going abroad: chinese auto brands set foot on the new hot land of the middle east
2024-09-12
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source: overseas network
"compared with traditional cars, electric cars do not need to be refueled and have lower maintenance costs," said hamed rafidan, a human resources worker in riyadh, the capital of saudi arabia. "electric cars can not only save money, but also help slow down climate warming. i spent $53,000 to buy a byd car, which is convenient for short trips in the city."
the international energy agency (iea) research report pointed out that the development of electric vehicles has become an important part of promoting green transformation in middle eastern countries. today, chinese auto brands are opening up the new hot spot of the middle east market. in march this year, byd held a product launch conference in dubai, uae, announcing that its three models, haibao, song plus and qin plus, were officially launched in the uae market; on june 12, xiaopeng motors announced that it would sell two products, xiaopeng g9 and xiaopeng p7, to the egyptian market; on august 31, changan automobile held a brand launch conference for the middle east and africa market in riyadh, saudi arabia, launching three major brands and a number of new models.
on august 17, 2024, a roll-on/roll-off ship docked at the wharf of oriental port branch of lianyungang port in jiangsu province, loaded with 3,180 domestically produced cars for export to saudi arabia, the united arab emirates and other middle eastern countries.
thanks to the efforts of chinese automakers, chinese cars have achieved remarkable sales in the middle east market. for example, data recently released by the israel automobile importers association showed that in the first half of 2024, chinese auto brands led the israeli auto sales market, and china became israel's largest auto supplier.
more and more chinese-branded cars are becoming popular among consumers in the middle east. a study by alixpartners, a global consulting firm, found that more than 70% of saudi consumers said they would consider buying an electric car as their next car. 93% of consumers who plan to buy electric cars know at least one chinese brand. saeed al-bassami, chairman of the national automobile committee of the saudi chamber of commerce and industry, believes that nearly 40% of saudis now prefer chinese brands. this shift is largely driven by the aggressive market strategy of chinese manufacturers, including heavy investments in marketing and after-sales services.
"chinese new energy vehicles are actively developing the middle east market, establishing good cooperative relations with local governments and dealers, and continuously optimizing marketing and after-sales networks to enhance brand awareness and influence in the middle east." a relevant person in charge of yuanhang automobile under dayun group told people's daily overseas network, "currently, we have entered the markets of jordan, egypt, the united arab emirates, israel, etc., mainly exporting yuanhang y6 and yuanhang h8."
"nezha auto will adopt diversified strategies to comprehensively accelerate its development in the middle east market." a relevant person in charge of nezha auto told people's daily overseas network that in terms of product strategy, it will simultaneously promote pure electric models and extended-range models; in terms of sales and localized production, it will expand its middle east business with the uae and saudi arabia as the center to achieve comprehensive regional radiation.
the arabian gulf business insight website reported that chinese automakers have "swept" the gulf market, initially winning market share from korean brands such as kia and hyundai, and now increasingly winning the market from japanese, american and european manufacturers. samir sherfan, chief operating officer of stellantis middle east, said that chinese automakers are bringing efficient costs and value and challenging the status quo. "we are developing strategies to increase our share."
in the face of international traditional auto brands that still occupy a large market share, chinese auto brands need to make more efforts to gain a firm foothold. a relevant person in charge of nezha auto said that compared with european, american, japanese and korean brands that have been deeply rooted in the middle east market for a long time, chinese auto brands are still relatively unfamiliar to local consumers. "building a brand image is a long and necessary process. to truly form an industry influence, we cannot be satisfied with just manufacturing and selling cars overseas, but should be committed to shaping the brand's international and intelligent image and enhancing the position of chinese cars in global commercial competition."
cui dongshu, secretary general of the national passenger car market information joint conference, told people's daily overseas network: "chinese auto brands need to improve their products based on the environment in other parts of the world, including high temperature and desert environments. for example, japanese cars are particularly good at preventing dust in the middle east, but our cars may not be so well designed for the middle east."
"chinese auto brands should adhere to the localization and adaptability of their products," said a relevant person in charge of yuanhang automobile. "we have established a new brand 'rehigh' in the local market. the company has also developed an arabic smart cockpit with partners such as alibaba banma and iflytek to provide a better driving experience for middle eastern customers."
"the middle east market is a big market that chinese auto brands need to develop because it has great potential and space." yao jingyuan, a special researcher at the state council counselor's office, former chief economist of the national bureau of statistics, and a famous economist, told people's daily overseas network that the cost of chinese cars is constantly decreasing, and various driving functions combined with digital technology and artificial intelligence are at the forefront of the world. "consumers in the middle east pursue fashion, which has created a good market for chinese cars. i advocate that chinese cars should do a better and harder job of exploring the middle east market, study the needs of middle eastern consumers, and then make further improvements in technology and services based on these needs." (li fang)
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