The development of new energy vehicles is the only way for China to move from a large automobile country to an automobile power. Standing at a new starting point, the innovation power and development vitality of new energy vehicles are more abundant, and new models and new technologies are emerging in an endless stream, adding bright colors to Made in China. With the acceleration of green transformation and upgrading of the automobile industry and the acceleration of the emergence of new energy vehicle industry clusters, China's new energy vehicles are taking the lead in boosting China's automobile industry towards the goal of "automobile power".

 

"New energy" is leading the way

 

In July 2023, the 20 million Chinese new energy vehicles rolled off the assembly line. By the end of 2023, the number of new energy vehicles in China will reach 20.41 million. From the first to the first 10 million, China's new energy vehicle industry took nearly 27 years, and the second 10 million vehicles, only 1 year and 5 months, the development speed is amazing.

 

With the strategic courage of changing lanes and overtaking, China's auto industry firmly grasps the historic opportunity of the rise of new energy vehicles and is reshaping the global auto industry pattern. In the past year, domestic new energy vehicles accounted for about two-thirds of the global production and sales of new energy vehicles, and their international market share is becoming more and more "heavy".

 

According to the statistical analysis of the China Association of Automobile Manufacturers, in 2023, the production and sales of new energy vehicles in China will be 9.587 million and 9.495 million respectively, an increase of 35.8% and 37.9% year-on-year, respectively, and the market share will reach 31.6%.

 

The rapid growth of new energy vehicles is fully reflected in the data. In 2023, the annual production and sales will exceed 9 million units, with a market share of more than 30%, which means that the new energy vehicle industry is still "accelerating", moving towards annual sales of tens of millions, and constantly stimulating new momentum for high-quality economic development.

 

Zhang Yongwei, vice chairman of the China Electric Vehicle 100 Association, said not long ago that at present, the latest models of the new generation of electric vehicles are basically the first to be launched in China, and the new generation of automobile-related technologies are often the first to be applied in the products launched in China, which lays a solid foundation for China's new energy vehicle industry to consolidate its leading position.

 

Green and low-carbon has become a trend

 

"Promoting green and low-carbon economic and social development is the key to achieving high-quality development." In order to achieve the "dual carbon" goal, the "Green and Low-Carbon Development Roadmap for the Automotive Industry 1.0" released in December 2023 proposes that the automobile industry will strive to reach the peak of carbon emissions before 2030, and then support the realization of the carbon neutrality goal as scheduled through continuous efforts.

 

China has been committed to promoting the low-carbon transformation of green energy and providing all-round support for the new energy vehicle industry. The "Opinions of the Central Committee of the Communist Party of China and the State Council on Comprehensively Promoting the Construction of a Beautiful China" released on January 11 this year mentions that "green and low-carbon development in key areas will be promoted in a coordinated manner." By 2027, new energy vehicles will account for 45% of the new vehicles, and old diesel locomotives will be basically eliminated. ”

 

Green and low-carbon is not only an important direction for the transformation and upgrading of the global automotive industry, but also an important connotation for the implementation and high-quality development of China's automotive industry. To this end, Chinese car companies aim at multiple technology routes such as pure electric, hybrid and hydrogen fuel, intensively research core technologies such as intelligence, batteries, and electronic control, and deeply deploy the lithium battery and automotive electronics industry chains, so as to help the automotive industry achieve green development goals as soon as possible.

 

The policy endurance is re-assisted

 

The development of new energy vehicles in China has entered a new stage of marketization, and policy support has continuously injected new momentum into stimulating the potential of automobile consumption. In the past year, the Ministry of Industry and Information Technology and seven ministries and commissions jointly issued the "Work Plan for the Steady Growth of the Automotive Industry (2023-2024)" to support the expansion of new energy vehicle consumption.

 

In order to stabilize market expectations and promote the high-quality development of the automobile industry, China's new energy vehicle purchase tax reduction and exemption policy will be extended to the end of 2027, and the reduction and exemption will be reduced in steps by year. The vehicle purchase tax for new energy passenger vehicles has been optimized from full exemption to limited exemption; The technical requirements for new energy vehicle products enjoying vehicle purchase tax reduction and exemption have been further updated. It is estimated that the total scale of vehicle purchase tax reduction and exemption from 2024 to 2027 will reach 520 billion yuan.

 

In the past year, combined with the work arrangement of the "2023 Consumption Boost Year" proposed by the Ministry of Commerce, the "Hundred Cities Linkage" Auto Festival and the "Thousands of Counties and Towns" new energy vehicle consumption season activities have been carried out one after another, and the results have been remarkable. Nearly 70 popular models are superimposed with car purchase subsidies to further release the consumer demand for new energy vehicles. In addition, the construction of charging infrastructure in various regions has been accelerated to better support the rural revitalization of new energy vehicles.

 

At the beginning of 2024, policies in many places will continue to make efforts to provide convenience for consumption. For example, consumption coupons for physical goods such as automobiles and home appliances will be issued to stabilize bulk consumption such as automobiles and housing......

 

At the press conference of the State Council Information Office not long ago, the relevant responsible comrades of the National Development and Reform Commission said that they will work with relevant departments to improve policies, actively expand the consumption of new energy vehicles, and promote the high-quality development of the industry. The focus is on the "three accelerations": first, accelerate the optimization of policies and measures to promote the consumption of new energy vehicles, carry out in-depth activities of new energy vehicles to the countryside, and vigorously promote the electrification of vehicles in the public sector. The second is to accelerate the technological innovation of new energy vehicles and improve the level of electrification and intelligent technology. The third is to accelerate the construction of a high-quality charging infrastructure system, continuously optimize and improve the charging network layout, and provide strong support for the development of the new energy vehicle industry.

 

"Chinese cars" set sail to sea

 

In recent years, China's automobile industry has developed rapidly, product performance and quality have been continuously improved, especially new energy vehicles have not only won the favor of domestic consumers, but also gradually recognized and accepted by global consumers, and the export scale has increased year by year. According to data from the China Association of Automobile Manufacturers, China's new energy vehicle exports will be 1.203 million units in 2023, a year-on-year increase of 77.6%, a record high.

 

From vehicle export to overseas investment and factory development, from "market for technology" to "technology export" transformation, China's new energy vehicle industry has gradually become the global vane of the new energy vehicle industry by virtue of its first-mover advantage and intelligent application.

 

From the perspective of China's commodity exports, from the "old three" represented by clothing, home appliances and furniture to the "new three" represented by electric manned vehicles, lithium-ion batteries and solar cells, China's export product structure continues to be optimized and upgraded, reflecting the new trend of China's high-quality economic development.

 

According to customs statistics, the total export of "new three" products in 2023 will be 1.06 trillion yuan, breaking through the trillion mark for the first time, an increase of 29.9%. The overseas expansion of new energy vehicles has driven the expansion of the entire industry chain overseas, which not only contributes to the growth highlights of automobile production and sales, but also adds vitality to China's foreign trade economy.

 

Localized production and the establishment of a sound local sales system are important ways for car companies to go overseas. In 2023, China's new energy vehicle companies will accelerate the construction of overseas factories with a wider and wider road. GAC, Changan, Nezha and other car companies have started construction of overseas passenger car production bases and key parts production bases for new energy vehicles in Southeast Asia; In December 2023, BYD announced that it would build a new energy vehicle production base in Szeged, Hungary; At the beginning of 2024, Great Wall Motor's electric vehicle brand Ora Good Cat officially rolled off the production line at the new energy vehicle manufacturing base in Rayong, Thailand. China's new energy vehicles are accelerating to go abroad, to invest and set up factories abroad, bringing advanced technology and advanced products, so that more users around the world can enjoy the fruits of scientific and technological progress. Zhang Yongwei believes that in 2024, the highlight of the internationalization of China's new energy vehicles should be the increasing proportion of overseas production and overseas sales.

 

The advantages of the industrial chain have expanded

 

With the continuous improvement of China's automobile industry chain and the further optimization of industrial support, new energy vehicles have entered a new stage of rapid development. At present, China has formed a number of large-scale new energy vehicle industry clusters in the Yangtze River Delta, Pearl River Delta, Beijing-Tianjin-Hebei, Chengdu-Chongqing, and Northeast China.

 

Taking China's important industrial corridor along the Yangtze River Economic Belt as an example, from Changan Automobile and Cialis Automobile in Chongqing, to Dongfeng Motor in Hubei, to Chery, JAC, NIO in Anhui, and then to SAIC and Tesla in Shanghai, automobile companies have driven the agglomeration of upstream and downstream industries, forming an industrial cluster driven by new energy vehicles.

 

Behind the rapid growth of the production and sales of new energy vehicles, it reflects the strength of the entire industrial chain and supply chain. Taking power batteries as an example, in 2023, among the top 10 companies in the global power battery installed capacity, Chinese companies occupy six seats, with a market share of more than 60%, and have strong competitiveness in the global market. Based on China's first-mover advantage in the field of new energy, a new energy vehicle industry chain and supply chain system with a complete structure and organic coordination has emerged, and its competitiveness in the global market has become more and more apparent.

 

Electrification and intelligent transformation have reshaped the value chain of the automotive industry, and new energy vehicles continue to upgrade towards better intelligent experience and high-level autonomous driving. The perfect industrial chain, excellent core technology and more and more common charging infrastructure have made more consumers fall in love with green travel.

 

New energy vehicles are the main direction of the transformation and upgrading of the global automobile industry and the green development, and it is also a strategic choice for the high-quality development of China's automobile industry. Xu Haidong, deputy chief engineer of the China Association of Automobile Manufacturers, said, "New energy vehicles and vehicle exports will remain the main drivers of China's auto industry in 2024. Zhang Yongwei predicts, "In 2024, the growth momentum of China's automobiles will continue, and the production and sales scale of new energy vehicles is expected to reach 13 million, with an overall penetration rate of more than 40%. "With the continuous enhancement of the competitiveness of China's new energy vehicles in the world, the market vitality and consumption potential will be further stimulated, and the development of new energy vehicles will be good in the future, and the prospects are promising, and will play an important leading role in the transformation and upgrading of China's manufacturing industry.

 

Source: Xinhuanet