China car export | Image:Freepik
china car salesAccording to the China Passenger Car Association (CPCA), China is likely to dethrone Japan as the world’s leading automobile exporter in 2023, marking an important milestone for the Chinese automobile industry. Domestic automakers such as BYD and Chery played a pivotal role in this achievement as they expanded their presence in overseas markets.
Already the world’s largest car market, China has emerged as the top car exporter, with car exports increasing by 62% to a record 3.83 million units in 2023, the CPCA announced at a press conference. The news comes amid global changes in the auto industry, with the rise of Chinese electric vehicle (EV) manufacturers including BYD.
CPCA estimated that China’s total automobile exports for the year reached 5.26 million vehicles (worth about $102 billion), exceeding Japan’s export forecast of about 4.3 million vehicles. This strong figure highlights China’s growing influence in the global auto export market.
China’s rise as a major auto exporter has raised concerns in some governments, leading to investigations and discussions about potential tariffs. The European Commission launched an investigation into Chinese-made electric vehicles in September, and the Biden administration in the United States is reportedly considering imposing tariffs on some Chinese products, including EVs.
Domestically, China’s automobile market continues to grow, with automobile sales increasing by 5.3% to 21.93 million units in 2023, marking the third consecutive year of growth. There was fierce price competition in the market as automakers sought to attract consumers amid economic uncertainty.
Sales of pure battery-powered vehicles in China recorded a notable increase of 20.8% last year, following an increase of 74.2% in 2022. Sales of plug-in hybrids also showed strong growth, increasing by 82.5% in 2023. Gong predicts that by 2024, the share of domestic brands in China’s total sales will rise to 63% from 56% a year ago, said Paul, a UBS automotive analyst.
BYD, backed by Warren Buffett’s Berkshire Hathaway, is aggressively expanding its business in Southeast Asia and Europe, while Tesla has exported 344,078 Chinese-made electric cars, making a big contribution to China’s export boom. Contributed.
The fierce competition in China’s car market is expected to intensify further with the entry of popular smartphone maker Xiaomi into the electric vehicle field. Xiaomi unveiled its first electric car last month, signaling its ambitions to become one of the world’s top five automakers.
(Based on information from Reuters.)