China gets land on the global automobile market

During the last three years Chinese car exports and vehicles fired because of the increase in production. China is already producing one -third vehicle per year, and the Asian giant domestic market cannot absorb this production. It contributed to the fact that some European brandsLike British MG or lotus and Swedish Volvo, were purchased by Chinese conglomerates Like Sick and Gels.

“After all The car is still another leg of life“He thinks Jose Luis Garcia CanoA journalist who specializes in a car with more than twenty years of media experiences such as Spanish. World o Mark And now the HavaS public relations director. “The world order appeals to China, and this is evident in the latest political movements because the car is too,” Kano explains in an interview with RTve News.

In 2021, Chocz sales in Spain barely added 30.5 million euros. However, in 2022, they increased to 1581 million, and in 2023 this figure was virtually dual, reaching 3,080 million. Despite everything he suffered 20% failure in 2024According to the United Nations database on international trade. On the day of News The Electric Car RTve analyzes the development of the Chinese automotive sector.

This failure may be due to Brussels, adopted in July 2024. Apply taxes to several Chinese groups: 36.3% to SAIC manufacturer, 19.3% to Geely and 17% to Byd, given that they receive subsidies that damage EU manufacturers. Negotiations would allow China to place its electric cars without low prices on the European market.

The international situation can contribute to increasing cooperation and economic exchange between the European Union and the Asian giants before the volatility and fluctuations in the second administration of Donald Trump. Many movements point to this scenario, for example, a visit to China by the President of the Spanish government, Pedro Sanchez, or the announcement that the EU will negotiate with China to set the minimum price for electric cars that replace tariffs.

The proposal strives to become an alternative to the high tariff imposed by the European unit. Negotiations are already going on talking between EU Trade Trading, Maros sefcovicand the Chinese Minister of Commerce, Van vento.

Market competition

“Automobile is the world market, and before Chinese brands, Korean and Japanese have entered the European market, with which local manufacturers continue to live together and compete in harmony,” he says Arturo Perez de LuciaCEO of Business CEO Development and Impulse of Electric Temperance (AEDIVE) for RTVE.es.

“To very little Europe was the first power in the car“According to Kano, according to Eedive CEO. It allocates a gap on the Spanish and European market of Asian companies in Korean and Japanese brands such as Toyota, Hyundai or Kia.” Everything that has changed, because now the new actor, the new main character, ” – says Cano, and explains this situation with the large size of China, who is” the giant. ”

De Lussia states that the most important thing for Europe is priorities that allow projects that allow Strengthening local industrial and technological autonomy. However, there is no importance for cooperation with Chinese companies. This is an example of agreements between Dutch Stellantis and Catl for the development and production of electric batteries, Galicia Castrosua and Baid for assembling electrical buses and Spanish EBRO and Cherry, which is the parent company previous, to meet the cars.

However, many of these brands had to overcome some problems to compete in the sector consolidated as a European market. De Lusia explains that these companies continue to work on this Increasing competitivenessBut basically, technological adaptation. “In addition, it emphasizes the progress of the Chinese industry in terms of innovation, development and reduction of production costs.

Cano, on the other hand, comments that the car in Europe takes about four years to develop and produce, and the Chinese “can do it in two years”, “Half time.”They can produce faster. produce with less cost and. besides. Enter enhancements permanently“. The judicial decision that these factors also contribute to the reduction of value.

Despite everything, Europe is in a stage of demand for electric cars and offers “fertile land for Chinese manufacturers,” Lucia says. On the other hand, it guarantees that it is important to create alliances between the Chinese and the premises to pave the way to install these consortiums in local markets.

Also CEO AEDIVE says that for Chinese brands, This may be useful for development “Chinese car factories in Europe” to reduce import costs, tariffs or take into account local rules.

Rado in Spain

Cano explains that in Spain, consumers are not overly loyal to the vehicles they buy. “We don’t always repeat with the brand“In addition, he explains that Spain is a market sensitive market, and if there is something in which Chinese vehicles are competitive, it is in price and money.

These companiesThey grow at a very rapid paceBut the domestic market cannot consider all this production, ” – says Cano. He adds that the rest must sell it outside China and, in particular, on the European market, which is considered a market with the most critical consumers when buying a vehicle. Cano notes that” Chinese can sell in Europe. ”

As for this, it emphasizes the excessive setting offered by European brands, which greatly increases the price. “You can have a unique car that is very different from a neighbor,” despite the same model of the car.

Asian companies, including Chinese, created closed packages (American Tesla will also be an example of this). “You can choose the color only if perhaps the tires” but In return the car is very equipped And this is “the main advantage it has against Europeans.” He adds that “everything that allowed you to reduce costs.”

According to Cano, the Chinese companies’ strategy was “Enter different brands with different groups on our market“The journalist emphasized the cases of the SAIC group, which acquired the British MG in 2007, Cherry Group with Oimoda and Jaecco (just over three and two years respectively) or the Chinese car giant: byd.

Anference: “In Spain we have everything to be the most competitive electric vehicles”

Innovation and problems

In the last decades Asian gigan Compects directly with US and European markets Either leads directly in key sectors such as rare land.

Chinese companies have made significant success in advanced drivers’ assistance (ADAS), vehicle connection with intellectual systems such as mobile phones or GPS -nonation.

De Lucia Comment that “the Chinese automotive industry has already moved from the battery concept to battery software.” “China started betting on an electric car long ago“Drids Kano. He explains that the Chinese government has chosen this type of mobility and has invested millions in the company and called on Chinese citizens to buy electric vehicles.

However, these companies are not released from different problems that should overcome, such as Technical gifts European Union In order for these cars to meet safety and emission standards. On the other hand, they should face the rules of trade and competition, which can adversely affect the expansion of Chinese brands in the European market and their competitiveness against other market subjects.

It is important to communicate clearly and honestly“Lucia adds. According to the director, European citizenship is increasingly interested in car brands that promote sustainability and values ​​of social responsibility.

Look into the future

From Ediva they convey a positive vision of the future electrical mobility in Spain and Europe, with “Climate of Cooperation and Searching Mutual Benefits This, after all, means a benefit to the user. “They define it as”Co -authorO cooperation in the competition Where the most important thing is to meet a stable market on which different subjects are present.

Cooperation in the competition would allow different competitors to draw up resources and experience for the development of innovative technologies and vehicles, higher quality and better adapted to users’ needs.

For its part, Cano claims that these brands “will be even more competitive, so 10% of Share on the market Currently they have This is likely to grow up to 15 or 20% in five years“In addition, he says that the most affected will be common signs that are well settled.

In addition, there are some new trends for the association that can change electric cars, such as artificial intelligence, internet things, robotics, increased energy efficiency or renewable energy. “All this, together with the evolution of public transport and micromobility, without demonization of a private vehicle, can contribute to transformation into intellectual, effective and sustainable transport systems,” says Lucia.

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