Chinese electric vehicle startup Leapmotor has entered the North American market by launching its B10 crossover in Mexico. This move comes at a time when U.S. policies are increasingly restricting Chinese car imports, pushing manufacturers to explore nearby markets like Mexico and Canada.
Leapmotor’s Expansion Into Mexico
Leapmotor, founded in 2015, is one of China’s fastest-growing new energy vehicle (NEV) startups. It has launched the B10, an extended-range electric crossover, in Mexico through Stellantis’ dealership network. Stellantis, which owns brands like Jeep, Ram, and Fiat, invested 21% in Leapmotor in 2023 and supports its international growth.
- Model: B10 extended-range electric crossover
- Price: Around 575,000 MXN (~26,500 euros)
- Range: Claimed 990 km (615 miles) combined
- Features: Large touchscreen infotainment system, Tesla-style design cues
Chinese EV Growth in Mexico and Beyond
Mexico is experiencing a surge in electric vehicle sales, tripling plug-in vehicle sales last year. Chinese imports accounted for 85% of those sales, highlighting strong demand for affordable NEVs. Besides Leapmotor, brands like BYD and Geely are increasing their involvement, with plans including local production and potential acquisition of existing plants.
- BYD plans local manufacturing
- Geely in talks to acquire a Nissan plant
- SAIC-GM-Wuling aims to produce vehicles in Mexico
Challenges for Chinese EVs in the U.S.
Although Chinese EVs are gaining ground in Mexico and Canada, entering the U.S. market remains difficult. The U.S. government has imposed tariffs exceeding 100% on Chinese vehicles, alongside heightened political tensions. Stellantis CEO Antonio Filosa recently stated there is currently no space for Chinese EVs in the United States.
- Polestar removed from the U.S. market due to Chinese ownership
- High U.S. tariffs on Chinese vehicles
- Mexico and Canada serve as alternative North American markets under new trade agreements
Chinese EVs Eye Canada as Next Step
Canada is set to welcome Chinese EV brands like Geely’s Lotus soon, under a new trade deal allowing lower import tariffs for up to 49,000 Chinese EVs annually. Chinese ambassador Wang Di has expressed hopes that more brands will enter Canada this fall, with BYD planning sales next year.
Why It Matters
Leapmotor’s launch in Mexico marks a strategic step for Chinese EV makers to establish a foothold in North America despite U.S. restrictions. By growing sales and production in Mexico and Canada, they may increase their chances of eventually entering the U.S. market. For buyers, this means greater access to affordable, tech-rich EVs, even if U.S. availability remains limited for now.
Source: insideevs.com