Chinese cars expand globally, challenging European "giants"

VTV.vn - Chinese car manufacturers such as BYD, Chery, and SAIC are expanding strongly globally, threatening Europe's position thanks to technological innovation and flexible competitive strategies.

BYD car assembly plant, China. (Photo: Cong Tuyen/VNA)

Lasse Kristoffersen, CEO of transport company Wallenius Wilhelmsen, said European carmakers are losing global market share as Chinese rivals enter a period of strong growth and innovation.

In an interview with The Financial Times, he said that Chinese car exports to Latin America, Europe, Africa and Australia were rising significantly, as Beijing clamped down on domestic discounts. He said Chinese manufacturers were gaining an advantage through technological innovation, as they moved from a low-cost strategy to a technology leadership.

Chinese carmakers could account for as much as 30% of the global auto market by 2030, up from 21% last year, thanks to rapid growth in emerging markets, consultancy AlixPartners said.

Brands like BYD, Chery and SAIC (owner of MG) are accelerating their expansion in Western Europe. In the first nine months of this year, Chinese cars accounted for 5.7% of all new car sales in the region, up from 3.2% in the same period last year, according to Schmidt Automotive Research.

European carmakers are facing three major challenges: falling sales in China, weak domestic demand and high tariffs in the US. Mr. Kristoffersen said that manufacturers are struggling both domestically and internationally, from East to West, but are still trying to find solutions.

Several countries have tightened restrictions on car imports from China – the US has imposed a near-total ban, while the EU has increased tariffs on electric vehicles. Meanwhile, as domestic price competition intensifies, Chinese carmakers are increasingly turning to international markets to maintain sales.

Source: https://vtv.vn/o-to-trung-quoc-mo-rong-toan-cau-thach-thuc-cac-ong-lon-chau-au-100251110154104088.htm