2 hrs ago
China’s Car Exports Surge as Domestic Buyers Pull Back
China is making and selling many cars to other countries.
But people in China are buying fewer cars at home.
Car companies are competing very intensely, especially in electric vehicles.
This competition has led to pressure on prices and profits.
Electric and hybrid cars were still most of the cars sold in China, but their sales also fell.
Overseas sales are growing quickly, especially for electric cars.
Companies such as BYD and Geely are using foreign markets to find more customers.
Regulators want these companies to grow abroad without starting damaging price wars.
China’s passenger-vehicle exports rose 77.5% year-on-year to 894,000 units in August.
Domestic passenger-vehicle sales dropped 23.7% to 1.55 million units, marking an 11th consecutive monthly decline.
Electric vehicles and plug-in hybrids made up 64.7% of domestic sales, but their sales fell 10.1%.
Exports of electric vehicles and plug-in hybrids surged 154.7% in August, accelerating from July’s 147.8% growth.
Chinese automakers including BYD, Geely and Xiaomi are expanding overseas as regulators warn against exporting destructive price competition.
- Who
- Chinese automakers, domestic car buyers, overseas customers, and Chinese regulators are involved.
- What
- China’s vehicle exports are growing rapidly while domestic passenger-vehicle sales continue to decline.
- Where
- The weakness is in China’s domestic auto market, while export growth is occurring in Europe and emerging markets.
- When
- The reported figures cover August, with comparisons to July and the previous year; Xiaomi plans a European launch next year.
- Why
- Domestic demand is weak and competition is fierce, prompting automakers to seek growth overseas.
Key facts
- August passenger-vehicle exports
- 894,000 units, up 77.5% year-on-year
- August domestic passenger-vehicle sales
- 1.55 million units, down 23.7% year-on-year
- Domestic sales trend
- An 11th consecutive month of decline
- Domestic EV and plug-in hybrid share
- 64.7% of passenger-vehicle sales in August
- Domestic EV and plug-in hybrid sales
- Down 10.1% year-on-year in August
- EV and plug-in hybrid exports
- Up 154.7% year-on-year in August
- Export outlook
- Cui Dongshu expects China’s car exports to reach 12 million units this year and potentially 18 million-20 million by 2030









