China's electric vehicle market is witnessing a strategic shift as SAIC and Alibaba introduce an extended-range electric vehicle (EREV) variant to their IM LS6 lineup. This collaboration addresses consumer anxiety around charging infrastructure by combining electric efficiency with the backup security of a petrol generator, all while targeting a competitive price point below 200,000 yuan to capture broader market appeal.

Key Takeaways

• The IM LS6 EREV represents a strategic partnership between tech giant Alibaba and automaker SAIC in China's competitive EV landscape

• Hybrid power: this new variant employs a 114 kW turbocharged petrol engine functioning solely as a generator for the electric powertrain

• Battery Options: The EREV can be equipped with either a lithium iron phosphate (LFP) or nickel manganese cobalt (NMC) battery, both produced by SAIC and CATL

• Priced below 200,000 yuan ($27,760), it significantly undercuts competitors like the Luxeed R7 (249,800 yuan)

• EREVs now represent 8% of China's vehicle market, addressing range anxiety without requiring extensive charging infrastructure

• The launch demonstrates how hybrid technologies are creating mass-market appeal during China's transition to electrification

The Growing EREV Segment in China's Electric Vehicle Landscape

China's pivot toward electric mobility continues at a remarkable pace, with plugin vehicles capturing 52% of the market as of March 2025. Battery electric vehicles (BEVs) account for 34% of auto sales, while plug-in hybrids (PHEVs) represent 27%. The extended-range electric vehicle segment has carved out an 8% market share, highlighting growing consumer interest in this hybrid approach.

Industry projections suggest China's EV market will exceed 10 million units in 2025, with EREVs playing an increasingly important role. These vehicles address a fundamental consumer concern: range anxiety. By incorporating a small combustion engine that serves exclusively as a generator, EREVs offer the benefits of electric driving without worrying about charging station availability during long trips.

This technology represents a transitional solution in China's electrification journey, aligning with government policies that support various new energy vehicle (NEV) technologies rather than mandating a single approach. For consumers hesitant to commit to pure electric vehicles, EREVs offer a practical compromise.

IM LS6 EREV: Technical Specifications and Powertrain Details

The new IM LS6 EREV utilizes a 15FNE turbocharged petrol engine generating 114 kW (153 hp). Unlike traditional hybrids, this engine never directly propels the vehicle—it functions solely as a generator for the battery and electric motor system.

Power delivery comes from a single electric motor mounted on the rear axle, delivering a peak output of 230 kW (308 hp). Buyers can choose between two battery options: a lithium iron phosphate (LFP) or a ternary nickel-manganese-cobalt (NMC) battery, both produced by the SAIC-CATL joint venture.

The vehicle achieves a top speed of 200 km/h and maintains a curb weight between 2,345-2,350 kg. This configuration strikes a balance between performance and efficiency, offering flexibility for long-distance travel while operating primarily on electric power during daily use.

Pricing Strategy and Market Positioning

SAIC and Alibaba have positioned the IM LS6 EREV at a price point below 200,000 yuan ($27,760), strategically undercutting competitors like the Luxeed R7 from Chery and Huawei, which starts at 249,800 yuan ($34,670). This aggressive pricing represents a significant discount compared to the current all-electric IM LS6, which starts at 209,900 yuan ($29,130).

By creating a lower entry price for the EREV variant, SAIC and Alibaba aim to boost mass-market adoption and expand their customer base. The launch is expected in Q1 2025, according to company statements, and will position the IM LS6 EREV as one of the more affordable options in the expanding extended-range segment.

This pricing strategy reflects the intense competition in China's electric vehicle market, where manufacturers must balance technology offerings with consumer affordability to gain market share.

Existing IM LS6 Electric Lineup Context

The current all-electric IM LS6 lineup offers multiple powertrain options with power outputs ranging from 216 kW to an impressive 579 kW for performance variants. The entry-level EV model uses a UAES-made TZ210XS1141 motor (245 kW/329 hp) paired with a CALB LFP battery.

Mid-tier variants feature a Hasco Group TZ230XY1252 motor (300 kW/402 hp) with a CATL NMC battery, while the performance-oriented model combines two motors for a total output of 500 kW (670 hp). The top model accelerates from 0-100 km/h in just 3.48 seconds with 800 N⋅m torque.

Premium variants of the all-electric IM LS6 offer a CLTC range of up to 802 km and are built on an 800V or quasi-900V high-voltage architecture. The new EREV variant complements this lineup by providing a more affordable entry point with the added benefit of range extension.

Design Features and Safety Systems

The IM LS6 EREV maintains the distinctive design elements of its all-electric sibling, including a roof-mounted LiDAR sensor that enhances autonomous driving capabilities. Retractable door handles and a low beltline design contribute to the vehicle's aerodynamic efficiency, crucial for maximizing electric range.

Available with R20 and R21 wheel options, the SUV features approach and departure angles of 17 and 21 degrees respectively, providing decent capability for light off-road use. Inside, buyers can opt for a futuristic steering yoke in place of a conventional steering wheel.

Safety features include an advanced intelligent system with collision warning and various autonomous driving capabilities, positioning the IM LS6 EREV as a technologically advanced option in its segment.

Competitive Landscape and Industry Implications

In China's rapidly evolving EV market, domestic players like BYD, NIO, XPeng, and Geely continue to lead innovation. The collaboration between traditional automaker SAIC and tech giant Alibaba represents a growing industry trend of partnerships that combine automotive expertise with digital technology capabilities.

EREV technology is becoming increasingly important for automakers targeting mass-market adoption, as it addresses one of the primary barriers to EV adoption: charging infrastructure limitations. By offering lower price points for range-extended vehicles, manufacturers can attract consumers who remain hesitant about committing to pure electric options.

This strategic adaptation demonstrates how the industry is responding to real consumer concerns rather than pushing technology that may not yet align with market readiness or infrastructure development.

The Future of EREVs in China's Electrification Journey

Extended-range electric vehicles provide a transitional technology that bridges conventional vehicles and pure electric models. The increasing adoption rates suggest growing consumer acceptance of this hybrid approach, particularly in a market where government policies continue to support diverse NEV technologies.

Ongoing improvements in both battery technology and combustion generator efficiency are enhancing the appeal of EREVs. However, they likely represent a temporary solution until charging infrastructure reaches sufficient density nationwide.

As China continues its ambitious electrification goals, the role of EREVs will evolve. For now, they offer a practical compromise that addresses current limitations while maintaining progress toward a fully electric future.

Sources

CarNewsChina - Updated IM LS6 from SAIC and Alibaba will get an EREV variant to boost sales

CleanTechnica - 52% Plugin Vehicle Market Share In China — March 2025 Sales Report

CnEVPost - IM Motors launches updated LS6

Images: IM Motors