Chinese EV makers unite to surpass Tesla

author: FutureCar Staff    

A patriotic call by China's bestselling automaker, Byd, has gone viral, drawing both praise and criticism. Byd used an event this week to celebrate the emergence of China as a global auto manufacturing powerhouse and called for the industry to unite and "demolish the old legends" of the global market. Byd founder and chairman, Wang Chuanfu, emphasized the emotional need for Chinese brands to become global, stating that it is a desire shared by the 1.4 billion Chinese people.

The call by Byd, which is Tesla's closest rival in the global electric vehicle sales race, received widespread praise and highlighted the intense competition among Chinese carmakers both domestically and internationally. China's automakers are currently engaged in a price war that was initiated by Tesla in January and continues to escalate. Additionally, they are all vying for market share in the same global markets, facing consumer skepticism and regulatory challenges.

Byd recently released a video showcasing the history of China's auto industry, from the founding of state-run automaker FAW Group in 1956 to the rise of commercial EV startups such as Xpeng, Nio, and Li Auto in the past decade. The video aimed to emphasize the shared direction and unity among Chinese automakers. It concluded with a call to "demolish the old legends and achieve new world-class brands" under the slogan "Chinese Autos." The video quickly went viral on social media in China, with executives from Byd's rivals expressing their appreciation.

However, some carmakers cautioned that the message could potentially increase regulatory risks for Chinese brands overseas, particularly in Europe, where Chinese EV exports may face anti-dumping scrutiny. In response, a senior executive of China's Great Wall Motor urged Chinese manufacturers to embrace the reality of competition.

In July, The China Association of Auto Manufacturers retracted a pledge made by 16 firms, including Byd, to avoid abnormal pricing. The industry group acknowledged that the agreement had violated China's antitrust law. Despite this, Byd has continued to solidify its position in China's new-energy market, which includes plug-in hybrids and EVs, increasing its market share to 37% in the first seven months of the year, up from 29% the previous year. Byd has also surpassed Volkswagen, China's long-time sales leader, in terms of total sales.

Source: Reuters

FutureCar Staff