Geely plans to establish a new electric brand specifically to enter global markets and challenge EV makers including Tesla, officials familiar with the Chinese automaker’s activities tell WardsAuto.
The premium brand, named ZEEKR, will be integrated into Geely’s newly created Lingling Technology offshoot and operate separately from the more volume-oriented Geometry EV brand launched by Geely in 2019.
Rumors surrounding Geely’s use of the ZEEKR name for its new electric vehicle brand have circulated since the Hangzhou-based company filed for trademarks on a series of ZEEKR-themed names earlier this month.
Geely, which also owns Volvo Cars, Lotus, Lynk & Co., Proton, Terrafugia and London Electric Vehicle Co. (LEVC) as well as a 50% stake in Mercedes-Benz’s Smart city car brand, plans to base ZEEKR models on its open-source sustainable experience architecture (SEA).
While details of Geely’s ZEEKR brand are yet to be made public, speculation is it could be operated in partnership with Chinese internet services company Baidu. A strategic partnership between Geely, China’s largest private automaker, and Baidu, China’s leader in internet search operations, was announced in January.
Baidu’s automotive operations currently center on software development in an approach similar to Google parent company Alphabet’s Waymo division. Baidu’s Apollo open-source operating system has attracted partners including Toyota, Honda, Volkswagen and Ford as well as semiconductor producers Intel and Nvidia.
Geely plans to sell ZEEKR models through dedicated sales facilities located in city centers in a marketing strategy that departs from its traditional dealership model. It also plans to support vehicle sales with a line of lifestyle-oriented clothing and accessory lines in a move aimed at reaching new customer groups.
The new brand, described to WardsAuto as being premium in nature and positioning, is the latest attempt by Geely founder and chairman Li Shufu to enter the luxury car segment.
The 57-year-old Li, who was instrumental in Geely’s purchase of Volvo in 2010 and a 9.7% shareholding in Mercedes-Benz parent company Daimler in 2018, is said to be personally overseeing the establishment of ZEEKR which, besides targeting Telsa on a global basis, also will compete with new Chinese EV brands including NIO, XPENG and Li Xiang.
News of Geely’s plans for ZEEKR comes at a time when it is reorganizing its Chinese operations in a bid to become a leading electric vehicle contract manufacturer and engineering services provider through the outsourcing of the SEA platform to third parties.
In January, Geely announced it had agreed to form a joint venture with Chinese contract manufacturing company Foxconn – the maker of Apple’s iPhone – in a partnership planned to focus on electrification, connectivity and autonomous driving technology as well as EVs designed for ride-sharing operations.
Geely Sustainable Experience Architecture (SEA) platform.
