After four years of absence, Beijing Auto Show returned. From April 25 to May 4, 2024 Beijing Auto Show will be held grandly. Compared with previous years, this auto show welcomed more overseas media, dealers, exhibitors, etc. Next, let's see how foreign media view this auto show?
Price war under the rise of Chinese brands
At this auto show, the sense of existence of Chinese independent brands is particularly prominent. "As the epidemic is no longer an obstacle, the economy is almost back on track, consumer confidence has recovered, and local brands are rising rapidly due to the improvement of national pride," noted the famous American magazine Car Record. in especial Xiaomi SU7 （ parameter | picture ）And become the target of many foreign media to check new cars.
TechNode, the science and technology media, reported on the 2024 Beijing Auto Show: The Global Auto Manufacturers vs. the Chinese Giant in Electric Vehicles, which pointed out that "with the help of Chinese science and technology companies, Volkswagen, Toyota and other global auto manufacturers will launch new models at the 2024 Beijing Auto Show to defend market share. At present, the Chinese auto giants are leading a major shift to electric vehicles."
The fierce competition in the market cannot be ignored. "Many manufacturers and products are trying to gain a firm foothold in the already crowded market. The oversupply and slow decline in demand have constantly triggered a brutal price war, and more and more automotive products look confusingly similar inside and outside." The Car Chronicle pointed out that "the automotive industry is launching one after another affordable new energy vehicles, the cheapest of which is less than 6000 dollars."
The Associated Press is also aware of this problem. The report said: "With the encouragement of tax relief and green energy subsidies, the number of electric vehicle manufacturers has soared, causing a fierce price war, which is expected to lead to the reshuffle and integration of the industry in the next few years."
The Associated Press also mentioned the phenomenon of Chinese cars going to sea, saying: "In such a fierce domestic competition, many Chinese manufacturers are looking overseas, which makes Europe and the United States worry that cheaper Chinese imports may destroy their auto industry. The EU is considering whether to impose tariffs on Chinese made electric vehicles."
In this regard, it is worth noting that the German Automobile Industry Association (VDA) recently made public its opposition to the EU's imposition of tariffs on Chinese enterprises. VDA President Hildegard Muller visited this Beijing Auto Show and said that auto is a highly globalized industry, and globalization is conducive to the development and prosperity of the global auto industry. At the same time, she said that since the German Premier's visit to China, the cooperation between Germany and China's automobile industry has entered a new stage. These days in Beijing, she has witnessed the exciting development of China's automobile market.
Chinese automobile enterprises redefine automobile
As for auto products, the Associated Press shared its observations at the Beijing Auto Show and found that Chinese auto brands are competing to develop electric vehicles equipped with large screens, artificial intelligence (AI), and more entertainment and leisure functions, which also prompted foreign manufacturers to accelerate the development of new electric vehicles with digital connectivity to maintain competitiveness.
"Chinese automobile manufacturers have expanded on the basis of the Tesla model, adding digital functions and connectivity to attract young, tech savvy buyers." The Associated Press pointed out that "Chinese electric automobile manufacturers seem to be endlessly redefining cars, and their efforts have been demonstrated at China's largest annual auto show. They are forcing old car manufacturers such as Volkswagen Group and Nissan to change the way of car development in order to stay in the world's largest car market. "
At the auto show, Nissan CEO Makoto Ueda said, "I have felt that China's auto market is developing so fast that it is very challenging for us to catch up with China." Other auto companies also expressed similar views. On the eve of the Beijing Auto Show, Volkswagen Group CEO Olbo Mu said, "No region in the world can transform its auto industry as quickly as China. This market has become our fitness center, and we must work harder and faster to keep pace."
"The old mainstream market models are now being replaced by new energy." Lin Jinwen, vice president of Krypton, told the Associated Press, "This is particularly obvious at this year's auto show. The cars you see on the new energy booth are very creative... But when we return to the fuel car market, they seem to be three or five years ago."
Multinational automobile enterprises "join if they can't fight"
At the time of the Beijing Auto Show, when the price war in China's auto market is fierce, auto companies are competing to attract consumers by "crossing the sea with eight immortals and showing their magic".
Agence France Presse pointed out: "In recent years, China's electric vehicle industry has witnessed explosive growth. Companies are engaged in an unrestricted competition to provide consumers with the coolest accessories at the lowest price. According to data collected by Bloomberg, there are 129 electric vehicle brands in China, but only 20 brands have a domestic market share of 1% or more. The Beijing Auto Show will last until May 4, and dozens of companies will compete for customers at the largest auto show in China. "
Daniel Kolar, head of automotive and mobile business at Intralink Consulting, told AFP: "Chinese electric vehicle manufacturers look at cars more like Apple looks at mobile phones, iPads or laptops. They want to really improve the experience."
This is a challenge for the old multinational auto companies trying to compete in the Chinese market. Corral told AFP: "Companies like Volkswagen Group and Stellantis are trying to adopt a 'join if you can't beat it' approach. This is why you will see the emergence of partners like Xiaopeng. They feel that they are lagging behind, and the best way to leap to the forefront is to cooperate with these local smart electric vehicle manufacturers." In addition to the above enterprises, Renault said on April 26 that it had held consultations with Xiaomi and Ideal Auto around intelligent and electric vehicle technology.
Japan Seeks Counterattack
Japanese media, such as NNN and ANN, paid attention to the intensification of competition for new energy vehicles in the Chinese market, as well as the electric and intelligent offensive of Japanese car companies at the auto show, as well as the cooperation with Chinese companies.
"In the Chinese market, domestic and foreign automobile manufacturers are competing in the field of new energy vehicles, including pure electric vehicles, and the price competition is intensifying." ANN pointed out.
"With the growth of sales of new energy vehicles in China, Japanese enterprises showed new models of pure electric vehicles and plug-in hybrid vehicles, and joined hands with Chinese IT enterprises to promote the electrification and intelligence of growing demand in China, and strive to turn the situation around in the Chinese market." NNN pointed out.
Specifically, at this auto show, Nissan and Baidu signed a memorandum of understanding, and Nissan will carry Baidu's AI solution on Chinese models; Toyota will cooperate with Tencent in AI and big data; Honda displayed the new electric brand "Ye" and e: N brand models specially developed for the Chinese market; Mazda has released EZ-6 sedans, including pure electric version and extended range version, which are exclusively for the Chinese market at this stage and will be launched within the year. Mao Tuo Shenghong, CEO of Mazda, said: "Mazda will strengthen cooperation with Chang'an Auto in the future to jointly meet challenges and launch a new round of offensive in the Chinese market."
However, at present, the strategies of Japanese car companies to accelerate electrification and intellectualization may only be aimed at the Chinese market, but still follow the original pace in the global market. Taking Nissan as an example, Makoto Ueda said at the auto show: "We hope to have an appropriate combination of models to provide consumers in different regions and with different needs, which is our thinking. At present, electric vehicles, electric drive models and fuel models are all in the plan." Multinational auto companies "can't beat them and join"
Article: Zhang Dongmei Editor: Xue Yapei Format: Li Peiyang
