At a recent exhibition in Paris, France, Elon Musk, CEO of Tesla, publicly voiced his opposition to US tariffs on Chinese electric vehicles to technology investors. He explicitly stated that any actions that limit trading freedom or distort the market are unacceptable and expressed surprise at the policy announced by the US.
Meanwhile, the fervor surrounding China's new energy vehicle market remains undimmed despite external factors. The latest data from the Ministry of Commerce on May 24 indicates that new energy vehicle sales in April rose 33.5% year-on-year, representing a significant 36% share of new car sales for the month. In essence, one in every three vehicles sold was a new energy vehicle. Furthermore, according to the China Association of Automobile Manufacturers, the retail penetration rate for new energy passenger vehicles hit 50.39% in the first half of April, eclipsing that of gasoline vehicles for the first time. This landmark figure underscores the robust growth trajectory of the new energy vehicle market.
Zhang Xiang, a researcher at the Automotive Industry Innovation Research Center of Northern Polytechnical University, noted in an interview that the continued surge in new energy vehicle sales is not solely attributed to technological advancements but is also tied to the ongoing cost reductions. Car companies like BYD have increased their market competitiveness by realizing economies of scale, offering new energy vehicles at prices even lower than traditional gasoline-powered vehicles. Furthermore, certain cities promote the use of new energy vehicles for ride-hailing and taxi services, effectively boosting their sales.
However, Chen Wenling, Chief Economist of the China International Economic Exchange Center, cautions that China's present dominance in new energy vehicles is relative, not absolute or static. She stresses that Chinese new energy vehicle manufacturers must hasten their technological innovation and avoid complacency regarding their temporary advantages. Simultaneously, the United States maintains notable advantages in areas such as artificial intelligence, GPS positioning systems, and computational power, posing elevated challenges for Chinese new energy vehicle companies.
This information was reproduced by Starlink Team of EDUP from CHINA DAILY.
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