BEIJING: — China is stepping up efforts to take its advanced vehicle technologies overseas, from electric vehicles and robotaxis to flying cars, as domestic market pressures push automakers to seek growth abroad.
The strategy reflects both China’s global ambitions and the harsh economics at home, where a prolonged price war and weak demand have squeezed margins in the world’s largest and most advanced car market.
China’s car sales fell 18 per cent in the first quarter from a year earlier and are expected to remain flat or decline in the near term, according to analysts and industry observers.
That makes overseas markets increasingly important for Chinese carmakers, offering the prospect of better margins and stronger sales growth.
“They’ve reached a point where they know it’s not just about China,” said Pedro Pacheco, an analyst at Gartner.
“They also need a roadmap to deploy technology in Europe, in Latin America, in Southeast Asia.”
China exported 5.8 million cars last year, up nearly 20 per cent from the previous year, according to industry data.
Overall vehicle exports from China, including passenger and commercial vehicles, are forecast to rise 4 per cent to 7.4 million units this year, according to the China Association of Automobile Manufacturers, which released the estimate on Thursday.
The outlook for global growth is likely to dominate discussion at China’s annual auto show, which opens in Beijing on Friday.
While Chinese EVs face tariffs in Europe, they remain price-competitive in many continental markets. The US market is effectively closed to Chinese vehicles for now, though that may not remain the case indefinitely.
Chinese carmakers are also looking beyond conventional EV exports.
Xpeng President Brian Gu told Reuters on Thursday that the company expects to start mass production of its flying cars next year and its humanoid robots in the fourth quarter of 2026.
He said Xpeng had received more than 7,000 orders for its flying cars, most of them from within China, where the company is seeking approval from aviation regulators.
Xpeng also plans to begin robotaxi trials in Guangzhou this year. Gu said 2027 would be a “critical year” for testing the technology globally with partners.
Overseas markets already account for around 15 per cent of Xpeng’s revenue, but Gu said that share could exceed 50 per cent within the next five to 10 years.
The trend points to a broader shift in China’s auto industry, as manufacturers seek to turn domestic technological strength into global market share at a time when competition at home is intensifying._Reuters
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