They used to laugh at us, but now their silence is deafening.
Although the automobile was invented in Germany in the mid - 1880s, the large - scale commercialization of automobiles didn't occur until several decades later, in the early 20th century in the United States. Henry Ford, Alfred Sloan, and Walter P. Chrysler led the three major American automobile manufacturers to stand out from the initially scattered start - up companies.
By 1950, the United States produced more than three - quarters of the world's total automobile output, and Detroit became the global center of the automobile industry. After World War II, Germany and Japan emerged as automobile production centers, initially serving their domestic markets. However, as oil supply shocks shook the global economy, in the late 20th century, the center of automobile production clearly shifted to East Asia.
Global consumers' preferences shifted towards the small, affordable, and more fuel - efficient cars produced by Japanese and later South Korean automobile manufacturers. By 1990, Japan surpassed the United States to become the world's largest automobile producer. In the following decade, German, Japanese, and South Korean automobile manufacturers shifted from an export - oriented model to a more globalized production and supply model.
Entering the 21st century, China became the growth engine for global automobile manufacturers, contributing almost all of the growth in the automobile industry's production and sales since 2000. Global automobile manufacturers flocked to China to sell their products to the large and growing consumer group, while leveraging scale and cost advantages to increase unit profit margins. Today, nearly one - third of the world's automobiles are produced in China.
In 2023, China achieved a historic milestone by surpassing Japan, with automobile exports exceeding those of any other country, reaching approximately 5.86 million vehicles. This unprecedented growth is attributed to various factors, including the production of economy cars catering to the needs of emerging markets and the expansion of electric vehicle exports.
Therefore, the Chinese automobile industry has not only transformed its domestic production capacity but also occupied a pivotal position on the international stage.
01
One Turning Point in 15 Years
The globalization journey of Chinese automobiles is an epic story of a comeback from obscurity to global prominence. This upward path was not achieved overnight but went through a long period of building up strength, a crucial turning point, and a rapid explosion, with each stage presenting distinct development characteristics and strategic layouts.
This story began in 2008. In this year, China, driven by the booming domestic market demand, first ascended to the throne of the world's largest automobile - producing country. However, behind this glory of being number one in the world was the embarrassing reality of limited exports and influence confined within the country's borders.
In the following years, Chinese automobile exports entered a plateau at the one - million - vehicle level. In 2014, its export volume accounted for less than 1% of the global share, far behind the global influence of the United States (8%) and Japan (13%).
During this stage, automobile enterprises represented by Chery, Geely, and Great Wall adopted the strategy of "encircling the cities from the countryside", targeting emerging markets in Asia, Africa, and Latin America such as Russia, Iran, Algeria, Chile, and Egypt. They took cost - effective fuel - powered vehicles as their core products and initially established overseas "strongholds" in the international market through complete vehicle exports and simple KD assembly models.
However, due to the low - price strategy, Chinese automobiles, in some early attempts in the European market, rooted the stereotype of low - price and low - quality in the minds of consumers in developed countries. Moreover, since the overseas expansion model at this stage was more trade - oriented, it was vulnerable to local policy and economic fluctuations. By 2010, the proportion of developed economies in the total export value of Chinese automobiles was only about one - tenth.
After the export volume stabilized at around one million vehicles and built up strength, Chinese leading automobile enterprises were no longer satisfied with emerging markets and began to launch an attack on the heartland of the global automobile industry, the developed country markets.
SAIC Motor was the core promoter at this stage. By leveraging the acquired MG brand with its British heritage and early electrified products, it successfully established "bridgeheads" in developed countries such as the United Kingdom, Australia, and Western Europe. Meanwhile, the commissioning of Great Wall Motors' Tula plant in Russia and the implementation of SAIC - GM - Wuling's localized production in Indonesia took place.
From 2017 to 2020, some Chinese automobile brands, including the above - mentioned enterprises, were constantly exploring better overseas expansion models, trying to break away from the simple car - selling strategy and make a strategic transformation towards in - depth operation. Thanks to their early exploration, a deeper foundation was laid for the subsequent global layout.
In 2021, it became a crucial turning point for Chinese automobile exports. In this year, the export volume of Chinese automobiles finally broke through the one - million - vehicle threshold that had been stagnant for many years, achieving a historic leap. Since then, the growth curve has soared sharply. In 2023, automobile exports officially surpassed those of Japan, ranking first in the world and announcing that the globalization of Chinese automobiles has entered a new era.
At this stage, Chinese automobile exports achieved a double breakthrough in quantity and quality, with new energy vehicles becoming the core driving force. Tesla's Shanghai Gigafactory exported a large number of vehicles to markets such as Europe and Japan, providing important support for the export data. Domestic new energy brands such as BYD, NIO, and XPeng aggressively entered the European market and gradually established their brand images in traditional automobile - powerhouses such as Norway and Germany.
Meanwhile, geopolitical factors became an important variable. After the Russia - Ukraine conflict, Western brands withdrew from Russia, and Chinese automobile enterprises led by Chery quickly filled the market vacuum, driving a sharp increase in exports. At this time, Chinese automobile enterprises had formed a multi - power pattern with Chery, SAIC, BYD, Changan, etc., covering markets in Europe, Russia, Mexico, Australia, Thailand, etc., showing a comprehensive blooming trend.
Judging from the data, since 2021, the sales volume of Chinese automobiles in Europe has soared. In 2023, the export value of Chinese automobiles to the EU was approaching the export value of the EU to China, and the two curves intersected historically, with electric vehicles playing the leading role. In 2023, the export volume of Chinese electric vehicles increased by 17 times compared with 2021. This rapid momentum directly prompted the European Commission to launch an anti - subsidy investigation into Chinese electric vehicles in the same year.
It is worth noting that the competitiveness of Chinese automobiles is not limited to the new energy field. In 2023, the number of internal combustion engine vehicles exported to the EU by China was comparable to the number of vehicles exported to China by France, a traditional automobile - powerhouse, and increased by five times compared with 2021, demonstrating the strong strength of all - category development.
After ranking first in the world, the overseas expansion of Chinese automobiles has entered a new normal stage. On the one hand, leading automobile enterprises such as Chery, BYD, SAIC, and Changan continue to maintain a strong growth momentum in large - scale markets such as Russia and Mexico. On the other hand, new energy vehicles have become the main sales force in markets such as Belgium, Brazil, the United Kingdom, and Thailand, further consolidating the global market share.
Facing trade barriers such as the EU's anti - subsidy investigation, the simple complete vehicle export model is facing challenges. Chinese automobile enterprises are accelerating the deepening of localized production. For example, they are establishing manufacturing hubs in Thailand to cover the entire Southeast Asian market, reducing trade risks and improving response efficiency through a production layout close to the market.
Meanwhile, plug - in hybrid electric vehicle (PHEV) models, which can better adapt to markets with imperfect charging facilities, have become a new strong growth point, marking that the overseas expansion of Chinese automobiles has shifted from scale expansion to in - depth operation and entered a new stage of pursuing high - quality and sustainable development.
02
The Comeback Road: From Joke to Benchmark
I believe many people know that in the century - long coordinate system of the global automobile industry, the overseas image of Chinese automobiles was long labeled as "copycat" and "inferior". From the ridicule of the host of "Top Gear" during a test drive to the disastrous performance in crash tests, Chinese automobiles were once a laughingstock in the international market.
However, in just over a decade, this drama of a reputation comeback has unfolded. From being suspected of plagiarism to Japanese automobile enterprises publishing books for disassembly and research, from having the lowest safety ratings to sweeping the five - star ratings in the European NCAP, from mediocre performance to breaking records on the race track, Chinese automobiles have reshaped global perception through technological breakthroughs.
Looking back at 2005, the Landwind X6 entered the European market, with monthly sales exceeding 1,000 units in the first month, twice the original plan, and it won the title of the best imported car of the month. However, the good times didn't last long. Two months later, the reputation of Landwind completely collapsed. The crash test results published by German media showed that the Landwind only got 1 point in the frontal crash test.
"Shoddy and of poor quality" became the fixed impression of Chinese automobiles among Europeans.
In the early 2010s, when Chinese automobiles knocked on the door of the European market again, what they received was not welcome but collective suspicion. At that time, some major export brands still frequently got caught in public opinion storms because their products failed to meet the safety standards of Europe and the United States. They still faced the old problem of embarrassing performances in European crash tests, with "catastrophic results" making headlines.
This situation continued until 2016. Some foreign media reports still sharply pointed out that Chinese automobile enterprises were reluctant to compete in terms of quality and R & D and only relied on price wars to seize the market, which not only intensified trade frictions but also deepened the label of "copying and counterfeiting". A certain brand's model, due to its high similarity in design to a German luxury car, even triggered an international intellectual property lawsuit.
The change started with facing up to the core short - comings. To get rid of the stigma of design plagiarism, Chinese automobile enterprises embarked on a global search for talent. In 2012, BAIC Group hired Leonardo Fioravanti, the designer of the Ferrari Daytona; Geely recruited Peter Horbury, the former chief designer of Volvo; Chery signed James Hope, the former designer of General Motors and Ford; and Qoros Auto invited Gert Hildebrand, the former chief designer of Mini.
These international design masters brought not only aesthetic innovation but also a standardized design process, enabling Chinese automobiles to gradually get rid of the shadow of imitation.
Of course, some Chinese brands also intentionally strengthened the quality of their exported automobiles. For example, in the Middle East market, Chinese automobile enterprises launched models adapted to the desert climate, strengthening the air - conditioning system, upgrading the sand - resistant engine, and expanding the interior space. At the same time, they established a wide - ranging dealer network and after - sales centers.
This combination of localized adaptation and service upgrade has enabled Chinese automobiles to increase their market share in the Middle East year by year, laying the foundation for the subsequent reputation reversal.
After 2020, a "car - disassembly movement" led by automobile enterprises in Europe, America, and Japan unexpectedly became the turning point for the reputation comeback of Chinese automobiles. When the BYD Seagull entered the US market with a price of more than 70,000 yuan, American automobile engineers disassembled it completely with the prejudice of "cutting corners", but the result was a big surprise.
The conclusion that "the materials used are comparable to those of a 200,000 - yuan vehicle, and the cost is only one - third of that of an American - made car" directly overturned the inherent perception that "low prices are achieved by cost - cutting".
The disassembly and research by Japanese automobile enterprises were more academically valuable. Toyota engineers completely disassembled the BYD Seal and even published a research monograph for 880,000 yen, analyzing every detail from the rear - view mirror to the fuse box in detail. Japanese experts found that in addition to being equipped with blade batteries and an integrated thermal management system, the important components of the BYD Seal were basically produced by domestic enterprises, and most of the products were ahead of Japanese automobile parts manufacturers.
The chain reaction caused by the car - disassembly report exceeded expectations. Elon Musk publicly changed his tune at the 2023 New York Times Dealbook Conference. From ridiculing BYD's quality in 2011, he praised that "Chinese automobile companies are extremely competitive and have excellent manufacturing capabilities" and even predicted that "most of the top ten automobile enterprises in the future may be Chinese brands".
If the car - disassembly proved the solid use of materials, then the performance on the race track and safety ratings announced that Chinese automobiles have entered the performance era. The outstanding performances of the Xiaomi SU7 and Yangwang U9 on international top - level race tracks completely shattered the prejudice that Chinese cars only focus on piling up configurations.
On October 28, 2024, the prototype of the Xiaomi SU7 Ultra set a new record of 6 minutes and 46.874 seconds on the Nürburgring Nordschleife (the Nürburgring), breaking the seven - year record for the fastest lap time of four - door cars on the Nürburgring. On June 26, 2025, after another challenge, it improved this result to 6 minutes and 22.031 seconds, ranking third on the all - time Nürburgring list. Meanwhile, the production version refreshed the record of "the fastest production electric vehicle on the Nürburgring" with a time of 7 minutes and 04.957 seconds.
