03:23
The presence of Chinese branded electric vehicles (EVs) is increasing on roads across the European Union, but it's far from a "flood." Nor are they necessarily "cheaper."
Presenting the European Commission's reasons for launching a probe into Chinese state subsides for electric vehicle manufactures last week, the Commission's President Ursula von der Leyen said that "global markets are now flooded with cheaper electric cars. And their price is kept artificially low by huge state subsidies."
Yet research shows that Chinese EVs are only starting to make an impact in Europe. According to The European Automobile Manufacturers' Association, or ACEA, only 3.7 percent of electric cars sold in the EU last year were Chinese brands. However, European officials have argued this could reach 15 percent in the next few years.
Despite the growing popularity of cars like the U6 from Ai-Ways, only 3.7 percent of electric cars sold in the EU last year were Chinese. /CGTN Europe
Despite the growing popularity of cars like the U6 from Ai-Ways, only 3.7 percent of electric cars sold in the EU last year were Chinese. /CGTN Europe
Popularity for Chinese EVs is growing, as seen at this year's International Motor Show Germany in Munich. Visitor Dietmar Kepiro has been comparing the quality and technology of Chinese electric vehicles for some time.
"I think the quality is very good," he said, in front of a large exhibition for China's most popular EV manufacturer BYD. "And you don't need to talk about the software. The Chinese are of course better when it comes to pricing than Volkswagen, but that is definitely the advantage for the Chinese."
But this is not necessarily the case. The most affordable Chinese branded EV in Europe is BYD's Dolphin, which sells for around $31,000 - roughly $9,000 more expensive than French manufacture Renault SA's Dacia Spring, which it has long marketed as Europe's most affordable electric car, starting at roughly $22,000.
European officials are predicting Chinese models could make up 15 percent of the EU's EV market in the next few years. /CGTN Europe
European officials are predicting Chinese models could make up 15 percent of the EU's EV market in the next few years. /CGTN Europe
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But Renault and many other European auto giants build many of their electric vehicles in China, known for having lower production costs, years of investment and expertise and supply-chain advantages.
Alex Klose, the Vice President for Overseas at Ai-ways, a Chinese EV manufacturer with offices in Munich, argues that "Chinese cars have helped because they have filled some of the gaps in the markets and have been able to deliver some vehicles that weren't there in the European market so far."
With the release of the new Ai-Ways U6, Klose adds, that "these are fully engineered cars and very well built cars. There are regulations in Europe which you have to fulfil and the German market is actually a very, very demanding market."
The aim is to get drivers to make the switch and therefore there has been a growing focus from the EU on the state of the EV market ahead of a deadline to ban the sale of diesel vehicles by 2035.
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