Ride-hailing firm Grab to launch electric cars in Vietnam
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Ride-hailing firm Grab plans to launch electric car services in Vietnam and Indonesia after piloting a program in Singapore at the end of this year.
Grab is partnering with South Korea’s automotive manufacturer Hyundai Motor to encourage the adoption of electric vehicles in Southeast Asia.
Both parties will test new business models including battery and electric vehicles leasing, thus lowering the entry barrier for its driver as the cost to own an electric car is high.
Grab had said in an earlier report that some of the concerns that make drivers reluctant to use electric vehicles are their price, lack of charging stations and long waiting time for the battery to be fully charged.
Russell Cohen, Grab’s managing director of operations, said that the company hopes governments will have incentive policies and essential infrastructure like charging stations so that electric vehicles will have many opportunities to develop.
Grab and Hyundai have been partners since 2018. In 2019, the ride-hailing firm purchased 200 Hyundai Kona electric cars for its car-hiring service GrabRentals in Singapore.
Questions & Answers
Q.Which specific countries will Grab launch its electric car services in after the Singapore pilot?
Which specific countries will Grab launch its electric car services in after the Singapore pilot?
After the pilot programme in Singapore, Grab plans to launch its electric car services in Vietnam and Indonesia. These are the initial target markets in Southeast Asia for the expansion.
Q.What business models are Grab and Hyundai testing to make electric vehicles more accessible for drivers?
What business models are Grab and Hyundai testing to make electric vehicles more accessible for drivers?
Grab and Hyundai are testing new business models, including battery and electric vehicle leasing. This strategy aims to lower the entry barrier for drivers, addressing the high cost of owning an electric car.
Q.What are the main concerns drivers have about using electric vehicles, according to a previous Grab report?
What are the main concerns drivers have about using electric vehicles, according to a previous Grab report?
Drivers are reportedly reluctant to use electric vehicles due to their high price, a lack of available charging stations, and the long waiting times required for batteries to fully charge.