this post was submitted on 16 Sep 2025
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Yes it’s why China was able to leapfrog and become a EV manufacturing giant. They were never able to compete in the traditional ICE vehicle market with the Europeans, Japanese and Americans. Since building an internal combustion engine that complies with the regulation, is fuel efficient and fast is really difficult for them since they lack the century of experience that the other manufacturers have. An electric engine is much less complex and since China has decades of experience building batteries, electronics and software, because they make the smartphones for almost every smartphone brand in the world, they were able to set up shop and catch up to foreign competitors very quickly in the EV market.
My 2c:
You're right they are going to become the EV king, but its not because they lack experience making ICE engines. Chinese vehicles with ICE engines are being sold on the European market and have been sold there for a while now. They weren't able to out compete other manufacturers on the EU market because other brands have been well established and their lower prices were not significant enough. What I mean is: you aren't going to disrupt a well established and saturated market with the same product.
The shift to EV presented an opportunity of equal ground on the EU market, in fact on worldwide markets. Domestic makers were not fast enough to adapt and so Tesla was able to gain a significant portion at the start. Other makers caught up soon but weren't able to offer EV cars for the same prices as they traditionally did ICE cars. Now you have an unsaturated market with highly priced products. Chinese companies can exploit that. They don't even have to disrupt any markets, they just need to enter them. Demand is there, supply is lackluster.
Its also an opportunity for new companies to start up and start picking at the old guard of 50+ year old car manufacturers. This is where you're right. New companies don't need to develop an ICE because its complex and difficult, making an EV is easier. Its just ironic the old car companies weren't able to adapt. Was it their old ways? Bureaucracy? Oil investments? I don't know.
I don't think that's the reason. China makes tons of aftermarket replacement parts and even OEM parts.
Aftermarket.
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