In simple terms, China is now the biggest car exporter in the world.
It has sold more cars to other countries than Japan in the first three months of this year.
The Chinese government recently shared some figures that tell us this.
China sold 1.07 million cars to other countries in the first three months.
This is much more (58% more) than last year’s time.
During the same time, Japan sold 954,185 cars to other countries.
However, this was only a small increase (6% more) compared to last year.
Why did China sell more cars?
Two big reasons are electric cars and sales to Russia. First, people worldwide buy more electric cars, and China makes many of them.
Also, China has been selling many more cars to Russia, especially since the war in Ukraine started and other countries stopped trading with Russia.
Last year, China also sold more cars abroad than Germany, making it the second-biggest car exporter.
In 2022, China sold 3.2 million cars to other countries.
This was more than Germany, which sold 2.6 million cars.
The world’s move away from petrol and diesel cars has helped China sell more cars. Many people are now buying electric cars, which China produces in large numbers.
The export of China’s new energy vehicles (NEVs), which include electric cars, increased by over 90% compared to last year.
Some of the biggest Chinese companies that export electric cars are Tesla’s China division, SAIC Motor (which owns the MG brand), and BYD. BYD is a company that American business expert Warren Buffett invests in.
Tesla, known for its electric cars, has a big factory in Shanghai, China. This factory can make 1.25 million cars a year.
Tesla also plans to make even more cars at this factory.
Last month, they started making Model Y cars, a type of SUV, to sell to Canada.
On top of all this, China has been selling more cars to Russia since the war in Ukraine started.
After this war, many car companies, including Volkswagen and Toyota, stopped selling cars in Russia.
However, Chinese car companies like Geely, Chery, and Great Wall have sold more cars there.
So, as we can see, China is now a big player in the world car market, selling more cars to other countries than anyone else.