Chinese auto suppliers and electric vehicle (EV) manufacturers have made a strong presence at the Automechanika trade fair in Frankfurt, Germany. Nearly 900 Chinese suppliers, along with major carmakers such as BYD, Geely, Hongqi, and GAC International, are showcasing their products as they push to expand globally despite rising trade barriers. While Automechanika traditionally focuses on suppliers, this year it includes an “EV Expo,” featuring Chinese EV makers, a move aimed at building trust in their vehicles within the international automotive industry.
Despite European and North American efforts to impose trade restrictions, citing concerns over subsidies, China’s auto sector is increasingly investing in overseas markets. The sector’s outbound investments have grown from 16% of China’s total in 2018 to 22% in 2023, according to Moody’s, with car exports hitting record highs this year. The significant Chinese turnout at Automechanika, which almost doubles the number of German suppliers, reflects their expanding role in the global supply chain and a strategy to build local production facilities abroad to avoid tariff barriers.
Automechanika director Olaf Musshoff expressed hope that the exhibition will boost confidence in Chinese-made EVs, which remain relatively unknown outside their domestic market. “We want EVs made by Chinese carmakers… to gain trust in the industry,” he noted during a press conference. He also highlighted Frankfurt’s ongoing relevance as a key hub for the global automotive sector.
Featured Image courtesy of The China-Global South Project
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