Chinese new energy vehicles confidently “go abroad” and “win fans” around the world

Figure 1: Buyers visit new energy vehicles at the 135th Canton Fair. Photo by Xinhua News Agency reporter Lu Hanxin

Figure 2: At Chongqing Hanwei New Energy Co., Ltd., workers are assembling wheels. The motorcycles produced by the company will be sent to Europe via the China-Europe Express. Photo by Xinhua News Agency reporter Huang Wei

Figure 3: At the Taicang Port International Container Terminal in Jiangsu Province, a batch of new energy vehicles are about to be exported. Photo by Ji Haixin (Xinhua News Agency)

Figure 4: In Tashkent, the capital of Uzbekistan, citizens take new energy buses produced by Chinese companies. Photo by Georgy Namazov (Xinhua News Agency)

Figure 5: In the assembly workshop of Jiangling New Energy Automobile Co., Ltd. in Nanchang, Jiangxi Province, workers are rushing to complete new energy vehicle export orders. Photo by Shi Yu (People’s Vision)

Sura from Senegal has been engaged in China-Africa trade for more than 20 years. This year, he bought more than 100 Chinese new energy vehicles and plans to use them to start online car-hailing or taxi services in Senegal. To this end, he purchased charging piles and registered a company in Dakar, the capital of Senegal, planning to learn from China’s online car-hailing model for operation.

“In these years in China, I have witnessed the rapid development of China’s new energy vehicles.” Sura said that he regards China as a university and hopes to learn and bring back China’s advanced experience and technology in the field of new energy vehicles so that the people of his own country can also enjoy these achievements.

Many foreigners, like Sura, are “fans” of Chinese new energy vehicles.

At a time when the global automotive industry is undergoing profound changes, the trends of electrification, intelligence, and networking are surging. With the first-mover advantage and continuous technological innovation in the field of new energy vehicles, Chinese auto companies are accelerating their layout in overseas markets, winning international recognition with high-quality products and services, demonstrating strong competitiveness and brand influence, and also contributing Chinese solutions and Chinese wisdom to accelerate international cooperation in the automotive industry and help countries cope with climate change.

At international auto shows, more and more foreigners stop at Chinese brand booths; Chinese new energy vehicles are increasingly seen on the roads of foreign cities; investing and building factories overseas has become a common choice for more and more Chinese new energy vehicle industry chain companies… In 2024, Chinese new energy vehicles are showing a new look of confident “going overseas”.

There will be more and more Chinese electric vehicles

“If someone is considering whether to buy this car, my advice is, don’t hesitate, buy it now!” At a Chinese brand new energy vehicle store in Mombasa, Kenya’s second largest city, local taxi driver Juma test-drove a Chinese electric car and felt that it was powerful and comfortable to drive. He believes that there will be more and more Chinese electric vehicles on Kenyan roads.

For a long time, in Africa, two-wheeled and three-wheeled motorcycles called “boda-boda” and “tuk-tuk” have been the typical image of local transportation. Today, new energy vehicles from China have landed in Africa and are gradually changing the appearance of local streets.

In South Africa, electric vehicles from Chinese automakers such as Great Wall, Haval, and BYD have been put on the market in large quantities and are sought after by consumers. In Egypt, the number of electric vehicles registered in the first quarter of this year reached one-third of the total number in the past three years, most of which were produced in China. In Kigali, the capital of Rwanda, Chinese electric vehicle manufacturer BYD and local partners opened the first BYD electric vehicle dealership in East Africa.

Not only in Africa, Chinese new energy vehicles have gone global.

At the 2024 European Football Championship, BYD’s new energy vehicles served as official vehicles, providing green travel services for the event, attracting the attention of the world. Previously, BYD ATTO3 was selected as the best electric vehicle of the year in the UK in 2023 by the British News Company. Weilai Automobile from China has provided products and services in five European countries, including Norway, Germany, the Netherlands, Sweden and Denmark.

In Brazil in South America, this year, Chinese brand car sales stores have opened one after another, and manufacturing plants have started construction or upgraded. Electric vehicles have become the fourth largest product exported by China to Brazil. According to the report of the Brazilian Electric Vehicle Association, BYD, Chery and Great Wall have become the best-selling electric vehicle brands in Brazil in 2023.

In Thailand in Southeast Asia, local consumers generally like the styling, high-tech feel and high cost-effectiveness of Chinese-branded electric vehicles. Grizada Udamo, president of the Thai New Energy Vehicle Association, said that in 2023, the annual growth of electric vehicles in Thailand will be about 690%, most of which are Chinese brands.

With high cost-effectiveness, advanced technology and high-quality services, more and more Chinese new energy vehicle brands are standing out in the international market. According to statistics, the export destinations of Chinese electric vehicles include more than 180 countries in Europe, Asia, Oceania, America, Africa and other regions.

Data from the China Association of Automobile Manufacturers show that from January to October 2024, China exported 1.058 million new energy vehicles, a significant year-on-year increase. In 2023, China exported 1.203 million new energy vehicles, a year-on-year increase of 77.2%. Many foreign media praised that China’s new energy vehicles have international competitiveness, and “Made in China” is increasingly recognized by the world.

The scale of exports continues to expand, and the export models are becoming more and more abundant. In addition to pure electric vehicles, plug-in hybrid vehicles (PHEV) have performed well. With the increasing global attention to environmental protection and sustainable development and the incomplete construction of charging facilities abroad, hybrid vehicles are favored by more and more overseas consumers due to their environmental protection and practical characteristics, becoming a new growth point. From January to October 2024, 222,000 plug-in hybrid vehicles were exported, a 2-fold increase year-on-year.

Not only passenger cars, but also new energy commercial vehicles from China are popular. On June 13, 2024, 30 new energy buses left the country from the Torugat Port after completing customs clearance procedures and headed for Bishkek, the capital of Kyrgyzstan. So far, the last batch of China’s largest bus order exported to Kyrgyzstan has been delivered. Similar “big orders” are not uncommon. New energy commercial vehicles from China are helping more countries solve urban traffic pollution problems and improve people’s quality of life.

The price of exported complete vehicles has gradually risen, which means that the exported models are moving towards high-end. For example, Omoda is Chery’s high-end sub-brand for overseas markets. Its first electric model, Omoda E5, has been launched in more than 40 countries and regions including Southeast Asia and Europe.

Provide diversified choices for global consumers

From October 14 to 20, the 90th Paris International Motor Show was held at the Porte de Versailles Exhibition Center in Paris, France. In Hall 4, which is dominated by European car companies, the Chinese brand Leapmotor can be found at the first booth at the entrance. This “new face” is very conspicuous among a number of European car companies such as BMW, Mercedes-Benz, Peugeot, and Alfa Romeo, and has also aroused the curiosity of many exhibitors.

In May this year, Leapmotor and European car company Stellantis Group established Leapmotor International Joint Venture. Based on this cooperation, Leapmotor has accelerated its pace of “going overseas” and has entered the European market since September. It has more than 200 dealers in 13 European countries.

Carlos Tavares, CEO of Stellantis, said that Chinese new energy vehicle companies have all-round excellent qualities, including the world’s leading new energy vehicle technology, a unique all-domain self-developed model and complete production capacity. In the future, Stellantis Group will continue to support the global expansion of Leapmotor, provide more users with smart, clean, safe, good and inexpensive new energy vehicles, and help all mankind better cope with global warming.

In the past, in order to catch up and integrate into the global industrial system as soon as possible, Chinese automobiles achieved “market for technology” through joint ventures. Today, Chinese automobile brands use “technology for market” to open up a new “reverse joint venture” “going overseas” idea, and more and more multinational automobile companies are using Chinese companies to accelerate the transformation of electrification and intelligence. Under this cooperation model, Chinese automobile companies can give play to the cost-effectiveness and advantages of self-developed electrification technology, and at the same time, with the help of the mature channels, resources and service systems of large multinational automobile groups, create a deep layout of export, sales and production integration.

In fact, from the export of complete vehicles in the past to the construction of local factories and the localization of parts and services, Chinese automobiles have achieved the output of the entire industrial chain of “products, technology, talents, and management”. The coordinated “going overseas” of the upstream and downstream of the industrial chain has become a new trend.

It is not easy to “go global” and compete with global automakers and seize the market. Many Chinese automakers have deepened their localization strategies, including establishing more sales and service networks and developing products that meet the diverse needs of local consumers.

On May 22, 2024, the largest single order of electric mini trucks exported by BAIC Foton-258 pure electric mini trucks in Thailand were all put into storage. This order came from a Thai government customer who publicly tendered for a batch of mini trucks and required bidding brands to provide new energy product solutions.

Opportunities are always reserved for those who are prepared. At that time, Japanese brands that occupied 90% of the Thai mini truck market had not yet launched related products. When the electric mini truck market was blank, the BAIC Foton Thailand team made early arrangements, conducted in-depth research on vehicle conditions, user characteristics and other information, realized the localization of electric truck research and development, and continued to promote product upgrades. After one month of testing and comparison, the BAIC Foton team came up with products that met customer demand standards. During the product development process, the team also deeply customized based on five scenarios such as express delivery and postal services to make the vehicles more beautiful and comfortable, economical and environmentally friendly, safe and reliable.

Among all the bidding companies, other brands are all national agency operation models, but BAIC Foton has established a joint venture in Thailand, adopting an independent operation model, with more resources invested and a more complete supporting system, showing a long-term attitude of taking root in the Thai market, laying a foundation of trust for the final order.

Today, these vehicles have been sent to various cities in Thailand. Customer Virogi reported that the vehicle design is stylish and atmospheric, with a high degree of intelligence, and the after-sales guarantee is also remarkable. Driver Samai said that he likes BAIC Foton’s car very much, “It is comfortable and not tiring to drive.”

Similar to BAIC Foton, Chinese automakers are actively expanding overseas, building or planning to build production lines in Thailand, Malaysia, Brazil, Vietnam, Hungary, Mexico, Spain and other places. While creating jobs for local people, they have also greatly promoted the development of the global new energy industry.

It is worth mentioning that the rapid development of China’s new energy vehicles has integrated a variety of new technologies such as 5G, mobile Internet, big data, and artificial intelligence, and the industrial chain and value chain continue to expand into transportation, energy, information and communication and other fields. Chinese auto brands have made great strides in “going out”, which also brings overseas opportunities for the core industrial chain.

For example, in the field of intelligent driving, two models of WeRide have obtained Singapore licenses and can be tested on some public roads. In the field of power batteries, CATL’s two new factories in Germany and Hungary have been put into operation, and a large lithium iron phosphate battery factory will be built in Zaragoza, Spain.

Wu Songquan, chief engineer of the China Automotive Strategy and Policy Research Center of the China Automotive Research Center, pointed out that looking at the international development process of many multinational automakers, it can be seen that most of them have gone through three stages: scaled product exports, localized overseas operations, and globalized business layout.

In the view of industry insiders, from “commodity exports” to “trade overseas” and now “ecological overseas”, the globalization strategy of Chinese auto companies will continue to upgrade. The development of China’s electric vehicle industry provides diversified choices for global consumers and also makes positive contributions to the global response to climate change and green and low-carbon transformation.

Embrace China’s “green express” in various ways

Looking back on 2024, there is a historic moment for China’s auto industry – on the morning of November 14, China’s annual output of new energy vehicles exceeded 10 million for the first time, becoming the world’s first country to reach an annual output of 10 million new energy vehicles. This is not only a milestone in the development of China’s auto industry, but also a green milestone in the global emission reduction cause.

Many of such a large number of new energy vehicles have already traveled to all parts of the world.

On January 15, 2024, the BYD EXPLORER NO.1, carrying more than 5,000 new energy vehicles, held its maiden voyage ceremony at Shenzhen Port Xiaomo International Logistics Port and sailed to the Port of Vülisingen and the Port of Bremerhaven in Europe. This is the first ship of BYD’s “seagoing fleet”, opening the era of “self-transportation of national vehicles”. With the surge in automobile exports, BYD, Chery, SAIC and others have formed fleets to accelerate the entry into a new stage of “independent shipping”.

China’s new energy vehicles are sailing “out to sea”, and transport capacity support is indispensable, and ports and customs are also working hard. For example, in order to adapt to the growth in the number of new energy vehicle exports, as early as September 2022, with the joint efforts of Yantian Maritime and other relevant port joint inspection units and China Classification Society, Yantian International “tailored” for car companies and launched a ship-borne container transportation solution. Car companies can freely choose to load 2/3/4 cars into one container, and combine the unique spatial advantages of containers to save the area occupied by flat placement to the greatest extent. This not only reduces the transportation cost of a single vehicle, but also reduces the time for trailer unloading, terminal storage, and yard pick-up after the vehicle enters the terminal, greatly improving the transportation time efficiency.

Diverse transportation methods, gradually dense routes, and continuously reducing costs…Capacity support is just one perspective to observe the reasons behind the successful overseas expansion of China’s new energy vehicles. Strong policy support, a complete industrial system, complete supporting facilities, continuous technological innovation, and super-large-scale market advantages…Multiple factors jointly support the confidence of China’s new energy vehicles to “go overseas”.

The data is convincing: In 2021, China’s independent brand new energy passenger cars accounted for 1.8% of the overseas market share, which rose to 4.6% in 2022 and 7.7% in 2023. In October this year, the overseas market share has reached 9.8%. For Chinese new energy vehicles, foreign customers buy more and have a good experience.

Nilton from Brazil owns two new energy vehicles of Chinese brands. He said that Chinese new energy vehicles have many configurations such as automatic driving and electric seats, and have excellent performance. When traveling by tram, he is very happy with the quietness in the car when driving near rivers and in forests. He can even open the window to listen to nature without being disturbed by the sound of the engine. This experience is great.

Yahaya, a sales manager who runs a car showroom in Cairo, Egypt, has a direct feeling of the popularity of Chinese new energy vehicles in the local area. He said: “Egypt attaches great importance to the development of the new energy vehicle industry. After entering the Egyptian market, new energy vehicles made in China have helped reduce carbon emissions, reduce pollution, and achieve green travel, and are deeply loved by Egyptians!”

After experiencing driving Chinese new energy vehicles, Michael Campbell, the Nicaraguan ambassador to China, said: “These new energy vehicles demonstrate China’s innovation. We hope that more Chinese cars can be sold overseas and users from all over the world can experience them.”

Indeed, 10 million vehicles is not the end point. The production, sales and demand of new energy vehicles in China are still growing. Looking at the world, green travel and sustainable development have become the global trend. Whether it is encouraging the import of Chinese new energy vehicles or developing technology and production with Chinese companies,