Beijing Motor Show Unveils China’s EV Competition: Splendor and Shadows on Display
While "flying cars" and new EVs developed by smartphone companies are attracting attention, various distortions have emerged due to the adverse effects of price destruction and oversupply. ......
It was a luxurious festival that expressed a leap forward.
The “Beijing Motor Show,” held from April 25th to May 4th, has come to a close. Over 1,500 companies from both domestic and international fronts gathered on a vast site equivalent to about five Tokyo Domes.
“In the realm of EV development, China stands as a leading force globally. Particularly noteworthy was the unveiling of a new model EV developed by the comprehensive electronics manufacturer ‘Xiaomi,’ known for its smartphones. With its emphasis on affordability and astonishing acceleration capabilities, approximately 90,000 orders were received within 24 hours of opening reservations at the end of March.
Automaker ‘Xiaopen’ announced a flying EV, equipped with four propellers stored at the rear of the vehicle, enabling flight similar to a massive drone. They revealed plans to commence reservation sales later this year, sparking excitement at the venue,” stated Hiroto Kato, a Chinese automotive researcher interviewed on-site.
A total of 117 new vehicles were unveiled this time, attracting a crowd of 890,000 visitors over the ten-day period.
“Japanese manufacturers are also holding their ground. Toyota and Mazda have collaborated with Chinese manufacturers to unveil new models utilizing their batteries and chassis. They aim to make a comeback,” added the same source.
However, the rapid growth has its downsides.
“In China, under government guidance, subsidies and tax exemptions have been provided for EV development. With an increase in new entrants and intensifying development competition, the number of discarded EVs has also risen. A massive graveyard with over 2,000 discarded EVs has emerged, raising concerns about environmental issues.
Moreover, shadows are looming over the popularity of EVs. This spring, Tesla’s layoff of 500 employees in the EV charging department stirred discussions. General Motors and Mercedes-Benz have also revised downward their EV production targets. While demand for EVs is being sustained domestically in China due to preferential treatment for EV purchases, overseas demand is starting to decline,” reported an economics journalist from a national newspaper.
The future of Chinese EVs is by no means rosy.
From the May 24, 2024 issue of FRIDAY
PHOTO： Hiroto Kato
