Recently, some Western politicians and media outlets have raised concerns about the rapid development of electric vehicle (EV) manufacturers from the Chinese mainland. They suggest that subsidies are driving overproduction, negatively impacting the global market. However, data from the China Passenger Car Association paints a different picture.
From 2019 to 2023, China's car exports accounted for only 15.9 percent of domestic production. This export-to-production ratio is significantly lower compared to other leading car-producing nations such as Germany, Japan, and South Korea. This indicates that the EV production in the Chinese mainland is not exceeding market demand.
Further analysis by Bloomberg reveals that the capacity usage rates of most of the Chinese mainland's leading EV exporters are within normal ranges. Contrary to overcapacity claims, the EV market in the Chinese mainland continues to thrive, meeting both domestic demand and effectively contributing to the global automotive industry.
Reference(s):
'Overcapacity' accusations unfounded, data reveals EV market realities
cgtn.com
