Global push by Chinese electric vehicle makers hits bumps amid Beijing warning and failed deals

global strategy Chinese electric vehicle (EV) Manufacturers hit speed bumps after Beijing warned them not to invest in certain markets and the failure of a battery maker’s $4 billion production plan in Germany taught a painful lesson.

Companies are realizing that cost advantages and understanding of basic technologies are not enough to guarantee the success of multibillion-dollar investments in countries where consumers are not yet familiar with Chinese EV brands.

Industry officials and analysts said insufficient knowledge of the regulatory framework and the lack of charging infrastructure in overseas markets could hinder growth outside mainland China.

“Chinese automakers have made an early start on electric vehicle development and are now in a leading position,” Ford Motor China CEO Sam Wu said at the Hongqiao Forum in Shanghai last week. “But they are still looking for a path to the global market so that consumers around the world can access the best products at the lowest prices.”

Punitive tariffs imposed by the United States and the European Union on Chinese electric vehicles have made it difficult for companies to increase sales in major auto markets. Therefore, building local facilities to overcome trade barriers has been a primary tactic for Chinese companies. BYD is the world’s largest EV manufacturerand state owned Chery Automobile.

Chery and Dongfeng Motor It was reported that he was in talks with the Italian government regarding the construction of a facility in the European country.

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