Chinese brand looks to Europe to get ahead: Breakout brand to adopt European settings in Australia as the new upstart luxury brand looks to have a smoother launch than other Chinese car brands
A wave of new Chinese brands have hit Australian shores in the past year, but for many the roll-out has been turbulent.
Chery was criticised early in its arrival for the overactive lane keep software and laggy dual-clutch automatic in its debut Omoda 5small SUV. GWM products, both from the Haval and Tank sub-brands, have frequently been held back by frustrating safety systems. MG was re-booted in Australia with some ordinary-to-drive SUVs, but is gradually repairing this image with its MG4hatch.
Its launch product, the Zeekr X small SUV, will sit below the $59,990 (before on-road costs) Volvo EX30 on the price-scale, while offering the same performance and a new-age design.
When asked if the brand was conscious of these stumbling blocks and was aiming to avoid them with the X and beyond, local boss Connel Yan said “Absolutely.” He confirmed the X would launch with the European suspension tune, but with leeway for Australian refinement, with current local testing underway for active safety (ADAS) systems.
“For both models we’re launching, we’re doing local testing. We’ve got a team out there adopting the European settings, which we like a lot, but we understand the needs and the appetite and interests here. We want to make sure that different road conditions can be catered for.”
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When asked if the brand has the breadth to make more significant changes to cater to local tastes as time goes on, Yan confirmed that was one of the advantages of Zeekr's Australian operation being enthusiastically factory-backed by Geely.
“Absolutely, we’re very flexible. HQ is open minded and adaptable, they’re willing to understand what works outside of China. They have not only the attitude to accept such differences, but also the resources to make changes in a relatively fast manner.”
He described the conversations with the brand’s Chinese HQ on model supply as being “amicable” adding, “we can really feel the support - It’s good we can communicate both ways with China, as the market there is very different.”
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An example of the changes the brand was willing to make, Yan explained the upcoming 009people mover received some major updates for the version sold outside the domestic market.
“The 009 was first launched without many features for the driver back in 2022, because in the Asian market it’s a chauffeur driven car. But, because it can be a driver’s car, immediately they can just insert all that required content [for export markets].”
Yan believes Zeekr is entering a “sweet spot” in Australia, undercutting some rivals in the premium space, while offering the same performance powertrains and a similar level of luxuries as its Volvo and Polestar sister brands.
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This semi-premium positioning occupied by the Zeekr X won’t necessarily be mirrored throughout the entire line-up he said, pointing to the 009 people mover and the 001 wagon overseas that can “go to the top of that pricing pyramid.”
“It’s not about targeting particular rival brands,” he said regarding prices. “I think the products need to be aligned with their potential.”
Zeekr was clear that it wouldn’t be aiming for a particular sales number in its first 12 months in the Australian market, saying it was instead committed to a smooth launch, and would then take stock of local feedback and adjust from there.
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Various parts of the brand experience are yet to be communicated. Zeekr announced five years and unlimited kilometres of warranty for the X, it was yet to land on what the premium end of the experience looked like. The local division is considering charging solution packages and events for owners.
Unlike Polestar's direct-to-customer model, Zeekr will launch with a franchised dealer network, and will operate separately from its sister brands in the Australian market.
It faces competition in Australia not just from brands in a similar part of the market like Mini or Cupra, but will also face new unknowns like fellow Chinese rivals, Xpeng and Leapmotor, both are due before the end of the year.
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Despite this and Zeekr’s rapid pace from announcement to launch, Yan said the plan wasn’t purely to get a head start.
“We’re planning things and exercising at our own pace. We’re keen to be first but at the end of the day it’s not important because we’re here to stay.”
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