Kandi Technologies Group Inc. (Nasdaq: KNDI) announced on Wednesday its electric vehicle model, the K23, will launch on the United States market.
The K23, Established by Kandi’s wholly-owned subsidiary, Kandi Electric Vehicles (Hainan) Co., Ltd., (Kandi Hainan) received eligibility for up to $7,500 tax credits, the company said in a statement. The move comes under the New Qualified Plug-in Electric Drive Motor Vehicle Credit from the Internal Revenue Service, giving U.S purchasers of the K23, eligibility for the credit, according to Kandi.
Kandi Hainan hosted a launch conference recently in Garland, Texas, where it attracted over 120 distributers in the U.S, along with an on-site test drive of the K23. Kandi Hainan signed a $32 million Supply contract for the initial 2000 model K23 with SC Autosports on Oct. 1, due to the enthusiasm the distributors showed during the launch conference, Kandii said.
Also, the first 200 vehicles will deliver by the end of the year, according to the contract.
“We are very pleased that Kandi EV model K23 is qualifying for the U.S. federal tax credit in 2020 and the success of the model K23 launch conference in Texas. Following the model K23’s entry into the U.S. Market, we are confident in our ability to secure Kandi’s market share in the United States’ pure electric vehicle market,” Xiaoming Hu, the chairman and chief executive officer said in a statement on Wednesday.
Kandi’s other EV models, the K22 and EX3, also received U.S tax credit eligibility earlier this year, identically as the K23 did. The $7,500 tax credit will be eligible for those who purchase a new Kandi K22 or EX3 in 2020. (CW source linked below)
Kandi’s EV products are helped developed, manufactured and sold by its long-time partner Geely Technologies Co. Ltd. The joint venture, which dates back to 2013, completed an equity transfer earlier this week, giving Geely 21.74% stake in Kandi Electric Vehicles Group Co., Ltd., which Kandi owns 50% of. (CW source linked below)
Kandi’s stock closed trading the same as yesterday, at $4.50 per share.