Karma Automotive to Build $375M Electric Vehicle Factory in China

Andrew Cummings
August 10, 2016

The Revero isn't expected to deviate too much from the original Karma, however, and prototypes have been spotted looking nearly identical to the old model.

Karma, resurrected from the remains of Fisker Automotive after that company's bankruptcy and subsequent sell-off, is owned by Chinese conglomerate Wanxiang Group.

Karma Automotive said Monday it will start selling its luxury plug-in hybrid vehicle this year at eight US and two Canadian auto dealerships, including one in Pasadena.

Karma Automotive LLC in Costa Mesa said its distribution strategy for the new Revero auto will include 10 independent dealers and a company-owned "brand-experience center" in Orange County. They have also formulated a deal with automotive dealership in U.S. Thus it shows their planning to launch the latest vehicles in U.S as well.

The company plans to build a $375 million EV plant in Hangzhou, China, according to the company's application for an environmental impact review posted on its website.

But once Karma starts building cars destined for buyers, even in low volume, it will need places to sell them. That plant is now building prototypes, as Karma moves forward on its plan to launch the auto by the end of the year.

Wanxiang Group acquired the bankrupt Fisker Automotive and has provided financial backing to bring the automaker back from the grave. It was bought for about $149 million and was re launched as Karma later on.

The only thing worth worrying is that this company is going to focus on two-door cars. Of the 50,000 per year capacity, more than three-fourths (39,000) have been earmarked for the Atlantic, which boasts of a top speed of 216 km per hour and can run 100 kph in 6.5 seconds. Any automaker needing to build a good profiting business has to offer different vehicle types, unless they are exclusively focusing on making two door super cars.

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