Little French car maker Mia Electric has been going through rough waters one more time. Many say the company, which has never been profitable, will never be. Car manufacturing doesn’t work with low volume unless it’s for high end expensive products. The company is losing money every month, because there are too few customers for its little low performance city electric vehicle. Mia Electric was about to cease business last week, but a new investor showed up at the last minute, an unknown German-registered company named Focus Asia GmbH.
It got 88% of all shares for an undisclosed sum, and we learned separately that it plans to invest €36 million ($48 million) in the company. So it’s a new start, but we have yet to learn how Mrs Michelle Boos, the new CEO, intends to turn around the company.
Mia Electric has 210 people on its payroll, and is losing €1 million every month. It just needs to find more customers, but that is not easy when Renault EVs, which are much better built, and faster are hardly more expensive than the little Mia. And we shall not forget Volkswagen, which will launch its E-Up small car before the end of the year. Mia Electric needs to come with a better product. The interior’s plastics must be improved, and the warranty on the battery which today is a 3-year 50,000 km affair (31,000 miles), has to be lengthened to match the competition.
Mrs Michelle Boos will face a tough challenge, but with so few companies really dedicated to electric mobility, we have to wish her luck. A company’s building little efficient zero emission vehicles deserves to be successful.
Our illustration: the Mia Electric Mi Amore version at the Paris motor show last year.