Nick Lai: My question is very fast. Yeah, the first question is about the cooperation agreement with CATL and the pricing arrangement with CATL and also an €“ can you pre-update us statement solid actually. And secondly, can we talk about the potential investment size for new initiatives? Thank you.
William Li: Nick, thank you for your question. For this year, we will introduce a new battery partners. I believe, probably around March, we’re going to launch new battery packs in collaboration with ALB. At the same time, we will also keep our long-term strategic relationship with CATL, but right now, we’re in discussion with CATL in terms of the new agreement, but we haven’t signed the agreement yet. I believe that the discussion direction is basically that the battery companies will start to work in parallel with the auto companies, and we are going to share the volatilities of the raw material cost together throughout the supply chain. And when it comes to the semi solid battery, we have a sense of battery teams to help our partners in the semi-solid battery, make sure they can have a small mass production for the batteries.
But we are really sorry for the delay, but probably this will be available. We estimate this will be available probably after several months. Regarding the investment for the new strategic — for the strategic new businesses, for the full year, we estimate that this will be around RMB 4 billion to RMB 5 billion. So, if we break it down, then it means that probably around RMB 1 billion every quarter. The overall target for the company is that for the group, we still aim to achieve a breakeven for the company in 2024.
Operator: The next question comes from Edison Yu with Deutsche Bank. Please go ahead.
Edison Yu: Hey, thank you for taking the questions. First one, can you maybe go over some feedback you’ve gotten in Europe? You’ve been in Norway for over a year. You recently launched in several other countries. What has been the user feedback? And what is a reasonable amount of volume we could expect there in the next few years? And then second question really quick. On the other margin, it’s still quite negative. It’s been quite negative. When can we see some recovery in that level? Thank you.
William Li: Thank you for your question. European markets, we have delivered our products to some users, and those users have been speaking very highly about our products. We have been tracking the user satisfaction rate on a weekly basis. And we believe that this is basically means of expectations. The one aspect that we think is lagging behind is the infrastructure building in Europe. Right now, we have around 11 power swap stations. This is actually far behind our original planning. That’s the same with the deployment of the new houses in Europe. So we believe because of the infrastructure deployment in Europe is lagging behind, which also affected the delivery and the sales in the European market. When we look at the user demand and the test drive data, we can see there are some improvements on a weekly basis.
And the team building is also on track for the European market. But the only thing that we need to speed up is the infrastructure building in the European market. For this year, we believe the sales is not of top priority. To be honest, our target in terms of the sales volume for the European market this year is probably less than 10,000. And we believe the most important thing for us is actually the user satisfaction rate. For the long run, we are very confident about our performance in the European market. When we consider the user satisfaction rate that we are seeing right now and the competitiveness of our product portfolio in the market.
