2023 will see China overtake other countries as the world’s top exporter of automobiles, according to industry statistics. For the first time since Germany’s lead in 2016, Japan’s reign has fallen, signalling a dramatic change in circumstances.
A Japanese trade group revealed new figures yesterday, January 31, showing a 16% increase in Japan’s car exports from the previous year to 4.42 million vehicles. But China’s astounding 58% increase to 4.91 million automobiles eclipsed this.
One major reason for the rise in China’s auto exports is the growing demand worldwide for all-electric cars (EVs), which are designed to cut carbon emissions. With strong backing from the Chinese government, Chinese automakers like BYD (Build Your Dreams) Co. have seen a notable growth in exports, according to Bangkok Post.
In addition, China’s gasoline-powered vehicle shipments to Russia increased after US, European, and Japanese automakers left the market as a result of the ongoing conflict in Ukraine.
However, even though Japan’s car exports increased for the first time in two years in 2019, they were still behind the 4.82 million vehicles exported prior to the Covid-19 pandemic.
In recent years, Japanese automakers have started reevaluating their approaches to production. Businesses such as Toyota Motor Corp. have redirected their attention from gasoline-powered vehicles to gasoline-electric hybrids, which frequently offer better fuel economy than pure electric vehicles.
China may find it difficult to maintain its top position, though, as industry analysts note that current trends point to a slowdown in worldwide EV sales because of high costs and a lack of charging facilities.
In related news, four significant Japanese automakers are preparing to invest an incredible 150 billion baht in Thailand’s electric vehicle manufacturing, a move that is expected to spark the nation’s automotive industry.
This partnership highlights the government’s victorious push towards an electrified future and Thailand’s rise to prominence in the automotive industry.