What challenges will Chinese new energy vehicle companies face when entering Europe? |Thinking life +

On October 17, the Paris Auto Show, one of the world’s five largest auto shows, kicked off again after four years. In this auto show event, which is regarded as the vane of the global auto industry, Chinese auto brands represented by BYD, NIO, Great Wall and Xiaopeng have become a dazzling sight at the event. In this regard, French media published an article saying that Chinese car companies are launching a large-scale attack on Europe. 

As for the reasons why new energy vehicle companies are rushing to go overseas, it is not difficult to understand. First, the overseas new energy vehicle market represented by Europe is growing at a considerable rate; More opportunities can be sought; thirdly, my country’s new energy vehicle industry chain is mature, its production capacity is stable, and it has a first-mover advantage. 

According to the data from the China Passenger Car Association, last year, the sales of Chinese new energy car companies to Europe increased significantly to 189,000; in the first eight months of this year, Chinese car companies have exported 193,000 products to Europe, more than the whole year of last year. As of now, car companies in the European market include not only traditional brands such as BYD, Geely Lynk & Co, SAIC MG, SAIC Maxus, and Hongqi, but also new car manufacturers such as Weilai, Xiaopeng, and Aiways. , the big ship for Chinese brands to go overseas has set sail. 

However, it should be noted that when domestic new energy vehicle companies enter the international market, it is like a fish swimming from a river into the sea, leaving the familiar environment, and will soon face more real and cruel competition. Statistics show that in 2021, the best-selling model in Europe is the Tesla Model 3, followed by the Renault Zoe and the Volkswagen ID.3, and the Volkswagen ID.4, another popular model of the Volkswagen series, ranks fourth. Therefore, it is not easy for Chinese auto brands with insufficient foundation and lack of popularity to compete with traditional luxury car companies with pricing close to BBA, or to occupy the European market with one-step ahead smart cars. 

Industry insiders said that in the short term, Chinese new energy vehicle companies will face the test of building channels and building brands to develop overseas markets; in the long run, it will be a test of global supply chain construction and management capabilities. But beyond the test, China still shows its own advantages by virtue of its leading battery life and safety technology in new energy technology, as well as a more competitive price system under the mature industrial chain. (Produced by Thinking Finance)■