As soon as you land at Munich airport, your attention is drawn to a large interactive panel advertising electric vehicles. Nothing strange if you take into account that we are in Germany, the cradle of the European automotive industry, and in the middle of the most relevant event in the sector. But whoever is promoted in the middle of the German terminal is not Volkswagen, BMW or Mercedes. Not even the American Tesla. This is the Chinese manufacturer BYD, which already sells its battery-powered cars in fifteen dealerships in Germany and this week has presented two new models at the IAA international motor show, held in the Bavarian city.
Once at the fair, China appears again. The country's manufacturers occupy a large part of the venue, have doubled their presence compared to the last edition and have deployed a large amount of media, with high-profile presentations, which demonstrates their interest in carving out a niche in the European electric vehicle market. .
"We are going to sell two new models in Europe, at a competitive price," BYD executives highlighted at a press conference last Monday at the IAA. And they suggested that they were willing to give discounts to the first to distribute their cars in Europe. The person responsible for explaining the design of these two Chinese vehicles to those present, with a starting price of 44,900 euros, was precisely a German. And from Munich. Wolfgang Egger, who previously worked for Alfa Romeo or Audi, is now the head of design at BYD. The expansion plans for Chinese electric cars do not end there. Hangzhou-based Leapmotor announced at the IAA that it will bring its C10 sport utility vehicle, or SUV, to European markets next year. In the next two years, the company hopes to introduce five products worldwide. Another manufacturer, Xpeng, announced that it will begin selling in Germany from 2024 – it already has a presence in Norway, Sweden, Denmark and the Netherlands – and will bring new models.
The Chinese electric car industry, promoted by the country's own government and venture capital, has thus seen an opportunity in Europe and wants to take advantage of it. The ban on the sale of combustion vehicles starting in 2035, the difficulty of entering the United States and the slowdown of the Chinese market itself have caused them to start a competition with European manufacturers that has been evident at the Munich show.
In Spain, the MG ZS SUV – a combustion engine – became the best-selling car in Spain in the month of August, the first time that a Chinese brand tops the ranking. Also on the other side of the continent, in Sweden, another Chinese SUV, from BYD, was the best-selling electric vehicle in July. Signals that have set off the alarms in the sector. “If the Chinese are arriving and are very competitive, more than us, the solution is not to restrict their presence, but to make Europe more competitive; Europe has to offer its automotive industry the same opportunities,” warned Wayne Griffiths, CEO of Seat and Cupra, during the show. Chinese manufacturers, in the end, did not conquer the IAA, but they did show their cards.
