Over the past 25 years, China has increased its share of global automobile production approximately ninefold—from 4% in 2000 to 36% in 2025—transforming itself from a relatively small manufacturer into the world’s largest automotive hub. This was reported by the Experts Club information and analytical center, citing a study by the consulting firm Strategy Partners.
According to analysts’ estimates, around 2 million vehicles were produced in China in 2000, while by 2025 production exceeded 34 million vehicles per year. Thus, over a quarter of a century, the volume of Chinese automobile production increased approximately 17-fold.
China’s position strengthened particularly rapidly after 2010. The country not only formed the world’s largest domestic automobile market, but also created a large-scale manufacturing base covering virtually the entire value chain — from components and batteries to vehicle manufacturing and software.
One of the main factors behind the further growth of China’s automotive industry was the transition to electric vehicles and hybrid models. Chinese manufacturers gained strong positions in the new energy vehicle segment — NEV, which includes fully electric vehicles and plug-in hybrids.
At the same time, Chinese companies are actively increasing their presence abroad. China has become the world’s largest automobile exporter, while local manufacturers are expanding sales and creating their own production capacities in Europe, Asia, Latin America and other regions.
As a result, the structure of the global automobile market has also changed. While in the early 2000s it was shaped primarily by manufacturers from the United States, Japan and Western Europe, by the mid-2020s China had become the industry’s largest individual manufacturing hub.
The growth of China’s automotive industry is accompanied by the strengthening of its own national brands. BYD, Geely, Chery, SAIC, Great Wall Motor and other manufacturers are increasingly competing with European, American, Japanese and South Korean automotive groups not only in China’s domestic market but also in export markets.
China’s own battery manufacturing base has become a significant competitive advantage. Chinese companies hold leading positions in the global production of traction batteries, while the country controls a significant share of global production chains related to raw material processing and the manufacture of components for electric vehicles.
According to Strategy Partners, the transformation of China’s automotive industry demonstrates the country’s transition from a model of catching-up industrial development to technological leadership in certain segments of the industry.
If current trends continue, competition between Chinese and traditional global automakers will increasingly shift into the areas of electric vehicles, battery technologies, software, autonomous driving and production costs.
auto industry, AUTOMOBILE, CHINA, Electric vehicle, PRODUCTION