December 2015 – On the Chinese Electric Car Market

From The Associates’ experience of investing in electric vehicle manufacture, our founder was invited to weigh in on an upcoming Chinese electric car company by prominent Swiss-French newspaper Le Temps.

“They are not the first to launch,” says Edward Man. This Hong Konger, formerly of US private equity firm The Carlyle Group, had also invested in an electric car project, Detroit Electric, before withdrawing a year and a half ago. He cites Faraday Future and Fisker Automotive, projects which are also funded by big Chinese financiers. Not to mention there is BYD Auto, backed by Warren Buffet, which already sells commercialised electric cars in China.

For Edward Man, who has two Teslas, a Roadster and a Model S, NextEV is “not a concern. Developing a car requires much more skill and time than producing a mobile phone. If a smartphone catches fire, the consequences are limited. If a car catches fire… Finally, they will need to pass not only Chinese but European tests to demonstrate their credibility.” Even if they develop very quickly, “they need at least three years before reaching the market. From this point of view, they do not present a threat to Tesla,” said Edward Man.

Link to article (French only): http://www.letemps.ch/economie/2015/12/28/nextev-derniere-voiture-electrique-chinoise-courir-derriere-tesla