Chinese EV makers unite to surpass Tesla

author: FutureCar Staff    

A call for unity and global recognition by China's top automaker, Byd, has gained significant attention and sparked both praise and criticism. Byd used a recent event to not only celebrate a production milestone but also emphasize the emergence of China as a dominant player in the global auto manufacturing industry. Byd's founder, Wang Chuanfu, expressed his belief that it is time for Chinese brands to shine on the global stage, stating that it is an emotional need for the 1.4 billion Chinese people to witness a Chinese brand achieving global success.

This call by Byd, which is considered Tesla's closest competitor in the global electric vehicle sales race, has garnered widespread praise and highlighted the intense competition among Chinese carmakers, both domestically and internationally. These automakers are currently engaged in a fierce price war, initiated by Tesla in January, and are all vying for market share in the same global markets, where they face consumer skepticism and regulatory challenges.

During the event, Byd released a video that showcased the history of the Chinese automotive industry, from the founding of state-run automaker FAW Group in 1956 to the emergence of recent commercial electric vehicle startups such as Xpeng, Nio, and Li Auto. The video emphasized the shared direction and aspirations of these companies, calling for the demolition of outdated perceptions and the creation of new world-class Chinese auto brands.

The video quickly went viral on social media in China, with executives from Byd's rivals expressing their appreciation. Nio's CEO, William Li, praised Byd's success and called for others to learn from it, while Li Auto's CEO, Li Xiang, saluted Byd and showed support for all participants in the new energy era.

However, some industry insiders cautioned that this message could potentially raise regulatory risks for Chinese brands, particularly in Europe, where Chinese electric vehicle exports may face anti-dumping scrutiny. A senior executive from Great Wall Motor responded by urging Chinese manufacturers to embrace the reality of competition.

Earlier this year, the China Association of Auto Manufacturers retracted a pledge made among 16 firms, including Byd, to avoid abnormal pricing. The association acknowledged that this agreement had violated China's antitrust law.

Despite these challenges, Byd has continued to strengthen its position in China's new-energy market, which includes plug-in hybrids and electric vehicles. Byd's market share in this sector has increased from 29% to 37% in the first seven months of this year, surpassing Volkswagen, China's long-time sales leader, in total sales.

Source: Reuters

FutureCar Staff