German Car Brands Struggle in Electric Transition as Tesla and BYD Maintain Lead

The major German automotive giants are under unprecedented pressure amid the electric vehicle (EV) transition and competition. A latest ranking shows that BMW, Mercedes-Benz, and Volkswagen have all regressed, being overtaken by Chinese brands.

The International Council on Clean Transportation (ICCT), in its annual report "Global Automaker Ratings 2024/2025: Who Are the Leaders in Electrification?" released on June 17th, assessed the progress of global large-scale automotive manufacturers on their journey toward electrification. This is the third such report released by the ICCT. Previously, German automakers performed excellently in this field, but the situation has now changed.

German Automakers Retreat While Chinese Automakers Display Strength

The ICCT's report evaluated the progress of automakers in transitioning to zero-emission vehicles, scoring the world's top 21 largest automakers across three dimensions: market leadership, technological capability, and strategic planning.

The report reveals that BMW dropped from 3rd place last year to 5th, while Mercedes-Benz fell from 4th to 7th, and Volkswagen slipped for two consecutive years to 8th place.

Meanwhile, the advantages of Chinese automakers in the zero-emission vehicle market became apparent, reflecting their broader leadership in the global EV transformation.

Among them, Geely and SAIC made history by surpassing German brands, ranking 3rd and 4th respectively. Changan, Chery, Great Wall, and other Chinese brands also performed well, achieving significant progress.

Mauke, head of ICCT's European division, noted, "2024 was a missed opportunity for European automakers." He stated that although the global EV market continues to expand, German export-oriented factories are gradually falling behind and facing immense pressure.

The three major German carmakers lost points in almost every category. For instance, BMW lost points due to delays in the electrification of the Mini brand; Mercedes-Benz and Volkswagen were penalized for lacking strong support for their battery recycling programs.

Tesla Still Leads, But BYD Tops Global Sales

According to the ICCT's latest "Global Automaker Ratings," Tesla ranks first, followed closely by Chinese automaker BYD. These two companies also ranked first and second in previous reports.

It is worth noting that in 2024, BYD surpassed Tesla for the first time to become the global champion in pure electric vehicle sales. From 2023 to 2024, BYD's pure electric vehicle sales increased by 25%, and total sales of pure electric and plug-in hybrid vehicles rose by 47%.

In addition, in 2024, electric vehicles accounted for nearly 20% of global light-duty vehicle sales, setting a new historical high in global market share. The absolute sales volume of electric vehicles is also continuously growing.

Tata Motors Performs Notably Well; Last Six Spots Taken by Japanese and Korean Brands

The ICCT report notes that Tata Motors (parent company of Jaguar and Land Rover) has moved from the "lagging transition" category to the "normal transition" category. In 2024, Tata introduced several new electric models, enriching its product lineup, while also increasing investments in battery recycling and reuse in key markets.

In the ICCT report rankings, the bottom six positions are all occupied by Japanese and South Korean brands: Hyundai-Kia (6th from last), Toyota, Honda, Nissan, Mazda, and Suzuki (last). The ICCT refers to these as "lagging transition" enterprises. Although the overall progress of Japanese and South Korean automakers remains relatively slow, the report states, "Honda and Nissan have shown improvement."

The International Council on Clean Transportation (ICCT) is headquartered in Washington, D.C., USA, and is an independent non-profit organization. In 2015, the organization helped expose the Volkswagen "Dieselgate" scandal, establishing its industry authority.

Source: DW

Original Article: https://www.toutiao.com/article/1835630791772291/

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