Auto Shanghai showcases new EV era

AFP | Shanghai

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The world’s largest auto expo opened its doors yesterday in Shanghai, showcasing the new electric world order even as mounting trade barriers risk dampening China’s global ambitions.

With nearly 1,000 exhibitors present, foreign carmakers are raring to show they can keep pace with the ultra-competitive Chinese firms that dominate the sector’s electric frontier.

Beijing’s historic backing of EV and hybrid development has seen the domestic market flourish, with firms on Wednesday taking the opportunity to demonstrate cutting edge technology and sophisticated design.

“(Chinese brands) are really on the forefront of pushing the technology now, and have been for a few years,” said Stefan Rosen, the head of design for Lynk & Co, a joint venture between China’s Geely and Volvo.

“So, of course, I know that (foreign firms) are trying to catch up... but I would say still the industry is led through China right now,” he told AFP.

Huge crowds gathered at domestic champion BYD’s booth as it unveiled five new Ocean series cars, as well as a luxury SUV under its sub-brand Yangwang, and a concept sports car under another, Denza.

BYD has enjoyed a giddy few months of surging sales after annual revenue surged in 2024, eclipsing its rival, US titan Tesla -- which is not present at the show.

Others exhibiting range from state-owned behemoths, startups such as Nio and Xpeng, tech giants with skin in the game such as Huawei, and consumer electronics-turned-car company Xiaomi.

The domestic contest has pushed Chinese companies to develop faster and fostered technological innovation.

Xpeng unveiled AI battery technology it said would deliver a 420-kilometre (260-mile) range in just 10 minutes, the latest in a slew of recent fast charging announcements from BYD and battery giant CATL.

However, the effect of the crowded market on individual companies can be harsh -- some startups have already gone bust, while brands including SAIC Motor, BYD and Geely are engaged in a brutal price war.

“Not every player here will ultimately survive because the criteria to succeed is much higher than before,” Xpeng’s president Brian Gu told AFP on Wednesday.