What's Going On With Chinese EV Brand Zeekr Stock Today?

Author: Nabaparna Bhattacharya | August 22, 2024 09:03am

The battery electric vehicle (BEV) sector is set to lose another key player, as Chinese auto conglomerate Geely's luxury EV brand Zeekr Intelligent Technology Holding Limited (NYSE:ZK) reportedly plans to introduce a hybrid model.

Zeekr will debut a flagship SUV in the latter half of 2025, equipped with Nvidia’s Drive Thor autonomous driving chip and offering variants with a new electric-hybrid powertrain technology, reported CnEV Post.

Andy An, president of Geely Holding Group and CEO of Zeekr, revealed the plan during Geely Automobile’s 2024 interim results announcement, marking the first time a Zeekr executive has provided a timeline for the launch of a hybrid model.

The flagship SUV, set to launch in the third quarter of 2025, will feature a hybrid technology that merges the benefits of plug-in hybrid and extended-range hybrid systems.

Also Read: Chinese EV Brand Zeekr Eyes European Manufacturing To Avoid EU Tariffs: Report

According to An, this will offer enhanced power and performance for users, CnEV Post added.

The system delivers a driving experience similar to BEVs in extended-range mode, while the engine powers the vehicle at highway speeds, addressing the high fuel consumption issues seen in traditional extended-range electric vehicles (EREVs) during highway driving, An explained.

Initially, most of China’s earliest EV startups focused on the BEV market, but recent experience reveals that consumers favor hybrids to avoid range anxiety, the report highlighted.

Li Auto’s significant success in the EREV market further demonstrates the growing acceptance of these hybrid models, per the report. New Chinese car makers that initially offered only BEVs, such as Leapmotor and Neta Auto, have recently expanded their offerings to include EREVs.

In contrast, NIO and XPeng continue to focus solely on BEVs and have explicitly stated they have no plans to introduce EREVs.

Zeekr, established in March 2021, launched its first model, the Zeekr 001 shooting brake, in April 2021, with deliveries commencing in October of the same year.

Price Action: ZK shares are trading lower by 1.31% to $16.63 premarket at last check Thursday.

Image Credits – Shutterstock

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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