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China is set to take over the global car market

February 2023
China is increasingly dominating the global car market as its own brands grow and its factories also produce Teslas, Volvos and BMWs.

Chinese car brands have been growing in the Middle East and Latin America. China-made cars sold in Europe are mostly electric models from Tesla, Volvo, MG and BMW, reports Bloomberg.

The trend is a clear sign that China has moved beyond being the world’s factory for simple and cheap products.

Chinese companies are increasingly competing globally with more complex and sophisticated products. Chinese car brands that are on the rise include BYD and Nio.

Tesla Chief Executive Elon Musk has said Chinese car companies are the most competitive in the world as they “work the hardest, and they work the smartest.”

A Chinese car company will probably rise to become Tesla’s closest competitor, Musk has said.

so what?
As China-made cars get better, it’s becoming harder for European carmakers to compete.

That may push the European Union to raise tariffs

import taxes

against China-made cars to protect manufacturers from places like Germany and France.

Such measure could intensify an ongoing wave of protectionism

policies to protect national companies from foreign competitors

around the world with governments trying to limit imports from other countries.

Reference shelf:
The US Hasn’t Noticed That China-Made Cars Are Taking Over the World (Bloomberg)

China doesn't need to sell a single car in the US to dominate the American electric car market (Business Insider)

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