American electric vehicle startup Fisker (NYSE:FSR) announced Friday their intention to open a delivery center in China in 2023 and commence deliveries of the Fisker Ocean SUV in Q1 2024. Company leadership recently visited China and engaged in productive discussions with officials and business leaders in Shanghai. The conversations focused on automotive supply chains, logistics, warehousing, and future production development.
“After beginning deliveries in Europe and with first vehicles coming to our US customers on June 23, we are excited to move into the Chinese market later this year,” Chairman and CEO Henrik Fisker said. “We expect China to be an important growth market for EVs in the future and believe our vehicles will be very appealing. That is why we established an office there and intend to open a delivery center this year. I believe we can get production up and running in China as early as next year, potentially adding capacity of 75,000 Fisker Oceans annually.”
China board member, Daniel Foa outlined the company’s advantages in the country at the company’s annual shareholder meeting on June 6th.
“Firstly, China represents a third of global vehicles sales, which is roughly 26 million cars in 2022, of which electric vehicles represent 6-7 million, around a 25% share,” he said. “In 2023 year-to-date, that has grown to around 27%. Secondly, the premium and affordable luxury segment is growing faster than general segments. Fisker fits right in that segment with its unique history, features, and design.”
“China has always had a high acceptance of high-quality traditional international automotive brands,” Foa added. “There has been a rapid shift to electrification both from government policies and consumer behavior. Fisker is one of only two EV only international companies which are viable alternatives to traditional brands. This will enable us to be on the short list for consumer purchase decisions but with a more feature-rich product. As a new international EV brand, this presents a vast opportunity for Fisker in China.”
With a starting price of $68,999, the Fisker Ocean Extreme has an EPA-estimated range of 360 miles on standard 20” wheels and tires. The all-electric SUV starts at $37,499 for the Fisker Ocean Sport trim level.
Shares of FSR are up 1.23% in pre-market trading on Friday.