The world's carmakers are struggling to compete with China
Global carmakers are struggling to keep pace with Chinese manufacturers, particularly in the electric vehicle sector. As foreign brands lose market share, they are re-evaluating their partnerships in China to remain competitive. The rapid advancements in automation and software development in Chinese factories are creating significant challenges for Western automakers.
- ▪Foreign carmakers' share of China's car market has dropped from 64% in 2020 to 32% in 2023.
- ▪Chinese companies are not only leading in electric vehicles but also in battery production and automotive software.
- ▪China's state support has allowed its EV and battery manufacturing sectors to expand rapidly, making production costs significantly lower than in advanced economies.
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| Original publisher | BBC News — World |
| Canonical URL | https://www.bbc.com/news/articles/c4g8vg72z43o?at_medium=RSS&at_campaign=rss |
| Publication time | Wed, 27 May 2026 22:00:38 GMT |
| Retrieval time | 2026-05-27T22:08:05.906Z |
| Last seen | 2026-05-27T22:08:05.906Z |
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The world's carmakers are struggling to compete with China7 minutes agoShareSaveAdd as preferred on GoogleSuranjana TewariAsia Business Correspondent, Beijing and Hefei, ChinaWatch: China’s electric vehicle success in light of Iran warGlobal carmakers are facing a reckoning as US, European and Japanese brands lose ground to Chinese rivals setting the pace not only in electric vehicles, but also in batteries, design and software. The BBC visited factory floors in Beijing and Hefei on the sidelines of Auto China 2026 - the world's largest car show - and found striking levels of automation and software development speed, leaving foreign brands that once dominated the Chinese market struggling to keep up.
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