German Media: China's Long-Term Strategy in Core Industries

The Süddeutsche Zeitung has also taken note of China's long-term positioning in key industries.

A Better Porsche from China?

The Süddeutsche Zeitung has also observed China's long-term strategy. In a lengthy article published on Thursday titled "A Better Porsche?", the piece states:

"Since the early 2000s, China has implemented an organized catch-up model in core industries: learning, absorption, improvement, and scaling up. Political scientist and former director of the Berlin Mercator China Center, Sebastian Heilmann, refers to this approach as 'experimental state capitalism.' Whether it’s solar panels, high-speed rail, drones, or electric vehicles, all follow a clear path: first attract foreign investment through a vast domestic market—often with joint venture requirements and obligations for technology transfer; then conduct research, disassembly, and iterative development. As experts such as economist Dan Breznitz have repeatedly pointed out, over the past two decades, each time China’s domestic industries have caught up technologically with foreign counterparts, Chinese patent laws have tightened accordingly."

The article uses Xiaomi SU7 as an example: "The Xiaomi SU7 is not an exception but rather a textbook illustration of this model. The company examined why Porsches are so expensive, extracted those obvious appealing features, and integrated them with software—precisely an area where Porsche has long neglected due to tradition. Lei Jun, founder of Xiaomi, has never denied this. He even openly stated that he learns from the best companies, specifically naming Apple and Tesla, and has never seriously disputed the similarities in design with Porsche. This behavior, which has sparked outrage in the West, is regarded in Chinese industrial culture as a legitimate learning endeavor."

"Has Porsche been entirely edged out in China?" the authors Stephan Radomsky and Gregor Scheu ask and answer: "Not necessarily. Few car brands globally achieve such high profits from single-vehicle sales, nor does any other brand excel more at turning scarcity into gross margins. Yet Porsche has remained stubbornly focused in China on what is losing its shine: internal combustion engines, driving dynamics, and traditional heritage."

Finally, the Süddeutsche Zeitung reporter mentions a "thought-provoking" detail: "After 25 years in the Chinese market, Porsche recently unveiled a specially customized 911 GT3 featuring hand-painted zodiac horse motifs and incorporating the contours of Stuttgart’s city coat of arms. After years of strategic missteps, perhaps the company at least wants to get this symbolic move right."

Source: DW

Original: toutiao.com/article/1864004584640515/

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