China’s new energy vehicles maintain their momentum in “going global.”

China’s new energy vehicles maintain their momentum in “going global.”
How popular are new energy vehicles (NEVs) now? It can be seen from the addition of the NEV and intelligent connected vehicle exhibition area for the first time at the 133rd China Import and Export Fair. Currently, China’s “going global” strategy for NEVs is a hot trend.

According to the latest data released by the China Association of Automobile Manufacturers, in March of this year, China exported 78,000 NEVs, an increase of 3.9 times compared to the same period last year. In the first quarter of this year, China exported 248,000 NEVs, an increase of 1.1 times, ushering in a “good start.” Looking at specific companies, BYD exported 43,000 vehicles from January to March, an increase of 12.8 times compared to the same period last year. Neta, a new player in the NEV market, also saw rapid growth in exports. According to the February pure electric vehicle registration list in the Thai market, the Neta V ranked second on the list, with 1,254 vehicles registered, a month-on-month increase of 126%. In addition, on March 21, 3,600 Neta cars were launched for export from Nansha Port in Guangzhou, becoming the largest single batch of exports among China’s new carmakers.

Xu Haidong, deputy chief engineer of the China Association of Automobile Manufacturers, stated in an interview with China Economic Times that the development of China’s NEV market has been robust since the first quarter, especially with the strong growth in exports, continuing the good trend from last year.

Customs data shows that China’s automobile exports reached 3.11 million vehicles in 2022, surpassing Germany for the first time to become the second-largest automobile exporter in the world, reaching a historic high. Among them, China’s NEV exports reached 679,000 vehicles, an increase of 1.2 times year-on-year. In 2023, the strong growth trend of NEV exports is expected to continue.

In Xu Haidong’s opinion, there are two main reasons for the “opening red” of new energy vehicle exports in the first quarter.

Firstly, there is a strong demand for Chinese brands in the international market. In recent years, China’s new energy vehicles have fully utilized their advantages in systematization and scale, continuously enriched overseas product portfolios, and steadily increased their international competitiveness.

Secondly, the driving effect of joint venture brands such as Tesla is significant. It is reported that Tesla’s Shanghai Super Factory started exporting complete vehicles in October 2020, and exported approximately 160,000 vehicles in 2021, contributing half of China’s new energy vehicle exports for the year. In 2022, the Tesla Shanghai Super Factory has delivered a total of 710,000 vehicles, and according to the China Passenger Car Association, the factory has exported over 271,000 vehicles to overseas markets, with domestic deliveries of 440,000 vehicles.

The first quarter export data of new energy vehicles pushed Shenzhen to the forefront. According to Shenzhen Customs statistics, from January to February, the export of new energy vehicles through the Shenzhen port exceeded 3.6 billion yuan, a year-on-year increase of approximately 23 times.

Xu Haidong believes that the export growth rate of new energy vehicles in Shenzhen is impressive, and the contribution of BYD should not be ignored. Since 2023, not only has BYD’s automobile sales continued to grow, but its automobile export volume has also shown strong growth, driving the development of Shenzhen’s automobile export industry.
It is understood that in recent years, Shenzhen has attached great importance to automobile exports. Last year, Shenzhen opened Xiaomo International Logistics Port for car exports and established car shipping routes. Through transfer at the Shanghai Port, cars were sent to Europe, successfully expanding the business of roll-on/roll-off car carriers.

In February of this year, Shenzhen issued the “Opinions on Financial Support for the High-quality Development of the New Energy Automobile Industry Chain in Shenzhen,” providing multiple financial measures to support new energy vehicle companies going overseas.

It was learned that in May 2021, BYD officially announced its “Passenger Car Export” plan, using Norway as the first pilot market for overseas passenger car business. After more than a year of development, BYD’s new energy passenger cars have entered countries such as Japan, Germany, Australia, and Brazil. Its footprint covers 51 countries and regions around the world, and its cumulative export volume of new energy passenger cars exceeded 55,000 in 2022.

On April 17, Zhang Xiyong, the general manager of BAIC Group, said at the 2023 New Era Automotive International Forum and Automotive Semiconductor Industry Summit that from 2020 to 2030 will be a critical period for the growth of Chinese automobile exports. China’s independent brands, led by new energy vehicles, will continue to increase their exports to highly developed countries and regions such as Europe and America. Investment will be made to expand trade share, increase investment in local factories, layout of parts, and operations. While the new energy vehicle industry is experiencing significant growth, efforts should be made to promote the transformation of multinational auto companies towards new energy and focus on localization and investment in China, further enhancing the competitiveness of China’s new energy automobile industry.

“With the continuous improvement of overseas market recognition of Chinese brands, China’s new energy vehicle exports are expected to maintain a strong momentum in the future.”