China explores Europe with advanced technologies

Many Chinese companies participated in IFA 2023, Europe's premier information technology (IT) and home appliance exhibition, which commenced in Berlin, Germany on Friday (local time). Out of the 2,000 companies taking part, Chinese firms represented over half of the participants. Furthermore, approximately 40 Chinese automobile manufacturers showcased their latest electric vehicles at IAA Mobility 2023, one of the world's four major motor shows on Tuesday in Munich, Germany.

There is an analysis suggesting that China, currently facing heightened scrutiny from the U.S. through economic challenges stemming from the real estate sector, the Semiconductor Support Act (commonly known as the 'Chips Act'), and the Inflation Reduction Act (IRA), is actively exploring opportunities in the European market. China, previously known for producing labor-intensive and low-tech products, is now making a ‘tech resurgence’ by introducing cutting-edge premium products at recent European exhibitions.

It's safe to say that this year’s IFA served as a prominent showcase for Chinese companies. China, facing challenges in entering the North American market amid the prolonged conflict with the U.S., has redirected its focus toward the European market. Remarkably, 1,296 Chinese companies participated in the event this year, surpassing the numbers from Germany (228) and Korea (165) combined, accounting for more than half of the 2,000 participating companies. Upon visiting the exhibition hall that day, a vice president from a major domestic group affiliate commented, “In essence, all events this year are for Chinese companies.”

Around 40 Chinese companies were prominently featured on the participation list of IAA Mobility 2023. Among overseas participants other than Germany, China had the highest representation. Notably, MG, a company owned by Shanghai Automobile Group (SAIC), and BYD, a leading Chinese electric car manufacturer, are set to make their European debut by unveiling their electric car models. The competitive prowess of Chinese automakers has surged to the point where global automakers are increasingly forging technological collaborations with Chinese electric vehicle companies.


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