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According to media reports, ideal Automobile is planning a production capacity improvement project at the Changzhou plant, and the production plan for the Chongqing base has been stopped. According to people familiar with the matter, the suspension of the plant production plan in Chongqing is limited by the operation of many factories, and the ideal car is focused on the development of Beijing and Changzhou in accordance with the guidelines of the national automobile industry development policy.

Ideal Automobile responded to "Interface News" that it will continue to promote the production layout plan according to the national industrial policy and its own pace of development. Efforts are being made to improve the operational efficiency of the Changzhou plant to ensure timely delivery of orders.

Previously, it was planned that the third factory of ideal car would be located in Chongqing. In January 2022, the land A16-8 in Zone An of Liangjiang New area of Chongqing completed the transaction, with a land area of 1.1334 million square meters and a transaction price of 431 million yuan. the transferee is Chongqing Che Zhiyu Automobile Industry Co., Ltd. the industrial category of land use conditions is transportation equipment manufacturing. According to the industrial and commercial registration, Chongqing Automobile Zhiyu Automobile was founded in December 2021 with a registered address at 618 Liangjiang Avenue, Longxing Town, Liangjiang New District, Chongqing. The company is 100% controlled by Chongqing ideal Automobile Co., Ltd.

At present, ideal car has set up production bases in Changzhou and Beijing.

Before the Beijing factory was officially put into production, all models of ideal cars were produced by Changzhou base. In December 2018, Beijing Auto and Home acquired a 100% stake in Chongqing Lifan, a subsidiary of Lifan Automobile, for 650 million yuan, obtaining the qualification for the production of new energy vehicles. At the same time, Chongqing Lifan's production base in Changzhou is leased to ideal cars, becoming the production base of ideal ONE.

It is understood that the annual production capacity of the ideal car plant in Changzhou is 100000, while the ideal car delivers 90491 new cars in 2021, and its production capacity is stretched. In 2021, ideal Automobile will expand its production base in Changzhou, adding a new plant with an annual production capacity of 100000 vehicles, and the total annual production capacity will be increased to 200000 vehicles. Ma Donghui, president and chief engineer of ideal Automobile, revealed that at present, the Changzhou plant has two production lines, one of which is used to produce ideal L9 and ideal L8 models, while the other can produce ideal L7 and ideal L8 models at the same time.

Beijing is the most important automobile industry base in Beijing, Tianjin and Hebei, and it is also where the ideal automobile headquarters is located. In 2021, ideal Automobile took over Beijing Hyundai Shunyi No. 1 Factory, transformed into an ideal automobile green intelligent manufacturing base in Beijing, and started construction in October of that year. In June this year, the production qualification of Beijing ideal Automobile Co., Ltd. was approved, and the new Beijing Shunyi Intelligent Factory will be officially put into production this year to support the production of pure electricity and extended range products.

On July 14, the 373rd batch of "Road Motor vehicle production Enterprises and products announcement" new products were announced. Ideal Automobile's L7, L8 and L9 models were re-declared, and the production enterprise was changed to Beijing ideal Automobile Co., Ltd. to produce No. 18 Renhe Section of Tongshun Road, Shunyi District, Beijing. This means that the L7, L8 and L9 models will also be produced in Beijing factories in the future.

As for the Chongqing factory, in fact, Beijing Automobile and Home signed a contract with Chongqing Liangjiang New area as early as August 2018, planning to invest 11 billion yuan to build a smart car manufacturing base, covering an area of 1.2 million square meters, with a total capacity of 400000 vehicles per year. The base will be built in two phases, and the first phase of the project is expected to have an annual production capacity of 200000 vehicles within 2021 and put into production at least two smart electric vehicle products. However, the cooperation was shelved for a time.

In June, ideal delivered 32600 new cars, up 150.1 per cent from a year earlier. In the first half of the year, the cumulative delivery volume of ideal cars was 139100, an increase of 130.3% over the same period last year. Li Xiang said that the L8 and L9 sales in the third quarter will exceed 10,000, the L7 will challenge monthly sales of 15000, and the ideal car will challenge 40, 000 monthly delivery in the fourth quarter.

It is worth mentioning that the actual sales of many new forces do not match their planned production capacity. Li Xiang said that the goal of the ideal car in 2025 is to achieve the first sales of all luxury brands in the Chinese market (that is, the first sales of all passenger cars over 200000 yuan), with a delivery volume of 1.6 million vehicles per year. According to the current production scale of the Changzhou plant and the Beijing plant, even if the ideal car is expected to meet the annual delivery target of 1.6 million vehicles, it will be hampered by capacity. Therefore, the construction of new factories may be imminent.

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