{"id":983623,"date":"2026-05-25T10:14:19","date_gmt":"2026-05-25T10:14:19","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/983623\/"},"modified":"2026-05-25T10:14:19","modified_gmt":"2026-05-25T10:14:19","slug":"as-chinese-ev-makers-expand-in-europe-are-local-automotive-suppliers-set-to-benefit","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/983623\/","title":{"rendered":"As Chinese EV makers expand in Europe, are local automotive suppliers set to benefit?"},"content":{"rendered":"<p>European automotive suppliers are set to benefit from an influx of Chinese carmakers, thanks to growing demand for <a target=\"_self\" class=\"e1yy41x40 ef9u0v01 css-1ankfgb ecgc78b0\" href=\"https:\/\/www.scmp.com\/topics\/electric-cars?module=inline&amp;pgtype=article\" title=\"\" data-qa=\"BaseLink-renderAnchor-StyledAnchor\" rel=\"nofollow noopener\">electric vehicles (EVs)<\/a> and persistent local protectionism, according to Vulcan Energy Resources, a lithium and renewable energy producer in Germany.Chinese EV makers \u2013 from <a target=\"_self\" class=\"e1yy41x40 ef9u0v01 css-1ankfgb ecgc78b0\" href=\"https:\/\/www.scmp.com\/topics\/byd?module=inline&amp;pgtype=article\" title=\"\" data-qa=\"BaseLink-renderAnchor-StyledAnchor\" rel=\"nofollow noopener\">BYD<\/a> to <a target=\"_self\" class=\"e1yy41x40 ef9u0v01 css-1ankfgb ecgc78b0\" href=\"https:\/\/www.scmp.com\/topics\/xpeng?module=inline&amp;pgtype=article\" title=\"\" data-qa=\"BaseLink-renderAnchor-StyledAnchor\" rel=\"nofollow noopener\">Xpeng<\/a> \u2013 are planning to aggressively expand into Europe in search of higher profit margins, even as Brussels advances measures to protect local manufacturing amid a slower pace of electrification.On Friday, the China Association of Automobile Manufacturers, a government-backed industry consortium, described certain terms in the proposed <a target=\"_self\" class=\"e1yy41x40 ef9u0v01 css-1ankfgb ecgc78b0\" href=\"https:\/\/www.scmp.com\/news\/china\/diplomacy\/article\/3345311\/eu-strips-ai-chips-and-quantum-industrial-plan-aimed-countering-china?module=inline&amp;pgtype=article\" title=\"\" data-qa=\"BaseLink-renderAnchor-StyledAnchor\" rel=\"nofollow noopener\">Industrial Accelerator Act<\/a> as \u201csystematic discrimination\u201d. In March, the European Commission outlined potential restrictions on foreign investors, including capping foreign investment at 49 per cent, requiring that at least half a firm\u2019s workforce be European and mandating technology-sharing provisions.<\/p>\n<p datatype=\"p\" data-qa=\"Component-Component\" class=\"e8zc9q40 css-1c6uqr6 ec74h0k1\">But Francis Wedin, executive chair at Vulcan \u2013 an Australian company developing a lithium-brine project in Germany \u2013 said Chinese carmakers would bring opportunities to local supply chains, spanning automotive parts and batteries to raw materials such as lithium.<\/p>\n<p datatype=\"p\" data-qa=\"Component-Component\" class=\"e8zc9q40 css-1c6uqr6 ec74h0k1\">\u201cOn the downstream side \u2013 like batteries and EVs \u2013 Chinese entry is a massive opportunity for Europe because China is the clear leader in technology and production costs,\u201d Wedin said. \u201cThe trade-off is that they must form local joint ventures with European companies to protect domestic champions.\u201d<\/p>\n<p>To cut costs, European carmakers ranging from <a target=\"_self\" class=\"e1yy41x40 ef9u0v01 css-1ankfgb ecgc78b0\" href=\"https:\/\/www.scmp.com\/topics\/volkswagen?module=inline&amp;pgtype=article\" title=\"\" data-qa=\"BaseLink-renderAnchor-StyledAnchor\" rel=\"nofollow noopener\">Volkswagen<\/a> to <a target=\"_self\" class=\"e1yy41x40 ef9u0v01 css-1ankfgb ecgc78b0\" href=\"https:\/\/www.scmp.com\/topics\/stellantis?module=inline&amp;pgtype=article\" title=\"\" data-qa=\"BaseLink-renderAnchor-StyledAnchor\" rel=\"nofollow noopener\">Stellantis<\/a> have partnered with Chinese companies in car manufacturing, autonomous driving and R&amp;D. Renault, despite having no direct sales in China, set up a research and development centre in Shanghai that helped halve the production time of its Twingo model to 21 months.<\/p>\n","protected":false},"excerpt":{"rendered":"European automotive suppliers are set to benefit from an influx of Chinese carmakers, thanks to growing demand for&hellip;\n","protected":false},"author":2,"featured_media":983624,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[5174],"tags":[3801,11330,1550,1395,273530,2000,299,5187,2557,1699,1824,195799,229767,69101,774,273531,143856,37992,10741,42661,49,2188,273529,193004,143851],"class_list":["post-983623","post","type-post","status-publish","format-standard","has-post-thumbnail","category-eu","tag-beijing","tag-brussels","tag-byd","tag-china","tag-china-association-of-automobile-manufacturers","tag-eu","tag-europe","tag-european","tag-european-commission","tag-european-union","tag-germany","tag-glencore","tag-industrial-accelerator-act","tag-international-energy-agency","tag-iran","tag-leapmotor-technology","tag-lg-energy-solution","tag-renault","tag-shanghai","tag-stellantis","tag-united-states","tag-volkswagen","tag-vulcan-energy-resources","tag-wood-mackenzie","tag-xpeng"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/116634692480063642","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/983623","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=983623"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/983623\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/983624"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=983623"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=983623"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=983623"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}