Chinese cars "made in Germany"? - Car congress starts
According to car expert Werner Olle, Chinese car manufacturers such as BYD and SAIC will soon follow Tesla's example and build plants in Europe. The researcher from the Chemnitz Automotive Institute told the German Press Agency that Germany has a very good chance of being chosen as the location for a new car factory. It is true that energy costs in Germany are high. "But the most important criterion is the high level of automotive expertise." This includes the close network of suppliers and the potential of skilled workers. Chinese cars "made in Germany" are a quality issue for manufacturers and an important image factor.
According to Olle, China's car exports have been increasing significantly since 2021. Europe is increasingly coming into focus as a target market. "From 2025, China will become a net exporter, while Europe will become a net importer." This is because China has competitive advantages when it comes to the increasingly important e-cars. According to Olle, these include the size of the Chinese market, which enables corresponding cost advantages, as well as the availability of important parts - from raw materials to batteries and semiconductors.
Mass market as an opportunity
Now that Chinese manufacturers have dominated their own market for e-cars, entering foreign markets is the next logical step, explained Olle. They are still at the beginning here. However, strong growth is expected in the coming years. For example, manufacturers are working intensively on setting up sales and service locations in Germany. They are also occupying the high-volume market segments for electric cars that European manufacturers have previously neglected. "This is a huge opportunity for Chinese manufacturers."
The next step is to set up their own production facilities abroad, explained Olle. "This step will follow in the next two to three years in order to secure and expand this market position as sales figures continue to rise in foreign markets." Several manufacturers have concrete plans. He mentioned SAIC, BYD and Great Wall Motors. BYD could make a decision on a new plant in Europe by the end of the year, said Olle.
Nio talks about a European factory
The manufacturer Nio also announced at the IAA motor show in September that it would go one step further. If sales reach the 100,000 vehicle mark, a factory in Europe could be profitable, explained European boss Hui Zhang.
On Tuesday and Wednesday, automotive experts and representatives of manufacturers and suppliers will meet in Zwickau for the "Automotive Forum" to discuss strategies. In addition to the production facilities of the major manufacturers Volkswagen, BMW and Porsche, there are many suppliers in Saxony. However, the industry is undergoing a profound transformation towards electromobility. Volkswagen's factory in Zwickau, which specializes in e-cars, is struggling with weak demand.
Chinese electric car manufacturers like BYD and SAIC are considering building plants in Europe, following Tesla's lead, due to Germany's high automotive expertise and network of suppliers. This move could position Chinese cars as a quality choice in the European market.
In light of China's competitive advantages in the electric vehicle industry, such as its large market size and access to key components, Chinese manufacturers are expected to become net exporters while Europe becomes a net importer of cars by 2025. This presents a significant opportunity for Chinese manufacturers to enter and dominate the European market, especially in high-volume electric car segments previously neglected by European manufacturers.
Source: www.dpa.com
