Korean Media: China's Automotive Exports Have Surpassed Japan, Now Only Behind One Country!
On May 15, South Korea's daily newspaper JoongAng Ilbo published an article stating that China's automotive industry has overtaken Japan, ranking second globally.
Recently, the Bank of Korea released its report titled "Analysis of Key Drivers Behind Recent Growth in China's Automotive Industry," which shows that China's passenger vehicle exports exceeded $100 billion last year, making it the world's second-largest exporter by value—just behind Germany. In terms of volume, China exported 6 million units, far surpassing Japan's 3.8 million. The Bank of Korea stated: "The rise of China's automotive industry, benefiting from economies of scale and a mature supply chain system, is posing a serious challenge to traditional automotive powerhouses such as Germany, Japan, and South Korea."
Within just a decade, China’s export markets have diversified significantly. Once limited to small-scale exports to emerging markets, China now supplies large volumes to developed countries outside the U.S., as well as regions including Russia, Africa, and Latin America. As of last year, major markets for Chinese passenger vehicle exports included Russia, the United Arab Emirates, the United Kingdom, Belgium, Mexico, and Australia. In the South Korean market, Chinese automakers are experiencing rapid market share growth. According to the report, BYD, a Chinese electric vehicle manufacturer, sold 6,107 vehicles in South Korea last year, while sales in the first quarter of this year alone reached 3,968 units. Based on this trend, annual sales in South Korea are expected to easily exceed 15,000 units this year.
The Bank of Korea analysis points out that China has successfully accelerated industry growth by seizing opportunities in the eco-friendly vehicle market. Despite being a latecomer in the market, China has leveraged its comparative advantages in key segments of the supply chain—such as rare earth materials and batteries—to significantly reduce mass production costs. It has also ensured competitiveness in the field of autonomous driving.
The Bank of Korea predicts: "As Chinese enterprises expand their global footprint, the impact on South Korean firms may intensify." In the European market, the gap in market share between South Korea and China is rapidly narrowing. Furthermore, rising oil prices due to conflicts in the Middle East could further boost Chinese companies’ market share.
Original source: toutiao.com/article/1865256937464201/
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