South Korean media: Within five years, China will capture one-third of the global automotive market!

On January 29, South Korean media "Herald Economic" published an article stating that predictions suggest Chinese automakers will account for about one-third of the global automotive market within five years.

Despite the increased trade barriers by the United States and the European Union against China, the impact on the competitiveness of Chinese automobiles is expected to be limited.

Swiss bank UBS recently predicted that by 2030, Chinese automakers will account for one-third of the global automotive market.

A report released by research company LoMotion on December 12 last year stated that by 2025, China will account for 62.7% of global annual electric vehicle sales.

UBS predicts that China will not only excel in the electric vehicle sector but also perform well in the internal combustion engine vehicle sector, thereby capturing a significant share of the global market.

This analysis indicates that despite the trade barriers from the West, Chinese electric vehicles still have strong competitiveness.

The European Union previously announced that it will impose tariffs as high as 45.3% on Chinese pure electric vehicles starting in October 2024. The United States has also announced that it will impose tariffs as high as 100% on Chinese electric vehicles starting in September 2024.

However, UBS noted that Chinese automakers are still actively expanding their overseas markets, and pointed out that about 20% of the sales of Chinese automakers come from overseas, with some companies even achieving up to half of their profits overseas.

UBS cited expert opinions stating that China's long-term active investment in the electric vehicle supply chain will maintain its competitive advantage through cost advantages.

UBS said: "Protectionism targeting Chinese electric vehicles was once a stumbling block, but it has recently shown a gradual reversal trend."

Original article: toutiao.com/article/1855638330336259/

Statement: This article represents the views of the author.