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Since the international emission requirements become more and more stringent, and the policy requirements continue to advance, the development of new energy vehicles has become the primary strategic plan of many car companies, even if the internal combustion engine still occupies a large number. In this regard, PSA said a few days ago that it will not invest in internal combustion engines.

Carlos Tavares, CEO of Peugeot-Citroen, said on a Reuters car summit conference call that with the transition from internal combustion engines to electric cars, car companies have invested heavily in the pre-transformation of electric vehicles or the integration of more resources, but in the era of electric vehicle transformation, not all car companies can make the transition smoothly. "only those with Darwinian spirit can survive."

This also means that in Tang Weishi's view, the transformation of electric cars must be realized as soon as possible, and more car companies will mass-produce models ahead of time to ensure market profits.

Tang Weishi said that as colleagues in Europe and China accelerate the promotion of new energy vehicles, PSA will no longer invest in internal combustion engines. Because the group is adapting to the fact that the European Union will ban the sale of internal combustion engine cars between 2030 and 2040. The European Union is not the only region to issue this regulation, California Governor Gavin Newsom also issued a 2035 ban on the sale of fuel cars.

In this regard, car companies must achieve transformation before the implementation of the policy, otherwise they will not be able to make a profit. after all, as the policy gets closer and closer, the tension will become more and more intense. Now, as the largest electric car company, Tesla has won the vast majority of the global market share through obvious advantages. Data show that the best-selling electric car in Europe in September is Tesla Model 3, with 15702 new cars registered.

Meanwhile, sales of electric vehicles surpassed diesel cars for the first time in September, according to the latest new car registration report released by European car data analyst JATO Dynamics in 27 European countries. In September, a total of 1.3 million new cars were registered in Europe, of which 327800 were electric vehicles, accounting for 25 per cent of total sales, tripling, while the market share of diesel vehicles fell below 25 per cent for the first time, while the market share of gasoline vehicles fell to 47 per cent, down significantly from 59 per cent in the same period last year.

Therefore, it can be predicted that the sales of electric cars will continue to increase in the global market. In recent years, as governments of various countries have made efforts to promote electric vehicles, gradually eliminate diesel vehicles, and even plan to reduce the number of new gasoline vehicles sold every year, a number of new laws and regulations and a variety of tax concessions have been formulated to attract users to choose more environmentally friendly electric vehicles.

In addition, Tang Weishi also mentioned that because the research and development of electric vehicle technology needs more money than internal combustion engine technology. So the company can either sell cars at the right price to protect profits and lose some middle-class customers who cannot afford electric cars, or offer preferential policies out of their own pocket without government subsidies, and then sell electric cars at a loss. Compared with smaller or more transformational car companies, it will be difficult to make a profit and thus be eliminated.

As for the ongoing merger of PSA and FCA, Tang Weishi said the merger was expected to be completed in the first quarter of 2021. And reiterated that the merger is going according to plan, "so far, everything is going well, and many of the complex tasks have been completed." After the merger, the group will also make improving its performance in China one of its main tasks. after all, in Tang Weishi's view: "No international car company can bear the consequences of not having a market in China."

At present, from the perspective of China, which is the largest automobile market in the world, both PSA and FCA have a very low market share in China. It is not difficult to see that with the transformation of new energy vehicles, PSA and FCA will hope to revive the Chinese market through new energy models.

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