China, currently the world’s largest auto industry, is set to claim another title, “world’s largest car exporter,” propelled by the surging electric vehicle shipments, research firm Canalys reports.
China EV export- 2023 forecasts
China Association of Automobile Manufacturers (CAAM) forecasts that Chinese EV exports will hit 1.3 million in 2023. Notably, this figure is nearly double 2022’s export record of 679,000 units.
Meanwhile, the overall Chinese car exports is expected to top 4.4 million this year, a notable year-on-year increase from just 3.1 million units in 2022.
However, South China Morning Post contradicts that prediction, claiming that the official data alludes the figure is closer to 3.5 million.
Nonetheless, Chinese EV exports now account for 30% of all exports, advancing the country’s position this year. According to the report, China will exceed Japan’s EV exports in 2023, ultimately dominating the rankings after it beat Germany for the second spot last year.
In the first quarter of 2023, China advanced as the largest car exporter worldwide, significantly propelled by Tesla China. As EV-a2z reported, China exports hit 1.07 million units in Q1 2023, up 58% YoY.
Key markets
Canalys indicated that Chinese automakers are aiming for the following key markets: Southeast Asia, Europe, Africa, India, and Latin America.
Remarkably, the domestic establishment of a “complete” automotive supply chain has effectively increased China’s competitiveness on a worldwide scale.
South China Morning Post also noted the research’s forecast that China-made EVs could dominate 16.5% of Europe’s overall sales by 2025.
In addition, KPMG Chief Economist Kevin Kang claims that China’s market share will hit 15% by the same year, given that local brands BYD, NIO, and Li Auto have established a strong presence in the global market.
“Chinese carmakers are supposed to build their brands outside the mainland to convince customers that the EVs are safe and reliable with higher performance.
To compete in Europe, they need to prove that Chinese-made EVs can be better than foreign brand cars in terms of quality.”
Independent auto analyst Gao Shen (via South China Morning Post)
On the other hand, Chinese EV exports remain limited in the Australian market. Nonetheless, it would likely change soon, considering the growing EV adoption in the country.
In fact, Chinese automaker MG just revealed Monday its first Australian EV offering, MG4, with a base price of $38,990, before on-road costs.
Another EV and power battery giant BYD is also set to disclose the Australian pricing of its Dolphin model.
It must also be noted that China currently manufactures two-thirds of the EVs available globally. However, the majority of the EVs are concentrated in China. Meanwhile, exports contribute just below 10% of sales for local brands like BYD.
See Also:
- Tesla aided China become the world’s strongest car exporter in Q1 2023
- Tesla exported 40,479 vehicles from the Shanghai plant, delivered 33,923 in China in February ’23
- Tesla China readying huge fleets of Model 3 and Model Y to export
- European demand causes China’s EV exports to skyrocket
- Tesla sales and exports to China increased in November 2022
All that said, the EV industry may soon witness a boom in Chinese EV exports to nations like Australia as overall auto sales in China start to decline while EV manufacturers continue to rapidly increase output.
