Li Auto faces scrutiny following i8 crash test involving truck manufacturer, attempts to minimize backlash
In the world of electric vehicles (EV), Li Auto has found itself in the midst of a second large-scale controversy, specifically within the battery electric vehicle (BEV) sector. The controversy erupted following a safety test involving the Li i8 electric SUV, a model recently launched by the NASDAQ-listed company (NASDAQ: LI).
The test, which was intended to demonstrate the Li i8's safety features, involved a collision with an 8-ton truck. The video shared by Li Auto showed the interior of the truck, with the logo on the steering wheel indicating that the truck was from Chenglong Truck, a subsidiary of Dongfeng Liuzhou Automobile. However, Chenglong Truck has since disputed the authenticity of the video, stating that it was fake and that their legal department was handling the matter.
Deliveries for the Li i8 began on August 20, with a starting price of RMB 321,800 ($44,770). The truck used in the test, on the other hand, did not display any brand information. Despite the controversy, Li Auto emphasized that they hold Dongfeng Chenglong in high regard, as they are an outstanding representative of China's truck industry and a state-owned enterprise with decades of history. They also stated that they have no direct competitive relationship with Dongfeng Liuzhou Chenglong.
The China Automotive Engineering Research Institute (CAERI) was drawn into the controversy, with CAERI stating that the test was solely aimed at verifying the vehicle safety of the Li i8 and was not a standard vehicle-to-vehicle collision test. Li Auto also released a statement, stating that the test was intended to verify and enhance the passive safety performance of the Li i8, and not to evaluate the product quality of any other brand.
Interestingly, this is not the first time Li Auto has faced controversy in the BEV sector. Their first BEV model, the Li Mega MPV, had disappointing sales, with monthly deliveries typically less than 1,000 units. On the other hand, the Onvo L90 flagship SUV by Nio Inc sub-brand Onvo, which was launched on July 31, has been widely compared to the Li i8. The Onvo L90 has a starting price of RMB 265,800, including an 85-kWh battery pack.
The controversy surrounding the Li i8 electric SUV test has led to concerns about Chenglong Truck's quality and safety, given the dramatic collision depicted in the video. However, Li Auto maintains that the Dongfeng Chenglong's quality and safety have always been trusted by truck customers.
As the dust settles, it remains to be seen how this controversy will impact both Li Auto and Chenglong Truck. One thing is certain, though: the world of EVs continues to be a dynamic and evolving landscape.
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