China's EV export surge

Chinese electric-vehicle exports from China nearly doubled in the first quarter, giving the country’s carmakers a fresh growth engine as sales at home stayed uneven. (scmp.com) The China Association of Automobile Manufacturers said China exported 954,000 new-energy vehicles in January through March, up 120% from a year earlier, while total vehicle exports reached 2.226 million units, up 56.7%. (scmp.com; aastocks.com) March added to the push. China’s auto output rose to 2.92 million units and sales reached 2.9 million, up 74.4% and 60.6% from February, while new-energy vehicle output and sales hit 1.23 million and 1.25 million units. (english.news.cn; italpress.com) Hong Kong investors reacted quickly on Monday, April 13. Nio, BYD, Chery and Xpeng all advanced even as the broader market fell, after traders tied the export data to stronger overseas demand and hopes for a domestic rebound tied to new model launches. (scmp.com) The export surge is arriving after a weak start to the year at home. China’s wholesale sales of new-energy vehicles in March were 1.252 million units, up 63.7% from February but only 1.2% from a year earlier, with exports doing much of the lifting. (cnevpost.com; bloomberg.com) Chinese carmakers have been pushing harder overseas as competition at home squeezes margins. Reuters reported this month that regulators and executives have warned that a price war that began in 2023 and excess capacity are hurting the industry’s finances. (newsbreak.com) Trade barriers have not gone away. The European Commission imposed definitive countervailing duties on battery electric vehicles from China on October 29, 2024, for five years, adding pressure on brands trying to expand in Europe. (ec.europa.eu) Even with those duties, passenger-car exports accelerated in March. The China Association of Automobile Manufacturers said passenger-car exports rose 82.4% from a year earlier to about 748,000 vehicles, up from 586,000 in February. (apnews.com) For now, the numbers show China’s electric-car makers selling their way through a slower home market by leaning harder on foreign buyers. The next test is whether that pace holds once tariffs, shipping costs and domestic demand all settle into a clearer trend. (scmp.com; apnews.com)