⚡ Get All Content for 20% Off ⚡

Tesla Is Being Outsold in China By a $4.5K Electric Car You'd be forgiven for never having heard of the Hong Guang Mini EV before.

By Matthew Humphries

entrepreneur daily

This story originally appeared on PCMag

Wuling via PC Mag

Tesla may have the best-selling electric vehicle in the world right now in the form of the Model 3, but in China, a rival is outselling the Model 3 at an almost two-to-one ratio. It's called the Hong Guang Mini EV, and one of its major selling points is the fact it only costs $4,500 (or $5,000 with air conditioning).

In October last year, Tesla cut the price of the Model 3 in China by 8%, meaning it's possible to buy one there for as little as $36,805. That's still over eight times more expensive than the Hong Guang Mini EV, though. But there are, of course, many tradeoffs for such a low price point.

The Mini EV uses a 9.2kWh battery offering a range of just 75 miles (120km) and relies on a single electric motor capable of 17.4 horsepower and a top speed of 62mph (100km/h). It can seat four people, but I doubt you'd want to attempt that for a long journey based on how small the Mini EV is. The tiny car is manufactured by state-owned company SAIC Motor as part of a joint venture with General Motors (GM) and known locally as Wuling.

As the BBC reports, the Mini EV is proving very popular in China not only because of the low price, but because of the one big (convenient) incentive the Chinese government offers. It can apparently take years to get a license plate for gas-powered vehicles in the country, but the government guarantees a free license plate with every electric vehicle purchase.

Related: Tesla Could Receive a Bump From a New $7,000 Tax Credit

So how popular is the Mini EV? Not only is it now outselling the Model 3 by almost double, it was the second best-selling electric vehicle in the world last year, ahead of the Renault Zoe and Tesla Model Y. The Model 3 still retains a huge lead, but Elon Musk may be concerned to hear that the Mini EV is set to be offered in other markets soon.

Matthew Humphries

Senior Editor

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Side Hustle

The Remote Side Hustle a 43-Year-Old Musician Works on for 1 Hour a Day Earns Nearly $3,000 a Month: 'All From the Comfort of Home'

Sam Ziegler wanted to supplement his income as a professional drummer — then his tech skills and desire to help people came together.

Leadership

Former Interrogator Shares 5 Behaviors Liars Exhibit and How to Handle Them

Five deceptive behaviors to look for and how to respond to those behaviors when you encounter them.

Marketing

Ever Wonder Why Certain Websites Rank Higher Than Yours? This SEO Expert Reveals The Secret to Dominating Search Results

It's often the smart use of SEO, now supercharged with AI, particularly in keyword optimization.

Business News

AI Is Impacting Jobs. Here Are the Gigs Affected the Most, According to an Analysis of 5 Million Upwork Postings

The researcher said in the report that freelance jobs were analyzed first because that market will likely see AI's immediate impact.

Business Ideas

55 Small Business Ideas to Start in 2024

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2024.