3,000 Chinese cars burned for 20 days and finally sank into the Pacific Ocean. The blazing flames could not stop the trend of going to sea, but burned even more. From January to May, China exported 2.83 million cars, an increase of 16% year-on-year.

In Europe, Chinese cars have doubled their market share; in Russia, they have gone to great lengths to gain more market share; and in South East Asia, the form of factory building is all the rage. Rapid growth has already caused anxiety among foreigners, just like the price war that has arisen at home, where Chinese cars are both ice and fire overseas.

 

According to foreign media reports, a cargo ship loaded with 3,000 Chinese cars from Yantai, China, has been bound for Lazaro Cárdenas Port in Mexico since the end of May. The journey was supposed to take more than half a month, but it suddenly caught fire halfway, and 3,000 cars burned for 20 days before finally sinking to the bottom of the Pacific Ocean.

 

The fire in the sky drove away the enthusiasm that could not go to sea. According to the data of the Passenger Federation, the top ten countries in China's total automobile exports from January to May this year, Mexico was far ahead with 239,709 vehicles, followed by the United Arab Emirates, Russia, Brazil, Belgium, Australia, Saudi Arabia, the United Kingdom, the Philippines, and Turkey.

Mexico accounts for a sufficient share of Chinese cars going overseas, but Mexico is not the future of Chinese cars going overseas. In terms of China's total exports of new energy vehicles from January to May, Belgium leads, followed by Brazil, followed by Mexico.

 

What makes Europeans anxious is that the 28 European markets sold more than 1.10 million new cars in May, an increase of 2.5% year-on-year; among them, the pure electric vehicle market sold 194,300 cars in May, an increase of 28% year-on-year, and the plug-in hybrid car market sold 108,900 cars in May, an increase of 31% year-on-year.

In May, Chinese automakers registered 65,800 vehicles in Europe, with a market share of 5.9%, which has doubled from 2.9% in 2024. Behind this, the biggest credit is: new energy vehicles.

It is reported that SAIC MG sold 29,400 cars in Europe in May, accounting for almost half of the share of Chinese automakers; another news shows that BYD will speed up the launch of new cars in Europe, with pure electric, plug-in mix, and occupy the market at "affordable" prices. Some institutions predict that BYD's sales in Europe will double this year.

 

Rushing overseas at the extreme speed, seizing the speed advantage, but hiding huge dangers. Just recently, a piece of news came from abroad - Russian media bombarded Chinese brands for "zero profit operation".

 

In the best of times, mutual respect; in the worst of times, mutual respect. Since the beginning of this year, the Russian auto market has experienced a "collapse". The cumulative sales volume in January-May 432,900, a year-on-year decrease of nearly 27%. The overall decline is mainly due to the fact that the sales of Chinese auto brands, which originally occupied a higher share, have continued to decline.

The market is still there, consumers don't want to buy it, so lower the price and sell it again. Russian media reported that some distributors of Chinese brands operate at almost zero profit just to grab market share. "It really looks like an organised strategic move," said the manager of a large distribution group.

 

But interestingly, a compact pure Electric Car Kaiyi E5 was rolled off the production line at the AVTOTOR factory in Russia in February 2023, and is currently priced at 1.35 million rubles and about 123,700 yuan. This price is "unattainable" in the Chinese market, but it is accused of "dumping" in Russia.

 

However, each market has its own unique characteristics, and we need to respect the local customs and customs of our field.

 

Nezha, after all, can't change his life against the sky, the thunder is endless.

China is busy moving and rectifying, and abroad, according to media reports, Thailand plans to adjust the subsidy rules for pure electric vehicle manufacturers. It is reported that the car subsidies in Thailand that Nezha Automobile previously enjoyed are very likely to be "spit out".

 

It is understood that according to the subsidy rules in Thailand, "the subsidized enterprises need to make a commitment to produce 1.5 pure electric vehicles in Thailand for every electric vehicle imported". If the car companies participating in the subsidy fail to comply with the subsidy conditions, they need to repay the subsidy - Nezha car production fails to meet the standard, and the subsidy needs to be repaid up to 2 billion baht.

2 billion baht is equivalent to RMB, about: 440 million yuan.

 

It is worth noting that "Paopoom Rojanasakul, Deputy Minister of Finance of Thailand, confirmed that in view of the current situation of Nezha automobiles, the Thai Ministry of Finance has asked the National Electric Vehicle Policy Committee to amend relevant regulations", which means that the Nezha automobile explosion has dragged down the entire Chinese automobile industry in Thailand.

Every car company fights alone, but in the eyes of outsiders, we are a team. Rewards are fair to every member of the team; punishment is also fair to every member of the team

 

We should have looked twice at going overseas. In the past, Chinese automakers favored going overseas, and there were many people who made up for it. It was difficult to make a difference in China. Therefore, selling vehicles overseas solved the problem of production capacity and slow sales. This situation continues to this day.

Nowadays, the market of every country is improving with the passage of time, and it is obvious that overcharging the numbers cannot last any longer. Relying on true technology and high-quality products to go overseas is king.

Chinese cars go to sea to interpret the two heavens of ice and fire, nothing more than the essence has not changed. In foreign countries, the benefits are enjoyed by yourself, and the sky falls and others carry it, but there is no such good thing.