Gasgoo Munich - The battle for the new-energy vehicle market is spilling over into financing right at the start of the year. To navigate shifting demand and lure buyers, major automakers are rolling out aggressive financial incentives in early 2026. By offering ultra-long-term, zero- or low-interest loans, they're effectively lowering the barrier to entry.
Image Source: XPENG
XPENG made waves today with the launch of a 7-year financing option. The offer applies across its entire lineup, featuring a 7-year low-interest installment plan with monthly payments as low as 1,355 yuan. The promotion runs from January 21 to January 31, 2026.
Tesla, meanwhile, is mounting an equally aggressive campaign with a two-pronged approach. Beyond its high-profile "5-year 0% interest" deal, the automaker is offering a "7-year ultra-low interest" loan with an annual percentage rate as low as 0.98%. This dual strategy targets two distinct groups: buyers looking to minimize total costs and those prioritizing lower monthly payments.
Xiaomi EV, a key new player, has quickly followed suit with a more flexible "3-year 0% interest" package. The move offers a straightforward, value-driven option for consumers who prefer shorter repayment terms and want to avoid paying interest altogether.
As the national purchase tax exemption for new-energy vehicles is halved, leading automakers are absorbing financing costs to effectively subsidize purchase prices. This move essentially neutralizes the price impact of the policy shift.
This financing-led battle signals a shift in the market: the contest has evolved beyond just products and pricing into a full-scale service war where financing options are a key battleground.
For buyers, this is clearly a window of opportunity to capitalize on financial incentives. Experts advise carefully calculating the total cost versus monthly payments across different schemes, and making rational decisions based on individual financial planning.
