In the face of technical barriers, domestic new energy vehicle parts can stand out? ‘The global vehicle market has recovered since the epidemic, but the scale of future growth will not recapture the past decade’s prosperity, turning to stock market competition.’ Liu Gongyi analysed that this trend puts forward higher requirements for enterprises, and the past pattern of relying on scale expansion has been unsustainable.
‘In the first half of electrification and intelligence, the application speed and efficiency of Chinese car companies are overall better than most European and American companies.’ As an example, he said, ‘China leads the world in smart driving and smart cockpit technologies, which, combined with an efficient supply chain and cost advantages, has become an important driving force for the global automotive industry.’
Accompanying the rise is a higher demand for professional competence. Liu Gongyi confessed, ‘Many domestic parts and components enterprises are rapidly increasing in scale and market share, but compared with leading international multinational corporations (MNCs), the system capacity and professional depth still need to be strengthened.’
After years of trade friction test, China’s auto industry has long had enough impact resistance, especially some of the head of the car in the ‘sea’ in the experience, accumulated relevant experience, and has been exploring more effective path and practice. In the face of the tariff blockade, Chinese car companies actually have a lot of ‘cards’ to play.
Today’s Chinese auto industry has considerable resilience, while preparing for both, in the brewing countermeasures at the same time, but also do not give up the possibility of agreement through negotiations.
The face of technical barriers, domestic new energy auto parts can stand out? Chinese car companies to develop overseas markets, eliminate tariffs obstacles, overseas localisation of factories may be a viable path. BYD and other Chinese car companies have already set up factories in Eastern Europe to provide services directly to the continent and pose a threat to traditional European car companies by virtue of their price advantage and advanced technology.
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