella.

NEVS is not the first Evergrande subsidiary to fall, nor the last. At one time there were rumors that a number of Evergrande Automobile affiliates had been listed as executors by the relevant courts, such as Evergrande New Energy Vehicle Investment Holding Group Co.

According to the public information, by the end of 2022, Evergrande New Energy Automobile Investment Holding Group Co. In March of this year, Evergrande New Energy Automobile (Guizhou) Co., Ltd. was listed as a faithless executor (old scoundrel) for refusing to fulfill the implementation of the settlement agreement without a valid reason.

Preferring the closure of subsidiaries and allowing branches to be executed, Evergrande Automobile is also indifferent, which can only be said to have been a clay Bodhisattva, difficult to protect itself. 29 billion yuan of financing for the fierce competition in the new energy industry, is not a small investment. And Evergrande Motor shares from April 1, 2022 at 9:00 am on the Stock Exchange suspended trading.

Since its name change to Evergrande Automobile in September 2020, Evergrande Automobile is a continuous loss-making state. According to the data of Evergrande Automobile's financial report, in 2018, 2019 and 2020, Evergrande Automobile lost 1.429 billion yuan, 4.426 billion yuan and 7.394 billion yuan, respectively, and the full-year financial report of 2021 has not been released on time.On April 1, 2022, Evergrande Automobile announced the suspension of trading, which has not yet resumed trading.

Xu Jiayin had made a bold statement in 2020, saying Evergrande Automobile strives to become the world's largest and strongest new energy automobile group in 3-5 years. Now, Hengchi 5 has obviously failed to meet expectations after delivery, not to mention not enough to support its dream of new energy vehicles. It remains to be seen how far Evergrande Auto can go.

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