China’s auto exports hit record high in first 10 months

China’s vehicle exports surged over 50 percent to over 2.6 million units in the first 10 months of this year, hitting a record high, industry data showed.

Auto companies in China exported nearly 2.5 million finished vehicles in the same period, up 54.1 percent year on year, according to data recently issued by the China Association of Automobile Manufacturers (CAAM).

Europe-bound vehicles await loading at Taicang Port, east China’s Jiangsu Province, Nov. 23, 2022. (Photo/Ji Haixin)

“The figure means that China overtakes Germany as the world’s second-largest vehicle exporter and is second only to Japan,” said Xu Haidong, deputy chief engineer of CAAM. Xu expected the country’s total auto exports to exceed 3 million this year.

During the period, the country’s exports of new energy vehicles (NEVs) skyrocketed by 96.7 percent year on year to 499,000, and exports of its gasoline-fueled vehicle reached about 2 million units.

In October alone, China’s automobile exports hit a record high. Auto companies in the country exported 337,000 vehicles last month, surging 46 percent year on year. The figure represented a 12.3-percent increase over the number registered in September, CAAM said.

Between January and October this year, China’s exports of finished automobiles to Europe, North America, and Asia increased rapidly, explained Cui Dongshu, secretary-general of the China Passenger Car Association.

Chinese automaker SAIC Motor exported 684,000 finished vehicles in the first 10 months of this year, ranking first among all Chinese carmakers.

In the short term, the gradual recovery of overseas markets and an increasingly complete industrial chain in China’s auto industry are the factors making Chinese automobiles increasingly popular with foreign consumers, said Xu.

Employees work at a production base of batteries for new-energy vehicles in Liuzhou city, south China’s Guangxi Zhuang Autonomous Region. (Photo/Li Hanchi)

In the long run, China’s vehicles are gaining more recognition overseas because of the significantly improved competitiveness of Chinese auto products, Chinese auto manufacturers’ diverse methods of global expansion and their greater emphasis on brand building, Xu analyzed.

Xu explained that Chinese auto companies have improved their design capabilities, placed greater importance on enhancing customer experience, done a good job in appearance design and quality control and management of auto products, enhanced their technological innovation and integration capabilities, and improved service systems.

In addition to exports of finished automobiles, China’s auto companies have explored new ways of going global, including the building of factories and sales channels overseas, cross-border brand cooperation, sharing technologies and customized development, Xu said.

Many Chinese companies have built an overseas supply chain system that integrates research and development (R&D), marketing, logistics, spare parts, manufacturing, finance and second-hand vehicles in the auto industry, which have laid a solid foundation for China’s auto companies to expand worldwide.

NEVs have become a highlight of China’s auto exports and an important force driving the high-quality growth of exports.

Employees work at a company manufacturing auto parts in Tongdao Dong Autonomous County, Huaihua city, central China’s Hunan Province. (Photo/Li Shangyin)

“As of the end of October this year, we have sold over 130,000 vehicles overseas, up 18.55 percent year on year. NEVs have become a new growth driver of our exports,” said Fu Xiaokang, vice president of Great Wall Motor (GWM), China’s renowned SUV and pickup manufacturer.

Fu said the company has gained a foothold in overseas markets including Europe, the Association of Southeast Asian Nations, the Middle East, South America, Oceania, and South Africa, and established bases for manufacturing finished automobiles in Thailand and Brazil. In addition, GWM is gradually advancing its global R&D system.