AUTO – Is Aiways on the brink of imminent death?

Market self-regulation in the automotive industry began with an internationally significant player, the Chinese Aiways, which could disappear.

Every entrepreneur will tell you the same thing: there is indeed the “know-how,” but the most important thing remains the “know-how to promote.” Without notoriety, things are more complicated, and success will take longer to achieve. A situation that can be deadly for a young company. This is why it is necessary not to dismiss traditional manufacturers too quickly, despite their difficulty in shifting to electric vehicles, an unprecedented industrial revolution in their history. This seems to be the case with Aiways.

Founded in 2017, the Chinese manufacturer Aiways then boasted about its origins, claiming to be the new Volkswagen of the Middle Empire. In 2023, the venture seems on the verge of bankruptcy, with very disappointing results and serious financial problems. Unless the Chinese government intervenes, everything suggests that Aiways could disappear in the coming months. Recent estimates indicate that fewer than 10,000 cars have been sold since 2020 and the launch of the first models. Chinese media outlets like IT HOME list the company’s failures: unpaid rent, electricity, water, subcontractors… and wages.

While freight vehicle market power is consolidating in China around Geely, BYD, or SAIC, everything suggests that smaller players will disappear. It is also a matter of satisfying a gigantic domestic market while aiming for imperialist performance abroad. This requires very difficult long-term financial strength. It is not the European manufacturers or Tesla that will complain about the failure of one of their competitors, which is not yet to be dismissed from the game, beware!

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