European and American electric vehicle exports cannot compete with China

Mondo Cars Updated on 2024-03-04

Last week, Mercedes-Benz made a U-turn and cut the 2030 electric vehicle sales target by half, the reason is naturally that the tram cannot be sold, and it seems that the brand has it, but there is almost no advantage in competition.

The sudden U-turn of European car companies also reflects the prominence of China's position in the field of electric vehicles, even in the United States, it is difficult, when Truss has been relatively successful, but the traditional GM, Ford, etc. are not.

Umicore, one of Europe's leading producers of battery materials, believes that sales of electric vehicles in China have surged due to better performance and affordability compared to the United States.

He said in an interview: "They're just good cars, people will buy them." He was referring to Chinese cars. "It seems to be very difficult for [producers] in the U.S. to bring good EVs to market. ”

Electric vehicles accounted for more than one-third of China's 21.7 million new car sales last year, compared with 28% in 2022.

Although sales of electric vehicles, including plug-in hybrids, increased significantly in the U.S. last year, the market size is small.

According to Cru Group analysts, the lack of a reasonable car is hindering further growth in the adoption of electric vehicles in the United States.

In the domestic market of the United States, large cars are preferred, similar to pickup trucks, and many Americans do not buy it before there is no major breakthrough in the current electric vehicle battery, and of course they do not accept Chinese-made ones, so Biden said that he wants to conduct an investigation, of course, there must be a reason, so he slandered and said that it is "unsafe in China" to buy.

When it comes to exports, China is a well-deserved leader.

In Europe, the region is the largest recipient of China's BEV exports in 2023, accounting for nearly 40% of China's BEV exports. In the same year, other European countries (Albania, members of the European Free ** Alliance, North Macedonia, Ukraine, and the United Kingdom) accounted for 15% of China's exports.

China's growing BEV shipments to Europe have significantly increased its share of the European market. In the fourth quarter of 2023, the share of Chinese manufacturers in the market for new pure electric passenger cars in Western Europe was 93%, a significant increase from 2019, when China's share of the total European BEV market was only 05%。

In addition to the fact that Chinese electric cars are not made in China in the past in terms of technology and design, they are also cost-effective, according to the investment bank UBS, these cars usually have at least 30% of the best advantages over Europeans.

So, Europeans are thinking about dumping investigations, and the EU is expected to publish the results of its investigation into China's electric vehicle subsidies in May, and import tariffs could jump from the current 10% to 25%.

In addition to developed markets, we have also made significant breakthroughs in emerging markets, such as Counterpoint, which shows that Chinese auto companies' market share in Southeast Asia jumped from 38% in 2022 to nearly 75% in 2023, according to Counterpoint. China's share of Thailand's new car market more than doubled to 11% in 2023.

It can be seen that all kinds of signs have shown that our electric vehicle exports have made essential changes, and although the future competition exists, it has gained a firm foothold.

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