Joint Statement of CG Motors and Hozon Auto on the Pricing of the Neta V

Subsequent to the launch of The NETA V automobile on Wednesday by CG Motors (a subsidiary of Chaudhary Group), the company received a lot of attention along with stark criticism regarding the pricing of the vehicle.CG Motors has set the price of the NETA V at Rs 37,99,000. This raised concerns regarding it being much higher than in China, as well as the fact that the official distributor company is making a large profit.According to the statement, these questions have piqued the interest of not only CG Motors but also Hozon Auto, the car manufacturer. The following are excerpts from the statement that aims to clear out the issue.First, the Nepalese government has reduced the tax burden on electric cars when compared to cars with internal combustion engines. Aside from that, there are no other discounts available. In China, however, the government has provided cash incentives to consumers who purchase electric vehicles. This exemption does not apply to cars that are exported.Second, the Chinese central and provincial governments offer a variety of discounts and concessions to electric car manufacturers, lowering the cost of the product and benefiting consumers. For example, the upcoming fiscal year's budget, which was released on May 30, states that a company that manufactures or assembles cars in Nepal will be exempt from paying income tax for the next five years. The various discounts provided in this manner reduce the manufacturing company's costs while benefiting the consumer. However, no country makes such concessions for the purpose of exporting.Third, by reducing carbon emissions, China has provided additional benefits to electric vehicles. Cars arriving in Nepal are not provided with this service.Fourth is the use of left-hand drive (LHD) vehicles in China. Right-hand drive (RHD) driving is the norm in most Asian countries, including Nepal. An investment in R & D (research and development) is required to design an LHD to RHD conversion. The cost of the car is increased by the investment made in this manner. For example, the cost of R & D for a Tesla car adds around $1,100 USD. Adding the cost of R & D after converting it to RHD adds some value to the car.Similarly, its price (CIF value) is nearly identical to that of NETA V's competitors in the Nepali market. Looking at it another way, the market price of the Neta V appears to be Rs 200,000 less than the car's price in Nepal.When all of the Chinese government's incentives for electric cars are factored in, the total cost is between $5,000 and $6,000. In the statement, the company urges people to study the Chinese concession before spreading unnecessary confusion about the Chinese price of NETA V in Nepal as information on these topics is easily available through Google.The company has also strongly advised consumers not to spread rumours about the price of the NETA V on social media or to believe them and that CG Motors has introduced the Hozon NETA V car to the Nepali market, with the goal of providing high-tech zero-pollution vehicles at competitive prices. The company has urged everyone to direct any queries about NETA V, Hozon Auto, or CG Motor directly to them.