JAC-Volkswagen Goes for Mileage Leasing Scheme to Promote Its First Vehicle in China
Tang Shihua
DATE:  Dec 13 2019
/ SOURCE:  yicai
JAC-Volkswagen Goes for Mileage Leasing Scheme to Promote Its First Vehicle in China JAC-Volkswagen Goes for Mileage Leasing Scheme to Promote Its First Vehicle in China

(Yicai Global) Dec. 12 -- JAC-Volkswagen Automotive, the 50-50 electric vehicle joint venture of Volkswagen Group and China's Jianghuai Automobile Group, plans to promote its first car under a mileage leasing model in a bid to confound the nation's sagging sales of new energy vehicles.

Users will be able to drive the Sihao E20X, a sports utility, at an average cost of CNY1 (14 US cents) per kilometer after paying a basic membership fee of CNY99 (USD14.10), online tech media 36Kr reported. The scheme will kick off in Nanjing and Changzhou, two cities in eastern Jiangsu province.

The SUV, which was launched at the end of September, is targeted at younger urban residents with two versions priced at CNY128,000 (USD18,200) and CNY138,000.

The number of new energy vehicles produced and sold in China fell for a fifth month in a row in November, according to the China Association of Automobile Manufacturers. The figures for pure electric vehicles fell 29.6 percent to 96,000 and 41.2 percent to 81,000, respectively.

JAC-Volkswagen is also making efforts to expand its share of the corporate market in addition to mileage leasing and other measures to spur demand. It is focusing on both big clients and the private market while expanding its sales channels, company President Li Mingzeng said previously.

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Keywords:   Renting by Mileage,Electric Vehicle,Joint Venture,Volkswagen,JAC Motors