China’s automotive odyssey: From joint ventures to global EV dominance
Over the past three years, China’s passenger car market has undergone significant structural changes, particularly in the New Energy Vehicle sector (defined herein as pure play NEV brands). After years of accumulating technological knowledge, policy support, and the rapid development of intelligent technology, the electric vehicle industry – characterized mainly by electrification, intelligence, and automation – has quickly risen to gradually replace the position of internal combustion engine (ICE) vehicles in China’s passenger car market.
Despite the Chinese government’s ambitious targets and supportive policies for NEVs, many traditional foreign automakers have been sluggish in adapting to this change. This explains the absence of German or Japanese brands in the top rankings, even though their brands are usually popular with Chinese middle-class consumers. Instead, we see only one foreign brand, Tesla, in the top five. In addition, government support for domestic manufacturers has also led to tariffs on EVs in export markets like the US and the EU.
