What's Causing China's Car Export Explosion? Jorge Guajardo, Partner, DGA Global

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What's Causing China's Car Export Explosion? Jorge Guajardo, Partner, DGA Global

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China's automotive manufacturing machine is extraordinary, featuring a concentration of scale and firepower never before seen in the past century. Consider these numbers: China manufactures more cars than the next five countries combined. The PRC is on track to export 12 million vehicles this year. That's up from just one million in 2020. That number, 12 million, is causing tremors across the world, from Europe to SE Asia to South America. Overall global demand for cars in is not growing. So every export from China means one less car built somewhere else. Now, Western automakers are feeling real pain. VW is talking about laying off up to 100,000 workers by 2030. Honda just announced its first annual loss since 1955. What is triggering China's export juggernaut? And why now? For answers, we turn to my good friend Jorge Guajardo, former ambassador for Mexico to China and a man with a deep understanding of how China works. In today's conversation, I ask Jorge the following: What is driving car exports from China? And what can Western countries do to respond and compete with the industrial colossus?

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