China’s NEV exports continued to grow rapidly in first half, Western Europe and Southeast Asia were major destination
DATA FEATURES MACRO
China’s NEV exports continued to grow rapidly in first half, Western Europe and Southeast Asia were major destination
DATA FEATURES MACRO

China’s NEV exports continued to grow rapidly in first half, Western Europe and Southeast Asia were major destination

 

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China’s new energy vehicle (NEV) exports continued to grow rapidly in the first half of the year, with Western Europe and Southeast Asia being the major destinations.

China exported about 362,200 units of NEVs in the first half, surging 113% from the same period last year, according to data released by Cui Dongshu, secretary general of the China Passenger Car Association (CCPA), based on the country’s customs data.

In breakdown, NEV exports to Western Europe about 122,700 units, accounting for 34% of the total, while exports to Southeast Asia reached about 58,400 units, accounting for 16%, showed the data.

The data showed that Belgium was the top destination, with China exporting over 70,000 NEVs to the country in the six-month period, surging more than 50% from a year earlier, showed the data. Data from the China Association of Automobile Manufacturers (CAAM) also showed that Belgium was China’s top NEV export destination in 2021.

Notably, Belgium’s Port of Antwerp-Brugesis is the largest port for the transhipment of vehicles in Europe and most Chinese automakers ship vehicles to the port as an entry to the European markets, said an auto industry insider.

China exported 32,600 units NEVs to the UK, 14,100 units to France and 11,400 units to Germany, showed the data.

SAIC Motor, China’s largest automaker, started to sell NEVs to Europe in 2019, and the company has so far brought its MG brand and MAXUM brand to European countries including Netherland, Belgium, Norway, Germany, France, Italy and Spain.

The company’s executive for international business said in a recent event that SAIC Motor expects to sell 60,000 – 70,000 cars in Europe in 2022.

Geely Auto’s car brands Polestar and Lynk&Co have also started auto sales in Europe, while Great Wall Motor, has brought two brands Wey and Ora to Europe. BYD Company has also entered the European market via cooperations with car dealers in Norway and Netherland.

Amid the global shortage of auto chips in the recent years, many auto dealers in Europe faced a shortage of car supply in 2021, which created an opportunity for Chinese automakers to enter Europe, said a person who used to work for SAIC Motor’s overseas business unit.

In Europe, Xpeng Motor has only started delivery in Norway, delivering less that 500 units in the first half of the year. The company’s insider said that Xpeng Motors has started to open stores in Denmark, Sweden and Netherland, but yet to start taking new orders.

The carmaker hopes to start from North Euroean countries before entering more competitive markets such as Germany and France, he said.

Geely Auto’s sub-brand Lynk&Co has been trying to open European market with a car-sharing subscription service, in which users can choose to pay a certain amount of rent each month to use cars and cancel the subscription and return the cars when they no longer need them.

Nio is also preparing to launch subscription services in Europe, according to Chinese news outlet Caixin.

In Southeast Asia, Thailand was the top destination in the first half of the year, when China exported more than 30,000 NEVs to the country, showed the data.

Thailand is the largest automobile market in Southeast Asia and Great Wall Motor, SAIC Motor, BYD Company and Hozon Auto have been making active moves to grab market shares in Thailand.