This Chinese brand could use a clever method to maintain the ecological bonus

The Chinese group BAIC will collaborate with Hyundai to produce cars under its Arcfox brand. A sleight of hand which should allow it to make a peaceful arrival in Europe, while taking advantage of the French ecological bonus.

Until then, there were only two criteria to meet for an electric car to be eligible for the ecological bonus of 5,000 euros. In fact, it must be below 47,000 euros and weigh less than 2.4 tonnes. But that will change.

Stricter conditions

And for good reason, the government wants to tighten the screws on aid and anticipates the arrival of new stricter conditions. This will notably involve the creation of a scale which will be based on several environmental criteria in order to establish the eligibility of a vehicle or not. Among them, the amount of CO2 emitted during battery manufacturing or the energy mix of the country where it is produced.

A total of 60 points will be necessary, but be careful, because the government has found a way to automatically ban all cars produced in China. This is done by modifying the score allocated to each battery technology and putting LFP (lithium – iron – phosphate) packs produced in China at a disadvantage. Result, cars from the Middle Kingdom will no longer be eligible for the ecological bonus next year.

But that does not prevent Asian brands from wanting to establish themselves in Europe, like BYD which is maintaining its plans. But another manufacturer could also arrive in Vieux Vatinent in the coming years. This is Arcfoxwhich is part of the BAIC group and which unveiled at the start of the year an unusual family car called Kaola, designed for families and babies.

If she has not yet officially announced her intention to be marketed in Europe, this remains entirely possible. Especially since it could benefit from a great advantage which would allow it to remain eligible for the ecological bonus over the coming years, where the Dacia Spring and other Tesla Model 3s would no longer be entitled to it. But how ?

European manufacturing?

In fact, you should know that the Chinese group BAIC is associated with Hyundai as part of a 50/50 joint venture. The latter allows the Korean manufacturer to sell cars on Chinese soil, but she also has an interest in the Arcfox brand. As the site indicates Ked Globalthe latter will benefit from the know-how of its partner to manufacture its cars.

Hyundai has a production site in Beijing, from which BAIC could benefit. This would allow it to not have to invest in creating its own assembly line. But this strategy should also help it arrive on European soil. Because the Korean manufacturer also has a factory in the Czech Republiccurrently considered one of the most advanced in Europe.

With a design carried out in Europe, a car has a greater chance of earning points and respecting the conditions of the ecological bonus in France. Do you see where we’re going with this? It is in fact completely possible that Arcfox uses the Hyundai factory based in Nosovice to assemble its vehicles there if one day the brand wishes to arrive here. Which cannot be ruled out, while Nio and Xpeng also do it, as does MG which is doing very well. And so, it could benefit from government aid, unless the State tightens the screws again.

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