Business News

Canada's cut-price answer to Tesla just officially opened its factory in China

Key Points
  • Canada's single-seater has a retail price of $15,500.
  • It is now being manufactured in China.
  • Electra Meccanica has a bulging  order book.
The "SOLO EV" has a 100-mile range and a retail price of $15,500.

Vancouver-based Electra Meccanica has confirmed that larger-scale production of its single-seat budget electric car is underway at a facility in central China.

The "Solo EV" has a 100-mile range and a retail price of $15,500. The three-wheeler can be charged at a regular household socket in under 6 hours.

Deliveries began in May 2018, with components supplied by Zongshen Industrial Group and assembled in British Columbia, Canada. Now the firm is looking to ramp up production by building in China itself and has officially opened the Zongshen facility in the province of Chongqing.

Electra said in a statement Monday that it expects to produce approximately 50 Solo EVs in the quarter ended March 31, 2019 before accelerating to a total of 5,000 cars by year-end.

"I am proud of our strategic partners at Zongshen, who have provided us with a state-of-the-art production facility and a highly-skilled production team to make the Electra Meccanica Solo EV a reality," said Jerry Kroll, CEO of Electra Meccanica.

The company is also developing the Tofino, a two-seater electric roadster sports car and in November 2018, the company said total vehicle pre-orders exceeded 64,000 units, representing $2.4 billion in potential sales. The majority of these orders were for the as-yet unbuilt Tofino.

The company's first U.S. dealership opened in Los Angeles in 2018 as the firm looks to target California's early adoption of electric cars.

With a market cap of just $126 million, shares in the firm now trade on the Nasdaq. They have been highly volatile over the last 52-weeks, hitting a low of 90 cents and a high of $8.25. As at Tuesday morning, the latest price was $3.89.

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