Why Chinese Cars Are Flooding The World

[@MoneyMacro]

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[@Anton-tf9iw]

BYD only grew unnatural due to CCP preferential treatment of it vs foreign brands.

[@petrbelohoubek6759]

It took like 20 years to establish a brand, even if its better than everybody else... Stop dreaming...

[@雅君墨客-i9z]

China surpassed Japan in auto exports in the first quarter or January-April to become the world's largest auto exporter. From January to April in 2023, the top 10 auto export brands: SAIC Motor exported 313,000 vehicles, ranking first; Chery Automobile exported 244,000 units, ranking second; Tesla ranked third with 128,000 exports; Changan Automobile exports 117,000 units ranked fourth; Geely Auto exported 76,000 units, ranking fifth; Great Wall exports 74,000 units ranked sixth; Dongfeng Motor exported 66,000 units, ranking seventh; Jac exports 58,000 units ranked eighth; Byd exports 58,000 units, ranking ninth; Beijing Auto exports 50, 000 units ranked 10th.

[@petrbelohoubek6759]

@@雅君墨客-i9z Czech republic export 1,300,000 cars per year, and we are nation of 10,000,000 people, that is 1.3 car per person. We are car manufacturing superpower. Not China

[@ArawnOfAnnwn]

@@Anton-tf9iw The same is true of both American and prior to that British dominance of the world economy. Read Ha-Joon Changs' (he's Korean, not Chinese, and works at Oxford) Kicking Away the Ladder to see the long and storied history of great powers doing that. These nations didn't become dominant just through natural market action, not even close.

[@spiz555s3]

BYD is not just a car company, it actually started out as a battery company and honestly this is its real strength as it doesnt depend on other companies to provide the battery pack.

[@FinEco-ct1yy]

Moreover it's a leading competitor in the Solid state batteries research

[@hugo9618]

No wonder it's called Battery Your Dreams

[@PrivacyEnt]

this "strength" causes a percentage of its cars to spontaneously combust, much much more common than how Tesla has it for example. suggesting their QC is actually really bad for the batteries (just like every other thing that comes from china). look up byd's setting up on fire

[@me0101001000]

@@FinEco-ct1yy then why in the hell are they operating almost entirely on liquid state batteries with high dendrite risk!? Solid state batteries do not have the same risk of dendrite formation, because they are single phase batteries. Solid-solid interfaces only form dendrites in relatively rare cases, and there are methods of altering the surface to mitigate this. But in liquid-solid interfaces, it's not like that at all. Methods to reduce dendrites are a frantic call to action right now, with people working around the clock to solve this problem, because the results are catastrophic. Case in point: BYD and Tesla cars exploding often. These companies can talk a lot about solid state batteries, but not one has made it work in the real world. The necessary electrolyte is expensive to produce, heavy and dense, and the crystal phase required is unstable at standard temperature and pressure.

[@dxelson]

Because tech is new, not yet I'm older models 😅

[@CypherDVoid]

An anecdote: I was in China 2019-2020, when EVs were only getting started, and it felt like maybe 1 car in 10 or 20 was an EV. I went last month in April 2023 only 3 years later, and about half the cars there are EVs. It seems like the Chinese government's policy of promoting EVs has born fruit.

[@maplemiles3381]

I think the CCP is forcing people to buy them with the soul purpose of world domination. Those cars become perfect tools to that marshmallows with

[@HEEHEEBOII]

EV got started back in 2017/2018. in 2019 most cabs in China are EVs already.

[@ElZilchoYo]

It makes the roads so quiet too. Love it. Loud fuel cars really stand out now.

[@cosmosben6726]

I don't know other cities in China, but in Beijing, there are 2 different types of license for cars, one of the license can only be used on EV cars, and the other license can be used on both EV and traditional cars. Every year, the government only issue a small number of license, and the quota for the EV license is above 2 times as many as the other license.

[@雅君墨客-i9z]

@@HEEHEEBOII Wrong, in 2000, the world's first mass-produced commercial market-oriented electric car was developed by BYD, but at that time the technology was immature and stable, and the path was wrong, especially the battery technology. Byd started to promote the market from buses, trucks, electric cars, etc., and then promoted it to the taxi commercial vehicle market and finally to the passenger car market.

[@noco-pf3vj]

I see more and more Chinese brands here in Indonesia. They're growing fast, faster than Korean brands.

[@widodoakrom3938]

True specially the electric ones

[@ruemignon]

They should. Korean brands, despite being cheaper than many of their Chinese counterparts like Nio, have already been beaten in China's domestic market. They just cannot compete.

[@dwchen1]

People still remember when Cherry come to Indonesian market in early 2010s try to have some piece of a pie that dominated by Japanese brands since the 60s and they failed terribly due to quality and poor after sale services. Then later Wuling came to learn and correct the past mistakes made by previous Chinese brands and people's perspectives to Chinese car brands has shifted, now Wuling (SAIC+GM collaboration provide some peace of mind in quality sector to Indonesian customers) have some decent footprint despite not able to compete with the Japanese yet but they did make some noise that irritate the Japanese establishment. But now things have changed again as the big Chinese EV brand(BYD already signed a bilateral agreement with Indonesian government to build a manufacturing plant here) ready to enter Indonesia to compete with the dominant Japanese brands who literally don't have one single EV model to offer over here. Even South Korean Hyundai and Kia for the moment are ahead of the game against Japanese competitor in Indonesia by already offering some EV models.

[@IsaacGbornor_gv]

7:55 Because they are very beautiful 🚗 ,just check the 2025 coming Nio ET9 that it will be produce by the Chinese Alone I Heard ,oh my Gosh very Gorgeous 🚗 7:56

[@tiaelago-oretukaumunika7017]

I remember when GWM started selling pickups in Southern Africa. Even as kids at the time, people my age still knew that GWM was a company we could make endless jokes about for its poor quality. However, my mother told me at the time that that was how both the Japanese and Koreans started their now highly respectable auto industries, and that it was just a matter of time before Chinese cars would be amongst the best sellers

[@greenjobs2153]

Yes, everything is difficult in the beginning

[@project-326]

I am an expat based in China and bought the GWM H6 when it was first released. 12 years and 150,000 Km later, I would summarize this purchase, as being the most reliable and low maintenance-cost vehicle that I have ever owned. It ain't fast, or flashy and Jeremy Clarkson would hate it but it gets our family to where we need to go, each and every day and has never once left us stranded...

[@Swyre]

Even Germany was mocked for its subpar steel production compared to England and French production- so bad that it created the standard of writing MADE IN XXXX to be added to all products.

[@tiaelago-oretukaumunika7017]

@@Swyre Thats hilarious! Imagine being so bad everyone else has to clarify to the world that they have nothing to do with you lmfaooo

[@Van_Wilder]

I disagree with you. I’m South African and personally have always driven German cars…most recently, my last two being a Porsche, before that a Mercedes C63 and Audi TT respectively. However, although I most likely won’t move away from Porsche, I have seen Chinese cars flood the South Africa market by storm but here’s the catch…South Africans no longer view them as cheap low end cars, in fact it’s quite the opposite as the perception of most South Africans has changed 180 (obviously not making any comparison to the three top-tier commercial car brands ie Mercedes, Audi and BMW). Cherry and Haval are the biggest brands flooding our market yet despite the models we see exported to South Africa being rather impressive, it’s nothing compared to the models (and different Chinese brands e.g NIO) locally in China or being exported to Australia. Yep, Australia car market is also big on China. My point is, gone are the days that China is known for fake replicas or low-end technologies…as mentioned before, my personal taste in cars is still German but I like many others fall into a particular class of car enthusiasts. Your figures may very well be correct wrt current stats but Germany should worry as it won’t be long before China cements it’s place on the global stage as being a car manufacturing giant, if not front runner in the industry. Ps: I should also add that historically, Toyota and Volkswagen have been the two biggest and most successful brands in South Africa. In later years, Hyundai seems to have eaten away at that market…currently as mentioned before, Haval and Cherry have overtaken and killing those markets as consumers turn towards the Chinese brands as a better and more viable option.

[@joehennesey9833]

I think your personal taste is in luxury sports cars, not specifically german cars. I'm not sure if China will ever produce medium tier sports cars like non gt model 911's and audi tt's but it would be nice to see.

[@arminius6506]

@@joehennesey9833 well when it comes to "luxury sedans" China is already killing it.... Nio sedans are better built and offer more luxury per penny than what Mercedes offer (keep in mind, China buys more Benz than USA and EU combine) And Hiphi is outselling Porch in China by a good margin

[@ChinaSongsCollection]

Hi. Very interesting 👍 Is the Chinese brand HiPhi in South Africa? The HiPhi X was the best selling luxury EV in China in (I think) 2022 : kzbin.info/www/bejne/g33Jl4RveriGiqs

[@iggy5347]

Chinese cannot make cars. They are communist

[@iggy5347]

If you love a free world buy ford and gm and tesla only. Not from communist china. The US is a leader of a free world remember that

[@omi_mq]

One correction, the German brands were not forced to share their technology with local companies after they settled in China; they agreed with that before they arrived in China. German car companies are not stupld; they decided that since the begging, but they underestimated the fast growth of Chinese companies.

[@alerxsss3658]

? not being allowed into the chinese market without an agreement is quite literally being forced to share

[@loull_aroll]

@@alerxsss3658 Actually it's not. It's like forcing you to pay at McDonald's. You also have to choice of not eating there.

[@omi_mq]

@@alerxsss3658 They decided to enter the Chinese market. China did not go to Germany to force brands to invest in their country.

[@alerxsss3658]

@@loull_aroll entering one of the biggest markets in the world is not a "choice" for such companies. not entering simply isnt a plausible choice. China just levies the massive population/market for getting foreign tech that they haven't developed themselves. if a country like Lebanon forces this policy then sure, its like eating at mcdonalds or not. if china imposes this policy, its eat mcdonalds or starve.

[@johnmackenzie3871]

@@alerxsss3658 How is not entering not a plausible choice? And how is it McDonalds or starve when German companies can easily survive without China? When someone accuses the US of economic coercion for its sanctions, it's usually because the US forcing countries to either trade with them or a sanctioned country always results in the US getting the trade and the sanctioned country losing out. But in this case German companies can easily skip the Chinese market and keep doing as they were before.

[@olderchin1558]

The use of industrial policies in national economics is a common practice worldwide. The US spend billions in chips and military R&D and billions more propping up its financial industry. Germany and France does the same for its power generation, military and car industries. The Koreans, Taiwan, Japan has well known industrial policies. Even countries that ain't successful yet are busy nudging the development of its own industries, just read up on every country in ASEAN.

[@Bell_plejdo568p]

Can talk about asean countries, and which country specifically

[@nathanlevesque7812]

Chips specifically are not a good example because they are currently bottlenecked by literally one company.

[@ArawnOfAnnwn]

Yeah, Ha-Joon Changs' (he's Korean, not Chinese, and works at Oxford) book Kicking Away the Ladder is a really good read on this.

[@ArawnOfAnnwn]

@@nathanlevesque7812 Not quite. TSMC gets all the attention both due to making the highest end chips, but also due to geopolitics. However they aren't the only semiconductor maker, and in fact the highest end chip sector isn't even the one that's most supply-constrained. Other nations like Japan and Korea, but also Thailand and of course China as well also make chips of various kinds. The chip industry is only concentrated in one company if you squint hard enough at the top of the pyramid. Which unfortunately is exactly what the media usually does as it sells headlines better. But most products using chips, like cars now, neither need nor even want what TSMC specializes in.

[@himanshusingh5214]

US and EU for agriculture.

[@fyang1429]

There’s another component, which is to attract the world leader-Tesla, to the Chinese home market, which forces the local brands to compete and hence avoid the low quality monopolies that happened to companies like Baidu

[@deebil8099]

You mean they attracted companies like Tesla so they can steal all their tech.

[@evilleader1991]

​@@deebil8099 From what I've seen is that Chinese brands are not really any worse than Teslas

[@adnansulistyo7411]

Maybe thats why Chinese gov agree to let tesla operate by themself in china without partner. To force local brand to level up

[@dengist8172]

@@evilleader1991 That's the result of competition. Chinese companies need to survive in an EV market more competitive than the US

[@adamesd3699]

@@adnansulistyo7411 Perhaps, though I’ve read that it was because Elon wouldn’t agree to let someone else (local partner company) make his cars for him (and capture all the learning and data for themselves).

[@Akeem_768]

Even in the dump truck sector China has been excelling esp in countries with no emission rules.

[@Im-mono]

All dump car in Shenzhen r full electric. What u mean emission rules?😮

[@Akeem_768]

@@Im-mono I'm talking about overseas countries & by emission rules I'm talking about the standard tier vehicles has to be in thr US & EU e.g Euro 5 & Euro 6 systems

[@Buorgenhaeren]

Yeah those countries know no reason to have german emission standards because the germans lie like crazy on their car emissions 😂

[@himanshusingh5214]

Buses.

[@fanlee8184]

​@@Akeem_768 事实上中国对汽车排放很严格，目前已经是国标6了

[@obsidianstatue]

It's also important to note, Tesla made in China uses Chinese suppliers and components, this alone is a massive supply chain. China makes more EV batteries than the rest of the world combined, and with battery dominance, Chinese companies like CATL and BYD, can set the industry standards. BYD for eg, popularized the LFP batteries, this move pulled the rug out from the feet of Korean and Japanese battery makers who had smaller scale and focused on ternary lithium batteries. Now BYD's most affordable car, the Seagull will use sodium batteries, this again will shift the battery chemistry for low-end affordable cars. Another Chinese battery maker CATL, is now developing modular swappable batteries, once enough car makers use the CATL battery standards, it will create an unsurmountable protective moat for the company to direction control the most valuable component in an EV

[@vlhc4642]

CATL's condensed battery with 500 Wh/kg is going to dominate the high end, Sodium will run the low end, LFP will run the medium end, and traditional ternary batteries slightly better than LFP but much worse than condensed will be slowly squeezed out, which is interesting because everyone outside China are still building ternary battery capacity.

[@andysui5979]

Well summarized! Thank you.

[@陆鸣-h5u]

海鸥用的还是磷酸铁锂电池，不是纳电池。采用纳电池是部分宣传媒体的错误报道。

[@zhongwen26]

Shanghai leaders，good job

[@dwchen1]

Ford will build LFP EV battery plant in Michigan and there's a catch...using a license from CATL design IP.

[@PearlOfWisdom999]

Other countries are still arguing about the timeline on banning ICE vehicles while China has already reached its 2025 goal (25% EV) 3 years early. The Chinese government has been subsidising the EV and battery manufacturers while expanding the charging network (doubled each year) for the past decade. China will reach 70-80% EV sales at the end of 2025 already.

[@TimothyCHenderson]

Freeing themselves from the oil cycle will be a boon for their consumers and stability.

[@asianboywonder2312]

California also hit their targets years early as well. turns out mass incentivization works.

[@AlessandroRodriguez]

Even assuming that would be true, the electric grid of China is very heavy on coal, and it will intensify even more, remember their green target is only double their number of coal power generated, so changing from oil cars to coal cars is a win?

[@PearlOfWisdom999]

@@AlessandroRodriguez China is also the largest producer and innovator in green energy. Even assuming this wasn't the case, concentrated pollution is easier to clean than having car exhaust outspread across the country.

[@oohhboy-funhouse]

China started from a drastically lower base number of cars hence good percentage which is an easily abused statistic. Instead of replacing old cars, it's first time owners who don't have a choice. There are an insane absolute number of cars around the world that need replacement that aren't ageing out any time soon nor replaceable at such a pace even with bans, using percentage in this case is dishonest. There are material limitations with current technology that no amount of money will change without magical swapping of geological locations or extremely polluting mining practises.

[@cclaxe]

As someone who has driven both the model3 and the Accord, I was shocked by the quality of the Han EV after driving it. It has had zero failures in three years, and the quality is far better than that of the model 3 and Accord.

[@肖宣羽]

mee too

[@athenaqilin8354]

interesting

[@chjin1796]

The ICE cars are much more complex than that of EVs. Under the same manufacturing level, the more complex the equipment, the worse the reliability. At present, ICE technology has reached a bottleneck. Once the battery technology breakthroughs, ICE cars will go to the garbage dump.

[@hacken1983]

This video completely missed the point. Chinese car manufacturers were not able to catch up in ICE cars because of the patent barrier that was over a century. In hybrid cars, Toyota also held the patent dominance for about two decades. Newcomers such as BYD and Chery were able to establish their lead because of their breakthroughs in hybrid engines, electric motor and battery technologies, for which they deserve the credit. It's not just about throwing money at things. Biden is good at throwing money at EV but it turns out that many American car manufacturers are eager to collaborate with Chinese companies.

[@EF-rj5gp]

You are right

[@Jajalaatmaar]

That's literally what he says. China focused on breakthrough technologies at crucial moment when a switch from ICE to electric was being made.

[@dailyindopak]

Beating Germany in numbers is still a great achievement for China and it has been the industries norms to first charge low to grab the market and as getting technological advance by spending more on R&D then charge more for it and we will see this trend after few years.

[@NBDHDLL]

Fun fact ：most Germany car brands in china is low market car.Their prices are even cheaper than those of Chinese cars.For example, Volkswagen and Skoda, their overall prices are lower than BYD.Chinese The only reason the Chinese don't buy them is that their technology is too backward.

[@dailyindopak]

@@NBDHDLL its true.i have noticed that Chinese cars absolutely come with new spirit.

[@loongsiu4766]

@@NBDHDLL indeed, personal experience LOL

[@InXLsisDeo]

And it's only going to get worse for Germany as the german carmakers are doing everything they can to protect their petrol car industry. That's typical of a losing strategy, remember Kodak.

[@dailyindopak]

@@InXLsisDeo it is true.Many CEOs of car manufacturer are spreading shit about EV bcz they are not in the race i.e.Honda and Toyota they fear of loosing market in the coming years bcz they have not invested as China have done.

[@armatus]

Im in china right now, living in Berlin, it is absolutly breathtaking. I can literally see our car industry dying. Id say in several cities half the cars are now ev, with busses and taxis hovering at 95%. Of which the germans make up what feels like 1%. Cool looking, apparently efficient enough chinese evs which are super affordable. Who would buy a 60k € american or European ev if you can have a better one for 30...it really is crazy how fast this change is coming

[@toom2141]

Yes correct. I confirm your observation 100%. Volkswagen has lost the game already while at home they still discussing the bad clearance of Tesla cars. Game over!

[@TheShalalai]

@@toom2141 EV’s are not sustainable. Hydrogen is much more eco friendly but it’s difficulty extracting hydrogen is the problem. There has been many studies done where it showed that need to do 60k miles on 3l diesel pickup truck to emit same amount of pollutants into atmosphere as to make an EV, and that not even taking in a consideration that 60% of electricity comes from fossil fuels. Do I even mentioned that no one has an idea what we will do with all those batteries when it run out of juice? All of this is a big sham.

[@nvelsen1975]

@@TheShalalai "EV’s are not sustainable. " ....And that's the moment you lost all credibility. Crying that the extreme energy demands to produce highly dangerous explosive hydrogen is somehow better is just the icing on the cake.

[@TheShalalai]

@@nvelsen1975 we can’t even recycle phone batteries, as no one wants to do it, not even to mention car batteries. So it’s not sustainable. Same with natural gas, it’s highly explosive but I never heard that car who runs on natural gas exploded for no reason like battery cars do.

[@nvelsen1975]

@@TheShalalai Yes we can. I signed a contract last week that says they will. Try not watching Fox News as your only source of information. And LPG cars explode a plenty. There's specific instructions for the fire department even.

[@andylau638]

It's actually very easy to understand why EV in China is so popular and important. China has cheap electricity but expensive petrol so EV is the best solution. If local consumption needs EV might as well make more EV for export. EV isn't that complicated in engine parts like that of the internal combustion engine,spare parts are less complicated as long as the designs are attractive enough and the batteries are reliable and lasting for longer distances. With all these factors EV therefore becomes the ultimate goal in China's car manufacturing, particularly with its cheap and affordable price. Most of the western manufacturers can't compete in prices so will be left out in the EV market

[@NaumRusomarov]

most of the western manufacturers spent decades lying about their emissions and paying off politicians to block evs. toyota still does this, they're one of the largest promotors of fossil fuels and climate change denialism. during that time chinese companies actually did the work, established supply chains and secured resources. now the axe has come swinging against the neck of western car oems.

[@andylau638]

Tesla seems to be the pioneer in EV so was the batteries used too. But the job of innovation in batteries was shouldered by BYD, thus in the end BYD produces better models of the EV and batteries that can go longer distances. What is the present ability of their batteries to go the distance remains to be seen but the improvement of course is unlimited. Once the reliability and safety of these batteries are established then the future of EV is very bright too.

[@HugoDiasR]

people forget about the pollution factor too, after all that's also why EVs exist, Chinese cities were practically unbreathable a few decades ago

[@HugoDiasR]

@@Henry-zm9qg This doesn't matter since the plants are far from the centers of overcrowded cities

[@IsaacGbornor_gv]

And not that one you Comment led alone but also helping them with their Climate at last they have stopped putting on Face 😷 mask their Country,Co2

[@arman3291]

In the past I thought we have many Chinese cars in Iran because of sanctions, but after reading comments, I find out that every place in the world has the same situation. Interesting how fast China develops!

[@1queijocas]

I don’t really see Chinese cars in Europe (I live in the UK) so it is not everywhere yet

[@royhuang815]

@@1queijocas You may see some MGs in the UK

[@1queijocas]

@@royhuang815 true, although that was originally a British company which was then bought out by a Chinese company. I wonder if many owners don't know this

[@Petrezen1982]

I live in Germany and from consumer perspective German brands are not providing reliability or production quality better than Japan or Korean alternatives. Most of my friends drive Toyota or Mazda. Sick emission standards and low quality with high prices drive customers towards Japan.

[@guill90]

But german cars look better.

[@gwho]

Yep. Japanese and Korean cars are built better, yet everyone is stuck on the status symbol and brand value of German cars instead.

[@evilleader1991]

German cars are not what they used to be 🥲.

[@CutieZalbu]

& German brands are starting to get greedy now,They we’re charging subscription for heated seats a while back & I thought this was so funny,Shows how much they’re willing to pinch a few more Pennies off of consumers pockets

[@isawrooka4]

I feel like at least with some brands the quality was never there, at least under the hood (BMW, Audi). Mercedes were and are still very solid imo. But yeah if you live in Germany and you don’t have a company car I feel like there’s no reason to go German over Japanese. Preisleistungsverhältnis clearly points to japan

[@furypenguinz]

Existing tech leaders also use patents, which acts as a barrier for future challengers to catch up, they either get sued to bankruptcy or the licence fee make the business unfeasible.

[@rileynicholson2322]

I think this is often missed when economists discuss global markets and developing nations. A lot of the "learning by doing" barriers are really artificial patent laws and IP, which create a system similar to mercantilism. Even if the people in these countries are willing and able to create these products, they aren't allowed to do it because it will damage the profit margins of some multinational corporation with better lawyers. The only reason China has been able to catch up or leapfrog in some industries is that it is a large enough to either invest in new technologies aggressively or push the limits on IP while withstanding a trade war waged by the POTUS. Most developing nations are not in a position to do that.

[@vlhc4642]

Being able to make the same product at lower price is the same as being able to make a better product for the same price. And once people's expectation for quality at a given price change after seeing a Chinese car, they'll start seeing German cars as lower quality, even if a more expensive German model might have the same quality. European belief they're safe in the high end segment is going to be the end of them.

[@喵队长]

Yes, do you remenber The smartphone's history? Xiaomi is the key contributor to today's phone world.

[@athenaqilin8354]

Have you compared Chinese EV dashboards to that of Tesla or VW? Chinese EV have all the bells and whistle, the largest LCD screen, karaoke high end sound systems with 12 speakers, luxury leather package standard, self parking Chinese EV are more playful. More enjoyable. This is what I think. Also you don't hear Chinese EV catching fire or being autonomous crashing like that of Tesla.

[@hhkk6155]

China is also first at implementing new type of batteries - Sodium ion.

[@shanghaidiscovery2664]

Pretty good summary. Just a couple additional points: - whilst it is true that all foreign carmakers had to have joint ventures in China, this also was beneficial to them: a lot of the capital expenditure was co-financed and at least a couple of these automakers would not have survived the financial crisis of 2008 without their Chinese partners (GM? PSA? and Volvo / Polestar would definitely not exist anymore without Geely) - In terms of AI, I think that China has been quite successful but that a lot of the Chinese tech ecosystem is much more insular and focused on the domestic market - Many consumers now not only switch to EVs in China but in last 3 years, many now who have the money for a Tesla will look at other brands. A lot of people are confident in local EV brands becayse they provide innovative, well built and affordable cars in any case I had a German car in the past and now two EVs in China including an Xpeng. The quality is really there and also a lot of the foreign carmakers including luxury German brand had terrible customer service in China....

[@rainboworiental9521]

First point is changing now. Government allowed foreign car brand taking majority share even all share around 2018(maybe not certain years). So BWM could bought shares from near bankrupted jonint venture partner huacheng and left its share in joint venturer to 75%. But outside Tesla no one foreign car brand want to start a new fully controled subsidiaries in China I guess majorly because high cost and already have partners in China so unnecessary

[@Asuka.the.Perfectionistic]

Cadilac and Buick both sells much more cars in China than in the US, thanks to the joint ventures

[@brunonascimentofavero6097]

Yeah, just because everybody is hyped by chat gpt and generative ai now. But in many senses China is actually more advanced in the use of AI, like industries and smart cities, e-commerce, logistics, even social media, everybody praises TikTok algorithm for knowing its users. But even in generative AI it’s still quite early to say who’s ahead, google who was mocked for bard is now in many aspects ahead, and even open source AIs are becoming a thing. So china has plenty of time and ways to catch up there.

[@minyaw1234]

From what I saw - and I have to admit I'm not on the ground so I can't say how it looks there - but in terms of generative AI, China lacks far behind. Also without the Nvidia chips, especially the new clusters, I don't know if they can catch up soon. There is so much trial and error with LLMs, you need to train multiple versions and finetune them which might take months without the right GPUs.

[@CBING666]

BYD founder Wang Chuanfu founded the battery factory, and did the world's first, and relying on this industry to succeed as the richest man in China, in 2014 to establish a new energy vehicle factory, well, now is also the world's first. What a crazy guy.

[@bilgyno1]

Chinese brands are also taking a different approach now. Rather than fighting on price, they are positioning themselves as luxury options with lots of features. BYD cars are priced almost double in Europe compared to China. I think they learned from earlier attempts like SsangYong, although it might be a harder sell for now. However, it is clear to me that the attempts to block/delay regulations is only going to make the demise of European OEMs more inevitable. Prepare for huge bailouts as more people want EVs and Tesla, BYD and other Chinese players are there to meet demand at scale. Once ICE sales start to decline, the economics also start to turn around. Within a couple of years, those profit generators will incur losses and only those OEMs that built capacity to build 100% EV (of current numbers) have a chance to survive and thrive.

[@MuniPerez]

Whoever thinks a chinese car is luxury deserves one 😂 good luck

[@deebil8099]

Nobody wants garbage Chiense cars in western countries. They can only sell their cheap tofu cars in very poor countries where the people can't afford German cars.

[@evilleader1991]

@Muni Perez and @Deebil are great examples of brainwashed individuals

[@bilgyno1]

@@MuniPerez exactly the mentality that will get the established OEMs in trouble

[@MuniPerez]

@@bilgyno1 I disagree. I have a BMW and would never buy a chinese car. Not because it’s chinese but because it doesn’t have the almost a century tradition of engineering excellence - not to mention IP theft and other shady dealings, which I won’t reward these companies with my money. China issue aside, you can clearly see the difference between a premium German car and a “premium” Asian car like Infinity and Acura. They don’t come even close. They are good cars for sure but people that buy German cars won’t buy these cars, let alone a chinese car. They do add value to the overall population offering a cheap option for people to move around, but German cars don’t care about that.

[@雅君墨客-i9z]

China surpassed Japan in auto exports in the first quarter or January-April to become the world's largest auto exporter. From January to April in 2023, the top 10 auto export brands: SAIC Motor exported 313,000 vehicles, ranking first; Chery Automobile exported 244,000 units, ranking second; Tesla ranked third with 128,000 exports; Changan Automobile exports 117,000 units ranked fourth; Geely Auto exported 76,000 units, ranking fifth; Great Wall exports 74,000 units ranked sixth; Dongfeng Motor exported 66,000 units, ranking seventh; Jac exports 58,000 units ranked eighth; Byd exports 58,000 units, ranking ninth; Beijing Auto exports 50, 000 units ranked 10th.

[@InXLsisDeo]

And this despite the fact they can't export to the US.

[@Ex.zed.]

Selling cheap shitters to developing markets. Yeah sure!

[@dzcav3]

Source for China beating Japan in auto exports?

[@RasvonKoo]

​@@dzcav3just Google it. Not only will it surpass Japan but also with a good gap.

[@EF-rj5gp]

​@@RasvonKooalready surpassed Japan in q1 2023

[@adamperdue3178]

I think China has a long way to go still, but they've come very far from where they were before, and I'm very happy for them. I used to refuse to buy appliances made in China because even if they were a fraction of the cost, they were so unreliable that I'd spend more money over time replacing them. But a few years ago I decided to go out on a limb and buy a Midea washer/dryer combo to replace my old ones. Well it's been 4 years now and I haven't had any issues with them, and they were about half the cost of any other set that I could've bought. So don't sleep on Chinese manufacturing quality, and assume that it's all shit and won't ever be able to compete with Western (+Japanese/Korean) brands.

[@zhuoweili1499]

It's interesting that many people say Made in China is equivalent to low quality; However, the reality is, for the same price, Made in China for the most of the time is the best choice.

[@Lennonrx8]

You are so right, when it comes to appliance air conditional and so, Japanese and Korean companies has been tear apart, they can't compete in Asean with Chinese brand. My dad had a bad impression with Chinese electric appliance for years, even praised the Gree air con he had for low electric consumption.

[@adamperdue3178]

@@zhuoweili1499 I think it still depends a lot on what brand you're buying from and what type of thing you're buying, but a lot of the mid-level appliances are of decent quality with a low enough cost to justify buying them. I don't know if I'd personally be willing to risk buying something more expensive like a Chinese car just yet, but China's manufacturing capabilities are improving every year so maybe in 5-10 years they'll be able to compete with established manufacturers in terms of reliability. As an American, I actually hope China improves enough to get rid of our complacency, since many Americans just assume the Chinese can't ever compete, and I think the attitude of complacency really holds us back.

[@mortezamohammadi505]

Most of products by Western, Japanese and Korean brands are manufactured in China anyway

[@树心旁-p4b]

My wife works in Midea Group, and she is responsible for the software development of the washing machine division. Thank you for choosing Midea products😋

[@dimastashyi1793]

Thanks to our western friends, in Russia we have now 70% chinese cars instead of previous german\japanese dominance.

[@evilleader1991]

Its time that Russia starts investing in their own country. Ever since they started selling gas to Europe they've been lazy and not really been hungry in advancing their country (similar to SA). So these sanctions could be a blessing in disguise forcing your educated population to innovate 🥳

[@dimastashyi1793]

@@evilleader1991 you right 100% here, but keep in mind, that Russia produce a lot of stuff, not just crude export. From agriculture to military aircrafts. We can't produce everything and our civil cars are really bad 😂

[@cosmosben6726]

Russia are going to be more depend on China, it has no other choice, and the influence of Russia to countries in middle Asia will be replaced by China. Russia is doomed, unless it can annex the east districts of Ukraine.

[@mitchellcouchman1444]

​@@dimastashyi1793 I mean a lot of export military equipment

[@promiseye4974]

@@dimastashyi1793 demand in Russia is too low to stimulate domestic automotive industry to grow

[@meejinhuang]

China's car companies mostly build for their own market. Most of their brands have not gained much market share in the West.

[@haochengzhai7156]

China has overtaken Japan as the number one car export in the first quarter of 2023.

[@steemlenn8797]

Yet. You are right, they are not exporting, BYD just started exports to Eruope this year. But that only means they still have (most of) the world to conquer, while for German brands it can only go down.

[@azumishimizu1880]

Yet are the biggest exporter. Ive got news for you the world isnt about you and youre West.

[@alaa341g]

you know that the west is like less then 20% of the world right ? and btw you can't compete with the west inside their market in just few years

[@json-gi2bi]

这个游戏才刚开始，中国今年已经成为全世界汽车出口最多的国家，而且还在继续扩大

[@robsoncamposdelima2963]

China is advancing in several areas, the fact that they do not completely dominate sectors that entered a little over a decade ago does not mean that they do not have the capacity to do so. If Chinese politicians and businessmen listened to Western economists, they would still be churning out plastic toys and cheap clothes. The point is that China has been growing in markets traditionally dominated by Americans and Europeans and if this doesn't stop the West will have serious problems for losing market shake in a few years.

[@peter-xw1mu]

Ok Chinese bot.

[@renananjos8064]

West's to run for chinese equality velocity in economic race .

[@evilleader1991]

​@@peter-xw1mu When you can't write anything intelligent, just label them as "Chinese bots" 🤡

[@Dear_Mr._Isaiah_Deringer]

It's true without ignoring foreign IP, voluntary and involuntary knowledge transfer they would be still churning out happy meal toys.

[@peter-xw1mu]

@@evilleader1991 Actually you don't have to be intelligent to see how fake these comments are. 1. Use the most generic non-chinese name. 2. Praise China while criticising the West. 3. Do mention you live in X Western Country. 4. Praise the leadership of China. I mean it's so in your face. So easy to spot.

[@rabbitazteca23]

Honestly good for China. Bravo for grtting into EVs early and seeing the opportunity as soon as they did! Kudos!

[@blackartist7]

The gov support of EV cars in China can be traced at least 10 years ago. It's still early to say China's investment in aeroplane, AI and semiconductor is not producing similar outcomes, they are just at different stages. In the end, what makes China successful in these industries remains the same: huge market, abundant cheap engineer, high R&D investment both private and public, favorable industry policies etc. I would bet my money on China winning in all these areas in 1 or 2 decade.

[@RandomPerson-tz7wk]

Hopefully the world will learn from China success and do a reverse china move. Meaning close off from China export and force Chinese companies to transfer technology and local partners. If it works for them, might as well copy it.

[@abdiganiaden]

Chips and planes are not as easy as car industry to be frank. TSMC needs Dutch machines, the Dutch need Americans and Japanese to make those machines. Everything is also incredibly high end and requires incredible amount of experience. There’s a saying 9 women can’t make a baby in a month. This is especially true for chips and jet engines.

[@deebil8099]

What makes them "Successful" is not spending any money on R&D and stealing all their tech. Even then, they can't manufacture products that require precision engineering. That's why their new commercial jet, the Comac919 is made of 80% parts from the west. The same goes for products like the iphone. China can only assemble parts. All high end components, software and machinery comes from the west. They are very low end/ low value add manufacturing. Now that the entire civilized world is decoupling from them, the U.S. and the west is sanctioning them with high end components little by little. It's not going to be just chips. When they aren't able to get these components, it won't matter if they steal all the blueprints for items they want to make shitty copies of because they won't be able to get the parts they need and can't manufacture themselves. China's economy is collapsing and Xi is closing off China anyways. Soon China will be a larger North Korea.

[@evilleader1991]

​​@@abdiganiaden You are just moving the goal posts. Having a successful car industry is no small feat at all. Its better that we start seeing Chinese as serious competitors. Ignoring them will for sure not bite us in the a*s in a few years, right? 🥲

[@anivicuno9473]

@@abdiganiaden I disagree in that TSMC doesn't *need* the dutch, japanese, etc. It's not like the dutch or japanese are the only peopla capable of making their particular thing, they just happen to be the current places where this is made. With enough investment (and there certainly is enough money being poured in) high end optics can be made domestcally

[@hackerbrinelam5381]

I mean not only China, South Korea and Japan today achieve economical growth success through active targetted market intervention and industrial policy. I dont think this disproves standard economics as the fundamentals are similar but I do think its outdated at modern times, like somehow we still think nation state still exists in this globalised era, although deglobalization is happening, it still doesnt deny that Globalisation made the world more like states within a nation rather than complete independent nation states, basically like a global less regulated, slightly more disconnected EU

[@stokeynathu8112]

The Biden administration is heavily subsidizing electric cars manufacturing

[@BobBogaert]

All of Joeri's finger-counting was spot on in this video. Learning by doing!

[@osamataha336]

I feel the issue you’re missing if China controlled the lower market and eventually the mid market , that will leave the rest of the companies competing on the smaller high end segment which will lead to a bunch of European brands to collapse

[@张小曼-k2x]

倒闭就倒闭，还不是竞争不过，世界不管是人还是国家还是公司都是竞争关系

[@张小曼-k2x]

中国人也行过欧洲的高薪的生活

[@NBDHDLL]

Most European brands are also low markets in China.Such as Volkswagen, Citroen, PEUGEOT, PFIAT, skoda, Saab, Renault, MG, OPEL。

[@georgeszurbach444]

@@NBDHDLL For info MG is chinese not european ,Saab have stopped producing cars unless there are still oresent in developing countries as China.

[@NBDHDLL]

​@@georgeszurbach444 According to Dataforce, MG sold 113900 cars in Europe in 2022. The growth rate is second only to Tesla.As for saab, LOL🤣, if he were allowed to sell to the Chinese instead of the poor Swedes, I believe it would be alive to this day. But this does not change the fact that most European cars are at the low end of the market in China.What a pity🤣

[@testboga5991]

waiting for how prices will come out in the long term after setting up dealership and spare part networks. selling an ev is easy, supporting it through it's lifetime and achieving quality products is a whole other ballgame.

[@randomthings9032]

I live in middle east, 5 years back you hardly see Chinese made vehicles here. Lots change now and the Japanese and Koreans car makers apparently in panic mode now😂

[@je_suis_onur]

Main reason why nobody was able to beat Germans in Internal Combustion Engine (ICE) cars is that ICEs are very hard to master. It requires a delicate balance between metalurgy and mechanical engineering to electronics to get an efficient yet powerful, durable yet easy to maintain engine. You can definitely build a B- rated engine quicky, but A+ engine requires enourmous experience and technology which Germans have since before WW2 times. They simply iteratively got better by pouring a lot of man-hours and building their industrial capacity around that. This lead is now eroded overnight by Elon Musk's Tesla and they're trying to catch up ever since. They're still good at building the chasis and aerodynamically shaped cars but these are very easy to do with powerful software. Design and utility are definitely their strong suit too. It'll be interesting to see what the future will bring.

[@jerrytom5841]

None of the family cars of the future will use an internal combustion engine, but batteries instead, but Germany is now far behind East Asia and the US in battery technology

[@je_suis_onur]

@@jerrytom5841 I don’t think any country is behind China yet technology-wise. If anything future emergent technologies are predominantly coming from US. What China managed is to reduce the cost of building batteries and that’s an economies of scale thing not a technical superiority thing.

[@directxxxx71]

@@je_suis_onur 😂😂😂

[@directxxxx71]

When Chinese and everybody else are on the same starting line, they would most likely to beat all of them...

[@je_suis_onur]

@@directxxxx71 Well we'll see about that. I'm not betting on any authoritarian beating the any other developped country with democracy. Chinese can steal tech but developping on them would require free market without too much government intervention and a healty amount of investor capital. You can only go so much with state funds.

[@Mkoivuka]

This is a super hyper classical example of disruptive innovation. You start out with "crappy", but based on a new paradigm/idea, and quickly surpass the "best"

[@ronzac55]

Wuling cheap EV is also taking its market share in Indonesia where EV is becoming a necessity in Indonesian cities.

[@张蓣礞]

What gets in the way of survival. Ignorance and arrogance, like Nokia and Kodak

[@postblitz]

14:00 you say "microchips" without similar success but there's been lots of news that they've already got the lithography down to 5nm which is insane.

[@MoneyMacro]

Could be huge. This could indeed change this part of the story.

[@stc2828]

China already passed Japan as largest car exporter first quarter 2023😂

[@lixue2023]

China has a very large number of agents LOL, Mercedes-Benz, BMW and even many mass-produced cars, China has almost all the rights to mass production

[@buravan1512]

There's CHINESE MONEY 💰 in BMW group AG, the largest MERCEDES BENZ Investor is also CHINESE, to make the matter even worse CHINESE bought the legendary KUKA, robotic systems that Germany use to manufacture those high end cars, recently they even took over PIRELLI. i think the CHINESE are enjoying a good margin.

[@juliane__]

7:07 Actual salesfigures tell chinese cars are sold in a few 1.000 in Germany. Supposedly it is similar in other EU markets. We have to wait another five years or a decade before the EV wave arrives here, i guess.

[@isawrooka4]

Europe will put up tariffs before letting China dominate the continent. Absolutely no chance and I don’t see the political tides turning in favor of the neolibs

[@haochengzhai7156]

Todavía no se ha aumentado la capacidad de producción de byd. En China, byd vende 200.000 unidades al mes. Todavía hay muchas fábricas en construcción.

[@steemlenn8797]

BYD started selling (expensive models) in the EU this year. But I think only in the Nordic states where half of the cars are already electric.

[@juliane__]

@@haochengzhai7156 Doesn't matter if no one wants them in Europe.

[@thinhare]

Recent Shanghai auto show kinda presents a new perspective, that China is playing a different game that ICE cars. Maybe in 5 years we can already see how far and get it can go.

[@thanasis-_-]

2:03 is this point supposed to be in favour of Germany?

[@kenmeyer6875]

That's what I thought! Just bought a Haval H6 HEV - a full third cheaper than BMW, Ford and even Hyundai.

[@Titangrille]

pro Germanys companies because more money for them. But yes its not a good argument as someone looking to buy a car

[@salmansengul]

12:55 Wrong! If you think Diesel cars are not efficient or reliable, then you've never owned a 4 Cylinder Diesel of Mercedes Benz! Those engines are extremely efficient and reliable which is why they were used in german Taxis for decades. EVs might get to the same point some time in the near future.

[@robin1987100]

11:30 thats a bit optimistic. EV's are still cars, not just battery packs with wheels. Large parts of it can be copied but actually running the production line and supply chain efficiently haven't gotten any easier. Even if someone doesn't like Tesla / Musk, its hard to argue what they did isn't impressive.

[@wtrbns]

A good electric car is designed form the ground up though. Making use of the "free" structural integrity a battery provides, the increased need for good aerodynamics, the more efficient energy conversion and recovery and the additional space. While the German manufacturers still have advantages in a lot of manufacturing areas, there's a big temptation for short-term cost-savings by re-using parts better fitted for an ICE vehicle. In some cases this is probably even forced to keep costs from spinning out of control as they get hit by reverse economies of scale on their ICE production lines.

[@isawrooka4]

That is true but I think the point is moreso that electric vehicles are just not that comparable to ICEs. I live in Germany and the “death” of the industry is certainly overstated but many parts suppliers certainly do not have a good future ahead. EVs simply have way fewer and way different parts. ICEs are complex beasts and by comparison EVs are simple. I think what Tesla did is of course very impressive, there’s a very high barrier to entry in this industry and Tesla started before things like batteries got so much cheaper and more plentiful. But that has suited them well today as they are reasonably mature and can profit off the learning they did early on

[@athenaqilin8354]

What is impressive is their robotics, automation. Shanghai Giga Factories that ran better than Giga Germany, Giga Texas. Chinese factories have newer better robots. Raw materials are cheaper.

[@bristotti]

Valeu!

[@vandenbergstudio9088]

Just ordered a Chinese car yesterday in the Netherlands! However, due to high demand and current supply chain status, I need to wait 4-5 months

[@加菲猫-m7n]

In China,make byd dolphin deal in 2022 12 20 and get car in 2023 5 21.

[@olderchin1558]

The most important factor for the successful of any industry is the establishing a value chain preferably internal, either vertically or nationally. The other is a knowledge base, in universities and an experienced and trained population.

[@ChanFeng]

Cars used to be more expensive in China than in USA. Now the opposite is true. Just look at Tesla's price in China. Model Y base model with full self driving cost $62,740 in USA, 327,900 RMB ($45,709) in China. Price in China is cheaper even after $7,500 tax rebate in USA which not all people qualified for.

[@lbride3738]

I just subscribed. What?! - this channel has less than a million subscribers? Truly under appreciated. This video is definitely less boring than Boyle's *** Flooding Europe with Cars.

[@drscopeify]

The USA lead the way with early market adoption with high income suburban living and with private houses and garages allowing for early adoption at high cost, before infrastructure existed to charge EVs but once mass market adoption is on the table then China takes the lead easily with a Giant urban and dense population making infrastructure easy and short commute from house to work. The USA is now struggling with the challenge of long distance commute, low density suburban areas with limited infrastructure

[@steemlenn8797]

Those struggles have nothign to do with ICE or EV, they are just the results of stupid city planning, or more correct, car world planning. As long as you build everythign so spread out that you need a car to get anywhere, everything will be more and more spread out becaus of all the cars. The car city is a ponzi scheme where the infrastructure costs will always outweight the income, and that is only hold up because of new "developments" and pre-car city centers who still act as wealth producers.

[@madev_channel]

It's like they've changed a competing area, not competing with the ICE cars, but with EV. Also because of the stubborn german and us carmakers like VW that refuse to change and only want to buid EV based on their ICE cars, they can not keep up. But Chinese carmakers still have a lot to learn and if they want to be successful in the long run.

[@athenaqilin8354]

That is Ford, Ford want to do EV with ICE chasis.

[@ed808]

There’s a component to the Tesla story in China you missed. Tesla’s entry into China enables China to build up supply chains much the same way Foxconn did for the phone market. This allows smaller players to come up and take advantage of the supply environment. Excellent planning on the part of China. Probably the main reason why Tesla got 100% ownership of Tesla China.

[@niuchajianfa6222]

False...Tesla entered china very late

[@yudogcome5901]

The introduction of Tesla is purely a commercial catfish effect. Like BYD, almost all parts are manufactured by themselves. They even have their own semiconductor factory. Tesla's supply chain has no reference value for BYD.

[@NBDHDLL]

Wrong，Tesla Shanghai Factory was completed in November 2021.It has been 3 years since LI CAR produced the first EV car.It has been 4 years since Xiaopeng CAR produced the first EV car.It has been 5 years since NIO produced the first EV car.It has been 15 years since BYD produced the first EV car.Tesla into China，only like a catfish.😅

[@雅君墨客-i9z]

I am dying of laughter. When will Tesla enter China do you know? In addition, at that time, China already had a complete technology platform supply chain and industrial chain components for electric vehicles. Don't forget that China was the first to develop new energy electric vehicles. When BYD developed the world's first mass-produced commercial electric vehicle, it had already established technical standards for new energy electric vehicles with the national government and components for the complete technology platform supply chain and industrial chain.

[@雅君墨客-i9z]

Tesla would have died long ago if it didn't have the parts of the industrial chain and supply chain in mainland China. Without the Shanghai government almost free land, a large number of low-interest loans and subsidies for new energy vehicle enterprises, at most several billion yuan a year. 😂

[@ladymorwendaebrethil-feani4031]

German car industry was boosted by government too. And VW was helped by the regime of a party more totalitarian than CCP. But german industrial policies still exists.

[@anmolt3840051]

Actually, the growth of Tesla was also majorly subsidized by the environmental policy of the US government

[@anmolt3840051]

@bobai5615 I didn't know about that, but it is well-known that Tesla used to be dependent on selling carbon credits to other car companies. The framing of this video, that the US' success in EV production is entirely the result of Elon Musk's genius while China's success in EV production is a product of government policy is incorrect

[@dekumutant]

@@anmolt3840051 that didnt happen. boobai is just making that up

[@emilhuseynov6121]

As a law student who/s being taught beginner level economics in Groningen, would it be correct to assume that what China is doing is a form of "Market-friendly" forms of regulatory intervention, i.e. (without hampering the price mechanisms, rather a push and pull form) in the forms of subsidies (Pushing, a.k.a stimulating development which is advantageous to consumers/ welfare society at large) for domestic companies. And "market-unfriendly" forms of regulatory intervention for foreign companies doing business in China by affecting price mechanisms where they set either minimum or maximum price mechanisms and other such barriers to distort the market equilibrium on foreign owned car industries to make them less competitive?

[@Monkehrawrrr]

This video completely misses the macro dynamics at play... It's like ya sure this stuff is all nice but what about that the US just completed screwed over China and they are heading for complete shambles? Its like your house being on fire and you saying well you see my room is not on fire... yet

[@mujii_22]

Was that a question or a statement?

[@krissp8712]

Hmm, I'm not sure how the term "market friendly" is defined but the government certainly is manipulating the market in certain ways.

[@haochengzhai7156]

An unfriendly policy? Is it an unfriendly policy for VW to make 40% of its profits in China?

[@berzerius]

The last sentence is either incomplete or poorly thought out. What do you want to say/ask exactly?

[@jayceh]

AI: experts believe China leads or co-leads in most categories with the US. In 2015 they were nowhere in sight Aerospace: first domestically produced commercial aircraft is flying and being sold now Microchips: 7NM mass production started late 2022. In 2015 this was unfathomable. Most experts now believe China can achieve 5NM technology by 2025 which would have shocked the world in 2015 - and this is despite US sanctions. So I'd say they got plenty for their money

[@athenaqilin8354]

Chinese money invested in technology for the people, not for wars. Chinese cities are so much better, cleaner, better highways, bridges, safer. As seen everywhere, China is leading in mobile payment, face payment, better transportation with high speed rail all the way to Tibet.

[@amazekhashaa7309]

In Mongolia, German cars cannot survive because there is not enough professional servicemen and auto parts dealers. BMW, Benz are worst in the winter of Mongolia.

[@marcinekpomaranski]

Thank you Joeri for a other amazing video. Both informative and entertaining. Superb research :) best regards from (today) rainy Poland

[@shapethefuturetech6005]

The latest gen cars(EV or PHEV) like a bigger smart device(such as mobile phones), focus on the autopilot, merge lots of sensors' data and real-time processing, it's not the traditional cars now, it's live with OTA fuction, cars become smarter and smarter with the rapid update of the new firmware like a mobile phone update. You know which countries are good at smart devices, surely not the Japan or Germany.

[@ricnyc2759]

Just a detail folks: the Chinese car market is more than 90% of the US and Europe car markets COMBINED.

[@megapeiron]

Good morning, Dr. Joeri Schasfoort. I am in love with your videos. Think about talking about the economy of Singapore, mister. From Brazil - Paulo Souza.

[@muneshnair9748]

The Chinese car makers market price positioning is already starting to bear fruits in 2023. In Malaysia, BYD's growth has spurred massively this year. Although BYD's battery range may lag behind the luxury German car makers, smaller range battery would appeal to city travelling urban consumers. However, it would be interesting to find out in the future how well EV drivers cope with their car's battery replacement - which in many countries at this juncture would still amount to a downpayment for a new car.

[@naturetruth5218]

Just like smart phone battery. As technology advanced quickly, cost of 5~10yrs ago old technology battery may cost just a fraction, or some new technology battery might even replace them as after sales market with extended range. When there is a market demand, there will be someone in China will develop and produce. Automobile is a huge market worth $2T a year. That's also how my 10yo Samsung phone still working like new with battery, button, casing…all change at just a few $ from Taobao, except I have to pay for higher overseas shipping cost.

[@huanwang7169]

You say the truth about battery capacity problem but the fact byd car's battery has lower capacity is because they use blade battery that never caught fire after crash 😂😂so byd sacrifice some battery capacity to have a better securitiey performance 😊😊 Thanks for your approval for byd

[@RighteousUncle]

I rented some chinese SUV and was pleasantly surprised of the quality. The interior quality felt no different from Mercedes. My issue is naming and brand recognition. China needs to hire an italian brand expert, choose proper names and stick with the same name for decades so that it becomes a recognizable brand.

[@athenaqilin8354]

BYD already did, Italian designer.

[@RighteousUncle]

@@athenaqilin8354 Ok, but look at the name BYD or something like Tesla where everyone knows where the name comes from and is still easy to pronounce to anyone no matter where they from.

[@steak5599]

@@RighteousUncle The only strategy CHinese car makers can replicate is Hyundai/Kia. not Tesla. They can try to flood the market by selling less expensive cars to gain brand recognition and then worry about the rest later. It worked for Kia, and it should work for BYD if they have deep enough pocket. Marketing premium cars are very difficult to accomplish, a few car makers have tried and failed miserably as they can not overcome the problem of Economic of Scale.

[@emilhuseynov6121]

This is very interesting. Thanks for this video.

[@ALWH1314]

I totally appreciate your assessments, one German cars still makes way more money than Chinese, two Tesla is the reason for the large Chinese car export, therefore there is nothing for US to worry about and no need to sanction Chinese EV. How about some BYD, NIO or ORA for us in California? My street is full of Tesla 3, we need some choices and the fact Chinese makes less money on car is good for consumers, l like it.

[@Nom_AnorVSJedi]

Wow! An actual positive China vid?

[@MoneyMacro]

The goal of the channel is to keep people informed about major developments in the global economy. This means stories can be "positive" or "negative" for any country.

[@armchairwarrior963]

@@MoneyMacro Not on youtube and western media in general. Always bs stories about how China is trying to take over the world. Dude US/West created more wars sicne end of the cold war et ....

[@draker769]

@@MoneyMacro lol, your content is the rare 15% of positive China content. As the US leverage English as lingua franca to spread hate and fear for China

[@LeMay-f7p]

@@MoneyMacro kzbin.info/www/bejne/d2akZnirZdeUaas 🤡

[@maxcao7772]

@@MoneyMacro I have been in China for many years before I realized that most of the media's reports on China are fake news, mostly intentionally defaming China. It can be said that 99% of the news is basically fake, while your real news is the remaining 1%

[@urso15]

I can't say it about Europe, but the moment where a Chinese car manufacturer makes mid-sized sedan or a SUV below R$100k it will break any bother car manufacturer in Brazil and not to mention in Latin America as well.

[@Im-mono]

2023Q1: China is the largest car exporter.😊

[@mitchellcouchman1444]

By volume not profit margins, ie took the market no one wanted

[@NBDHDLL]

@@mitchellcouchman1444 fun fact：Most European brands are also low markets in China.Such as Volkswagen, Citroen, PEUGEOT, PFIAT, skoda, Saab, Renault, MG, OPEL，They are cheaper than BYD, XIAOPENG CAR and NIO CAR.🤣

[@ArawnOfAnnwn]

@@mitchellcouchman1444 For most companies market share is king. Some companies, like many tech giants, are even allowed to go years or even in some cases a decade or more with no profits just to claim market share. It's also how many of the most valuable companies in the world today got established - by growing first, then turning profits once they were dominant. And unlike tech companies, they don't need to invent new ways to make money - selling cars is the same as selling anything else.

[@Im-mono]

I don’t see a car export profit margin rank before 2023, when China came, the rule suddenly changed? lol

[@mitchellcouchman1444]

@@Im-mono or to look at it another way, just profits

[@youfailme99]

There is another big problem for European ICE carmakers on the Chinese markets. As of July a new emission policy comes into force that will make a lot of their cars unselable in China. This is on the top of the problems they already have due to China's massive switch to EVs. Will be interesting to see what happens this decade! Btw, these are electric and not electronic vehicles. Apologies for the remark, but it bothered me quite a bit :P

[@athenaqilin8354]

You can't get a license plate in China with ICE. You may have to wait years. Plus, you may not be able to drive your ICE at certain days in the city.

[@ricnyc2759]

Thank you! Finally a guy that's honest talking about that industry!

[@darrenye413]

As a chinese, I am happy to see and embrace the EV development, as it greatly benefits the air quality. The overall air quality has improved dramatically in the past 5 years, which is a huge thing for public health too.

[@PersimmonHurmo]

Chinese automotive industry is currently heavily subsidised. They can't compete without the subsidies yet.

[@franktongzi1430]

Not only EV,To be honestly The Chery Tiggo8 is far more powful and secure than all others in the same price range

[@adamesd3699]

Excellent video. You and Electric Viking need to meet. One minor criticism: Why do you keep calling EVs “electronic cars”? It’s not wrong, since all cars are now computers on wheels. But the distinguishing feature of EVs is that they are electric, not that they are electronic.

[@oohhboy-funhouse]

Language tick. Some places instead of saying men they say mans for multiple because that's what they learned. It's no different to having an accent.

[@steemlenn8797]

@@oohhboy-funhouse Probably the same people that cannot distinguish between their and the're, something that has confusing me as a non-English-native tremendously. Those are totally different!

[@Llkc60]

Industrial policy as controversial??? Please 😂😂. What are all the tax subsides provided by Western governments? (For evs in the us?) Or the inflation reduction act? Industrial policy is foundational to modern economies

[@Ed-bq4rp]

I like the content. I do think there may be too much downplaying though of current chinese EV export. The Tesla's are still created in china with Chinese components. Mote importantly, the big Polestar-chunk in export is not European as suggested. Polestar is Volvo owned which in turn is Geely owned, i.e. its Chinese.

[@project-326]

A few points that I felt were missed or not highlighted in the analysis: 1) Every (lower cost) car that China sells, represents one less existing consumer that is accessible to any other company for at least 3 to 5 years. [displacement within existing market] 2) Being lower cost, families that were never considered a customer before (in Africa and Asia), are unlocked. [Growing the overall market] 3) China is the largest car market on the planet, get it right in China and the other markets become easier to enter. [strong home market to stimulate growth] We also should not forget that from the 70's to the 90's the (then unknown) Japanese and Korean auto-makers were able to penetrate the US and EU, initially based upon lower pricing but they quickly increased quality and built strong brands. This would appear to be the model that Chinese auto-makers will try to follow. Finally, there is one other point. Each time that BYD sells a car instead of Mercedes or Tesla, it is potentially a loss of $60K revenue for the Western brands, when this happens the other way around, it is a loss of only $20K to BYD. Yes the up-side is better for the higher value brands but dis-proportionally at the cost of the down-side.

[@Thatbengaliguy]

And how’s that a bad thing if cars are made in china. We should all be proud. It’s another leap for mankind. God bless you china keep it up. Good luck and god bless.

[@krishnanunnimadathil8142]

What does this for oil economics and oil politics?

[@Daivd1111]

No worries, the US can just declare that Chinese cars are dangerous (like they may send data of your location or can be remotely controlled) and force all alleys to ban them.

[@Rex-ww4cw]

There's more car sold in China than US and Europe combined. China could do the same thing. Difference is that like the video stated, 40% of Volkswagen Group's profit came from China. One ban and good bye to all those profit. Same thing could be happening for Tesla, Toyota and other Japanese automaker. Meanwhile Chinese automotive barely even touch US and Europe, a ban from those countries wouldn't even hurt one bits.

[@laujack24]

@@Rex-ww4cwya, german r very vulnerable to chinese market thats true. rest not even close, while its true china is currently the biggest car market by volume. but in terms of buying power, 60% of the world gdp r in north america, japan and europe. these eve they made r selling at a loss, there no profit to be made. u can only subsidize dumping these product at 0 profit for so long, at the end of the day vast majority of the ev companies in china will go bankrupt with few major player remain. this is just a way for them to get rid of their excess inventory hoping to get some money back. china can ban tesla if they want, then they will lose access to tesla uptodate way of producing ev. the chinese didn't get here because they made the progress, they just copy and ask tesla for tech transfer for market. nothing new, tesla r a well establish ev brand actually the founder of ev with their own fan base and ecosystem across the world. they can live and compete in china mean they can survive any where in the world with out the chinese market. the question u should be asking is where r u going to get all the up-to-date advance car manufacturing technology if tesla no longer operate in china. lol

[@edwardhochwand9063]

I've worked in gemany automobile industry R&D sector 15 years ago(VDO and Bosch). We knew at that time already how strong was BYD in E-Mobility and battery. I guess those politicians knew also the fact. They kept silent and said nothing until........

[@MrigeshChandra]

With all due respect, it's NOT ELECTRONIC cars, it's ELECTRIC cars. As someone who studied Electrical and Electronics Engineering, it drives me mad when people mistake one for the other. They are very different fields. Moreover, it's still too early to say EV cars are the future, because batteries, specially replacement batteries, for those cars will require enormous resources that are mined in ways that are far more polluting than IC engines.

[@mrsupremegascon]

We are just at the beginning of large scale production of batteries, new methods are developed every year. EU banned thermic cars for the 2030s, so at least for EU, it's the futur of cars.

[@sammykyalo2938]

All that matters is government policy. Innovation will follow

[@isawrooka4]

That is just not true. Lifecycle emissions for electric vehicles are way lower, it is not really close

[@teohck7630]

You are wrong. New battery technologies are being developed as we speak. For a start, try sodium ion battery...

[@icebaby6714]

At EV battery station, a robot replaces old battery with new one for the EV within 3 minutes, no human intervention required.

[@seanwoo9140]

As a Chinese, I bought a ZEEKR 001 EV from Geely Group last year, cost me around 300K RMB(less than 50k USD). This car is far cheaper and more intelligent than EQE or iX3 with a 700km range. In China， you are silly if you are still buying a German EV.

[@霜月-b2z]

zeekr001我也注意到了，现在它和理想l9，tank300，都在俄罗斯明星般的闪闪发光

[@athenaqilin8354]

At least the infotainment system far surpassed that of Tesla, VW, and AI control systems

[@vitolu6727]

What the Chinese EV companies are doing is no different to what the Japanese car companies were doing in the 1970s. Offer the world cars that are cheaper to buy and less expensive to use.

[@qipang9271]

If you have a home charging station, living in the suburbs to work in the city center, with a daily commute of 60 kilometers, charging only 5 RMB, less than 1 USD. It's cheaper than taking the subway. Electric vehicles only require maintenance once a year due to their simple structure, costing approximately 350RMB 50USD.

[@banditpandit]

The subscription model made the prices of the car very affordable. Along with the subsidy those brands could soar ahead. The model, the charging infrastructure, the availability also are part of the fact why the ev movement worked in China.

[@kayngiggon8618]

Germany car company and Toyota just look like kodak

[@DanielBurkeMakesGames]

They've been planning this a long time (since 2015 or so). Cars are a capital heavy industry with entrenched, highly competitive global players. The Chinese government knew that electric cars presented the perfect opportunity, as the existing car companies capital investments would start to turn into liabilities and hold them back from pivoting. I was telling my Chinese father in law to invest in BYD since 2016. He couldn't quite see it but he wishes he listened to me now!

[@greentoby26]

German carmakers do not sell to people, they sell to corporations and governments. Competition on the consumer market hasn't been among their worries for at least 20 years. It's arguable if they even feel 'beaten' or if they happily leave the low-margin mass market to the Chinese, knowing they won't be cost-competitive anytime soon.

[@fallout560]

This is how companies in decline see themselves. They locate the remaining moat they have and guard it while new competitors attack everything else the company is competitive in. Before long their moat shrinks and shrinks until they have zero competitive products.

[@mitchellcouchman1444]

​@@fallout560 you realize in this video he doesn't address that a lot of those electric cars are micro cars which German hasn't tried to complete in for ages

[@NBDHDLL]

fun fact：Most European brands are also low markets in China.Such as Volkswagen, Citroen, PEUGEOT, PFIAT, skoda, Saab, Renault, MG, OPEL，They are cheaper than BYD, XIAOPENG CAR and NIO CAR.

[@matthewmelange]

0:50 did you include that most of china’s car exports are for foreign firms? You might as well make a video about how china overtook the US phone market because they make apple phones.

[@MoneyMacro]

I did yes. See a bit further in the video.

[@hhandrewchen]

Wow, thank you so much! You made it sound so easy. I hope every developing country can learn from this so that there will be no developing country in the future.

[@100c0c]

How can every country have a car company?

[@julianshepherd2038]

​@@100c0cUK doesn't

[@lixue2023]

Who are you most optimistic about?

[@paulmatters2641]

This month BYD sold 239,000 EV's whilst VW sold 7,000 in the Chinese domestic market. Tesla sold 17,000. PRC accounts for 30% of the global market. Germany is being crushed by the PRC car makers.

[@Homer-OJ-Simpson]

I don't agree that China has surpassed Germany in exports by any reasonable metric. But I do think China has positioned itself as one of the few that will likely be leaders in EV which should dominate the market within a few years.

[@hkjzking3516]

Then you should update yourself with new info. China has changed from the biggest market to the biggest technology enabler. Even Toyota has to leverage Chinese resources to catch up for their much lagged EV development. China isn't one of the few, but THE EV industry leader.

[@喵队长]

Not one of, it's the one.

[@postahundredcommentsbutonl4408]

In the field of electric vehicles, the BBA is very bad. Unbelievably bad. The only thing that can compete with China is Korean electric vehicles.

[@Homer-OJ-Simpson]

@@喵队长 No, there are many major players in the EV.

[@Homer-OJ-Simpson]

@@喵队长 I was referring to the future, not in 2022. And I believe Tesla is still number by revenue sales of EV.

[@goclunker]

BYD: Build Your Dumpsterfire since BYD evs are FAMOUS for burning to a crisp

[@v.5442]

He speaks as if he is hiding in the attic with Anne Frank to not get caught by the natzees.

[@lagrangewei]

there is abit of mischaracterization that make it appear that China "invented" industrial policies, when tech transfer and market ownership were written into the WTO before China join it. I do feed we need to address how WTO structured the world and why WTO has the policies it has. my first experience with these rule was in Malaysia, Malaysia has for a long time demanded that the native be given 50% of the businesses. and for a time it work and Malaysia create Proton. Proton only when downhill when the leadership decided to replace their Japanese partners with domestic ones, which is not the point, but it does show that most developing do use this strategy, China did not invent or create it, it is in the WTO, because if it wasn't developing coutries would not join, because developed economic will definitely have an advantage and companies in developing countries would never be able to turn a profit if their market is open to them. so this "incentive" of technology and knowhow for market access was written into the WTO to convince developing countries to join the WTO and open their market up to MNCs. if we don't understand this, the west will continue to go down this delusion of blaming the change on China, no China did not create the WTO rules, how the global system works and these policies were produce of western globalism agendas, not China. and it isn't written to be unfair, but to correct the unfairness developed countries has over developing ones. on the 2 issue u raise, "experience" and "economic of scale" will always favor the developed economies, so you have to "rig" the system in order for other countries to be able to rise up. so China's rise in the industry is not because they "cheated" it was BY DESIGN, because we needed and wanted a system that can create global "mobility" and you can't do that if the system allows entrenchment where the rich will become richer... if anyone thinks China polices are restrictive, I like to see them try and do business in India and see how they interpret WTO rules... then you will understand why we favor doing business in China... xD

[@dekumutant]

I mostly agree with your comment. They didn't really cheat but some of it was backhanded but that's just business (If not in bad faith). i think there's a lot of bad blood due to the WTO China breaking rules and constantly lying about how they would abide by them. The current inflammatory situation regarding China's business has arisen from years of problems.