Neta's sales of 152,073 units in 2022 are the highest of China's major new car makers, but its flagship model starts at half the average sales price of Nio models.

(Image credit: Neta)

Hozon Auto's electric vehicle brand, Neta Auto, has raised the prices of all models on sale, as China's purchase subsidies for new energy vehicles (NEVs) withdrew at the end of 2022.

The Neta U-II, which is in the middle of Neta's product array in terms of price, saw the most price increase at RMB 6,000 ($870), with an updated price range of RMB 135,800-165,800, according to the company's website.

The company's cheapest model, the Neta V, went up in price by RMB 4,000, with a new price range of RMB 83,900 - 123,800.

Neta's flagship sedan, the Neta S, saw a price increase of RMB 3,000, with a new price range of RMB 202,800-341,800.

The company had previously previewed the impending price increase, saying it was due to the withdrawal of purchase subsidies for NEVs in China and continued price increases for key components such as batteries.

Neta's sales of 152,073 units in 2022 are the highest among China's major new car makers. But that's not something to be proud of, as it's targeting the budget electric vehicle market, with the flagship Neta S starting at half the average Nio price.

Cumulative deliveries of the Neta S since deliveries began at the end of November were 2,205 units, including 2,003 in December.

Neta U delivered 51,021 units in 2022, up 155 percent year-on-year. A total of 98,847 units of Neta V were delivered for the year, up 99 percent year-on-year, according to the company.

Neta did not provide figures for the single month of December when it announced sales figures on January 1, though CnEVPost's calculations show it delivered 7,795 units in December, considering it had delivered 144,278 units through the end of November.

This is an unexpected decrease of 48.28 percent from November's 15,072 units and 23.03 percent from the 10,127 units delivered in the same month last year.

In addition to Neta, vehicle selling prices for a number of other car companies, including BYD, have also increased this year due to the withdrawal of subsidies and higher raw material costs.

Notably, Xpeng (NYSE: XPEV) announced on January 1 that the suggested retail prices for its models in 2023 will be the same as the post-subsidy prices at the end of 2022.

This means that Xpeng will bear the additional costs of the subsidy withdrawal itself. Previous purchasers of Xpeng models could receive purchase subsidies ranging from RMB 10,080 ($1,460) to RMB 13,860.