Connectivity, intelligence, electrification, and ride sharing are the new modernization trends of automobile which are expected to accelerate innovation and further disrupt the future of the industry. Despite ride sharing has been highly expected to grow in the past few years, it lags making breakthrough which leads a fallen state in the market. Meanwhile, other trends such as digitalization and decarbonization continue to gain more attention.
Top German OEM in China are focusing on investment into local research and production capacity as well as partnerships with Chinese carmakers and tech companies:
Volkswagen Group: takeover of majority stake in JAC Joint Venture, acquisition of 26.5% stake in EV battery maker Guoxuan, launch of ID.4 in China with drone spectacle and exploration of flying cars.
Daimler: development of next-generation engines and reach global JV with Geely, new production factories with Beiqi / Foton for heavy-duty trucks, and investment into AV startup and research center
BMW: new factory invested in Shenyang with more co-production plan with Brilliance Auto, launch of iX3 battery production and partnership with the State Grid
Besides OEM, cooperation and investment plans among suppliers are also pushing forward. For instance, damper specialist Thyssen Krupp Bilstein is currently investing in new production capacities for electronically adjustable damper systems, and Bosch set up a new JV for fuel cells.
China’s automotive industry has experienced remarkable growth and transformation over the past few decades, establishing itself as the world’s largest automobile market. As the Chinese economy continues to expand and consumer demand evolves, several major trends have emerged, shaping the future of the automotive industry in the country. The Chinese automotive industry is undergoing a profound transformation, driven by a combination of government policies, shifting consumer preferences, and technological advancements. With a focus on electrification, autonomy, shared mobility, digitalization, and sustainability, China is poised to lead the global automotive industry into the future. As the world’s largest automobile market, these trends will undoubtedly have a significant impact on the international automotive landscape, shaping the industry for years to come.
Post time: Mar-21-2023
