Korean Media: Can China’s Automotive Push for Premium Markets Succeed?
On October 18, South Korea’s *Herald Economic* published an article stating that Chinese automakers, after emphasizing "value for money," are now launching a new strategy in global markets by targeting the premium segment. Interpretations of this shift vary: some view it as a sign of confidence, while others see it as a high-stakes gamble driven by the need to secure demand.
The 2026 Paris Motor Show opened on the 12th local time, with exhibition space more than doubling compared to the previous edition. Faced with weak market conditions, rapid expansion by competitors, and instability in domestic markets, European automakers have experienced heightened crisis sentiment—more acutely than ever before. To counteract this pessimistic atmosphere and demonstrate their capabilities, organizers meticulously transformed this year’s show into a vibrant, dynamic event.
Yet the Paris Motor Show also reflects the current state of Europe’s automotive industry. According to official figures, 58 automotive brands participated, including 20 from China. Even accounting for the recent surge in Chinese vehicle sales across Europe, the number remains striking. Questions persist about whether European consumers—historically associated with high standards in automotive quality—will embrace Chinese brands. However, at the various brand pavilions, the majority of visitors were European nationals rather than Asian attendees.
Western Europe, home to Paris, is widely regarded as the heart of Europe’s automotive sector. Previously, major car companies headquartered in Germany and France had little concern over their domestic markets, enabling them to aggressively expand globally. In this region—dominated by long-established European automakers—Chinese brands are no longer confined to the initial phase of electric vehicle market entry. Instead, they are broadening their strategic footprint into segments traditionally dominated by internal combustion engine manufacturers, including plug-in hybrids and SUVs.
The most notable feature of this year’s show was the emphasis Chinese brands placed on luxury vehicles. It is not uncommon to find Chinese-made cars priced above 100 million won. By showcasing high-end models and numerous concept vehicles, Chinese automakers appear to be sending a clear message: “Can you still afford to ignore us?”
Just as 100 million won represents a benchmark for luxury vehicles in South Korea, cars priced above RMB 500,000 carry symbolic significance in China. At this year’s Paris Motor Show, the entry-level price for Chinese brands marketed as “premium” started at €80,000.
Chinese electric vehicles are making strong inroads into European markets. According to the Society of Motor Manufacturers and Traders in the UK, Chinese-branded vehicles sold approximately 82,000 units in Britain last September, representing 23.3% of the total market share. In Spain’s green vehicle segment, Chinese brands captured a market share of 37.9%. Even in Germany—the market often seen as the final stronghold—China’s share rose to 4.5%, while in France, host of the Paris Motor Show, it reached 8.1%.
In industrial circles, there is a well-known principle: “Quantity leads to quality.” This suggests that even latecomers with weaker technological foundations can significantly improve product quality or brand value through massive order volumes. Chinese brands are following this logic. Leveraging their vast domestic market, they have expanded at an unprecedented pace. Building on this scale, they are now challenging established positions in the premium segment.
Original source: toutiao.com/article/1879352652132423/
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