Chinese state banks gave $ 2 billion to Tesla’s competitor

Chinese state banks gave $ 2 billion to Tesla’s competitor

January 12, 2021 0 By autotimesnews

Startup Xpeng Receives Credit to Expand Production

Three Chinese state-owned banks have lent the equivalent of $ 1.98 billion to startup Xpeng, CNBC reported. The money will be used to expand activities and develop production.

Interestingly, the same banks have previously provided loans to other electric vehicle manufacturers. In particular, in early 2020, NIO received money, and in 2018, two out of three banks helped Tesla build a plant in Shanghai.

Xpeng did not disclose details of how the money will be spent. As recently as the second half of 2020, the startup raised more than $ 4 billion through an IPO in New York. The company announced its intention to begin construction of a second plant, and also recently showed a teaser for the new sedan (pictured above).

Xpeng has sold 27,000 electric vehicles in 2020, including one hundred G3 crossovers delivered to Norway. The P7 sedan became the leader in sales, which is a direct competitor to Tesla Model 3.