China Takes Control of Electric Vehicle Sector Competition

Global Haber Gündemi @global_haber_gundemi
Electric vehicle charging station

China is taking significant steps to control competition in the electric vehicle sector. The government will develop new strategies to stop price wars and increase domestic consumption.

The Chinese cabinet has pledged to control "irrational" competition in the electric vehicle sector. Concerns about price wars and high-quality growth were discussed at a meeting chaired by Premier Li Qiang.

The government plans to promote domestic consumption by increasing household spending and improving consumer goods exchange programs. These steps aim to enhance sustainability in the sector.

BYD's initiation of a price war has forced other manufacturers to take similar steps. This situation may lead to further consolidation in the sector.

Chinese officials called for self-regulation among electric vehicle manufacturers. They emphasized that vehicles should not be sold below cost and irrational discounts should not be made.

As global electric vehicle sales rise, Chinese manufacturers are in a leading position. By 2024, it is reported that Chinese manufacturers account for more than half of global electric vehicle sales.