According to insurers Allianz Trade, China’s decision to invest heavily in EV production over the last 15 years has made it the global leader in this sector. In the late 2000s, Chinese authorities recognised the potential that EVs had to address critical domestic issues such as air pollution and energy security.
In 2022, Chinese manufacturers sold over twice as many EVs as their European and US counterparts combined, while also holding a competitive edge in nearly all aspects of the EV value chain.
Chinese brands have seen their global market shares climb from less than 40 per cent in 2020 to close to 50 per cent in 2022. This is heavily bolstered by an 80 per cent market share in their densely-populated home country.
At the same time, three of Europe’s best selling EVs were Chinese imports in 2022. With EVs anticipated to eventually grow to account for all new car sales in Europe, Europe-made cars are likely to be substituted by those made in China ...