Kandi's Affiliate to Roll Off its First Production Electric Vehicle, the Maple Model 30X
Adding to a good week for China's EV industry, Kandi's affiliate, Fengsheng Automotive, unveils its electric car to government officials.
Kandi Technologies Group Inc. (Nasdaq: KNDI) said on Wednesday that its affiliate has unveiled its first production electric vehicle (EV), the Maple Model 30X, at a ceremony in Rugao, Jiangsu province.
The Maple 30X, made by Fengsheng Automotive Technology Group Co. Ltd. was showcased in front of both government officials as well as executives from its long-time partner, automaker giant Geely Technologies Co. Ltd., according to a statement by Kandi.
In September, Geely obtained a 78% stake in Fengsheng, formerly known as Kandi Electric Vehicles Group Co. Ltd. The partnership between Kandi and Geely dates back to 2013, when the two agreed on a 50-50 split to develop, manufacture and sell EV products and related auto parts through Fengsheng.
The Maple 30X was given test drives by guests at the ceremony and those who participated praised the vehicle's driving performance, according to Kandi.
During the ceremony, Yijun He, the mayor of Rugao, said that the Maple 30X would be a "vital element" in driving growth in the city's EV industry.
Based in Jinhua, Kandi operates through its subsidiaries Zhejiang Kandi Vehicles Co. Ltd., Autosports LLC and Fengsheng. The company also makes off-road vehicles and various electric car parts.
Earlier this week, Kandi received some good news from Beijing when Wei Miao, China's minister for industry and information technology, said significant subsidy cuts for new EV's will not be implemented this year.
Dating back to March, when the South China Morning Post reported that the subsidy cuts would take place, Kandi's stock took a hit. In March, Kandi closed as high as $8.01 per ADS, whereas after the report of the cuts, it fell to as low as $5.28 apiece in the following month. On Wednesday, Kandi's shares inched 1.2% higher to $4.75 apiece from Tuesday's close.
The Maple 30X is scheduled to launch after the Chinese New Year on Jan. 25. Kandi said it is targeting to produce and sell 30,000 Maple 30X's in 2020.