Look Out, Tesla

CHJ Automotive, a Chinese startup and rival to Tesla, has become the latest entrant in the race to capture a piece of the electric vehicle (EV) market. CNBC reports, from Co-Founder Kevin Shen, that CHJ is planning to launch two vehicles which are now in development: a hybrid SUV and an ultra-compact car. The ultra-compact car, slated for a March 2018 release, is targeted for the Chinese market.

“In China, there are 340 million people (who) daily commute with e-scooters, but there is a strong demand for them to upgrade to something,” Shen told CNBC . “But we cannot imagine all of them driving cars, so we want to give them something else, which is an ultra-compact car.”

That diminutive size may seem odd in the U.S., but in urban areas all over the world, this kind of ultra-compact, electric vehicle is the ideal affordable solution to traffic, pollution, and parking problems.

Going Global

CHJ has yet to release official images of the car, but did show preliminary designs of the ultra-compact vehicle to CNBC. The car’s tiny size, at 2.5 meters (8.2 feet) long and 1 meter (3.3 feet) wide, makes it lighter and easier to power. It will run on two changeable batteries, which means that it can quickly stop for a battery swap and then keep going. It will come with Google’s in-car operating system, Android Auto, and will cost between €7,000 ($7,824) and €8,000 ($8,911.04).

CHJ is targeting European markets as well, but for ride-sharing projects, not yet for consumers. CHJ just entered into a joint venture with Clem, a French car-sharing platform . Together the companies will trial a car-sharing service using the ultra-compact vehicles in Paris.