The American electric vehicle market continues to be dominated by Tesla (TSLA) – Get Tesla Inc. Reportwhich is by far the largest company for production and deliveries in the world.
Tesla has produced and delivered more EVs than any other company in the world in the first half of the year with 563,987 produced and 545,884 deliveries.
Volkswagen had some of the best results from Tesla’s competition in the first half of 2022, delivering 217,100 EVs. Ford Motor Co. (F) – Get Ford Motor Company Report delivered almost 23,000 EVs in the first half of 2022. Rivian (RIVN) – Get Rivian Automotive Inc. Report says it targets producing 25,000 EVs in 2022.
Rivals Ramp Up Production
Ford said it is targeting production of 600,000 EVs annually by the end of 2023 and 2 million a year by the end of 2026, according to a statement. CEO Jim Farley said in the company’s second-quarter earnings call that it targets producing 14,000 EVs in July.
General Motors (GM) – Get General Motors Company Report delivered over 7,600 in the first half of 2022 and fewer than 25,000 EVs in 2021. GM’s CEO Mary Barra claims that her company will outsell Tesla within three years with the help of a plan to slash the price of its EVs. The automaker is slashing the Chevrolet Bolt small electric SUV to start at $26,000 later in 2022 and also plans to sell a Chevy Equinox small electric SUV with 300 miles of range for about $30,000 in the fall of 2023.
Tesla’s Model 3 base price starts at $46,990 and remains its cheapest vehicle.
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Tesla’s Chinese rivals have had a little success competing, as BYD sold 323,519 electric vehicles in the first half of 2022. But Shanghai-based Nio (NIO) – Get NIO Inc. American depositary shares each representing one Class A 蔚来汽车 Report only delivered 10,052 EVS; Guangzhou, China, EV maker XPeng (XPEV) – Get XPeng Inc. American depositary shares each representing two Class A 小鹏汽车 Report delivered 11,524 EVs and Beijing-based Li Auto Inc. (LI) – Get Li Auto Inc. Report said it delivered 10,422 EVs in July.
Fledgling Vietnamese EV maker VinFast, which began taking orders for its VF 8 and VF 9 electric SUVs in January, is ramping up its sales activity in the US with the opening of its first six stores that are located in California, according to a statement. The Hanoi-based company opened locations in Berkeley, Commerce, Corte Madera, San Diego, San Mateo and Santa Monica, Calif., in July to showcase and sell its vehicles.
VinFast said it is planning to open more than 30 stores in California and will explore possible expansion to other states across the US, according to its website.
The VinFast VF 8 with a 316.9 miles range is priced starting at $41,000, while the starting price for the VF 9 (422.5 miles) is $56,000.
The company, founded in 2017, announced plans in April to build its second factory to be located in North Carolina with a capacity of 150,000 vehicles per year. The company’s flagship factory is in Haiphong, Vietnam.
Factory Gets Incentive Package
VinFast announced in July that the State of North Carolina provided its factory there with a $1.2 billion incentive package. The package, authorized by Gov. Roy Cooper in early July, is the largest economic incentive package in the state’s history. The new plant opening would make VinFast the first automaker to locate in North Carolina, according to a statement.
“VinFast applauds North Carolina for their efforts and determination in advancing the state’s clean energy economy and carbon mitigation goals,” VinFast Manufacturing US CEO Van Anh Nguyen said in the statement. “This investment by the State of North Carolina is the starting point for a future marked by innovation, job creation, and economic growth. Today exemplifies how government and industry can come together to pursue a brighter future.”
Construction on the plant is expected to begin sometime in the second half of 2022 with production beginning in July 2024.