Focusing on mutual benefit in industries, China's automotive industry accelerates its embrace of the global South
2026-03-25
Against the backdrop of profound changes in the global automotive industry and accelerated restructuring of the international trade landscape, the rapid growth momentum and enormous development potential of countries in the global South are receiving increasing attention. Industry experts say that countries in the global South are expected to form complementary advantages with China's new energy vehicle industry chain, driving further upgrading of China and the global automotive industry. Sun Xiaohong, former Secretary General of the Automotive Internationalization Professional Committee of the China Chamber of Commerce for Import and Export of Mechanical and Electrical Products, stated in an interview that the global southern market not only has enormous potential, but also highly complements the advantages of China's new energy vehicle industry chain. The global southern market is the main source of growth for the global automotive market in the next 20 years. Local consumers are relatively sensitive to prices, and the market is dominated by economy entry-level vehicles. Chinese brands are rapidly increasing their market share and changing the competitive landscape with high cost-effectiveness and electrified products. In fact, Chinese automotive companies are accelerating their embrace of overseas markets, and many car companies have formed large-scale layouts in southern countries around the world. Zeng Lang, Deputy General Manager of Jiangqi Group's International Business Unit, told reporters that Jianghuai Automobile has shown explosive growth in several key markets in the southern part of the world: sales in Chile, Peru, and Colombia have increased by over 70% year-on-year; Markets such as Vietnam, Egypt, Pakistan, Ecuador, and Argentina have grown by over 100%. We are focusing on Brazil in the South American region and gradually entering markets such as Chile, Argentina, and Ecuador. C10 and B10 have been launched successively. Other car models are currently in communication to discuss localized renovation plans. ”The person in charge of Zero Run Automotive also stated. In South America, Geely Holding Group has also signed a final strategic cooperation agreement with Renault Group in Brazil. Both parties will deepen strategic cooperation by producing and selling new energy vehicle models from Geely and Renault through Renault Brazil. It is worth noting that the cooperation between China's automotive industry and countries in the global South is not limited to exports, but is achieving comprehensive industrial reciprocity through localized production and industrial chain empowerment. Sun Xiaohong pointed out that countries in the global South are generally in a critical period of rapid urbanization and energy transformation, and have urgent needs for green travel and infrastructure construction. Taking Latin America, Africa, and Southeast Asia as examples, these regions have obvious shortcomings in power networks, charging facilities, and transportation systems. Therefore, China's automotive industry not only exports cars, but also systematically exports the ability for green transformation. The reporter learned that in Algeria, Jianghuai Automobile obtained the KD assembly qualification formal license in November 2025, restarted local production projects, and became the only local car brand with N1 truck production license. Guangzhou Automobile Group is accelerating the layout of overseas production bases in Southeast Asia, Central Asia, and North Africa. Jianghuai's overseas localization layout is continuously deepening. In October 2025, the first CKD pickup truck will be produced at the manufacturing base in Ecuador; In the same month, the first CKD assembled SUV from the Egyptian base was officially launched. Jianghuai Automobile's' super factory 'located in the state of Hidalgo, Mexico has an annual production capacity of over 60000 units and has jointly built 8 flexible production lines, which can achieve rapid production switching between different vehicle models. ”Zeng Lang said that in the future, Jianghuai Automobile will continue to deepen the construction of global resource allocation and localization capabilities, steadily achieve the goal of global development, and provide a replicable and promotable practical paradigm for Chinese manufacturing to go global with high quality. The person in charge of Zero Run Automotive also mentioned that by the end of 2025, Zero Run International has established over 900 service outlets worldwide. Localization is the only way for Chinese car companies to 'go global'. The company is flexibly adopting a combination of vehicle export and localized assembly based on the characteristics of different regional markets, and steadily promoting overseas production capacity construction. In addition, the reporter learned that four Geely and Galaxy brand models have been successfully produced at Allur Group's factory in Kostanay. Based on this, the two sides will cooperate to introduce more new models for localized manufacturing, and continue to help upgrade and expand Kazakhstan's automotive industry. Zhang Shouhe, Deputy General Manager of Geely International, stated that Kazakhstan is an indispensable part of Geely's global map and will work closely with Allur Group to accelerate the transformation of the local automotive industry towards a green, low-carbon, and intelligent future. Sun Xiaohong stated that based on the actual market situation, the cooperation between China's automotive industry and countries in the global South has gone beyond simple trade relations. With the leading overseas expansion of vehicle enterprises, the industrial chain has also followed suit, forming a new model of collaborative output of "product+industry+service". The advantage of China's automotive industry lies not only in the industry itself, but also in a complete set of industrial systems including electricity, infrastructure, photovoltaics, etc. The deep cooperation with countries in the global South is not only a further expansion of the automotive market, but also helps empower local areas to achieve higher quality development. With the upgrading of cooperation models from trade to localized operation, the importance of financial support is becoming increasingly prominent. Sun Xiaohong mentioned that various enterprises have varying degrees of value chain deficiencies in overseas markets. We should accelerate the construction of a collaborative support system of 'financial deepening, risk sharing, and capacity enhancement', and through financial innovation, open up the circulation of capital flow, and use a more suitable digital financial platform to escort enterprises to 'go global'
Edit:Momo Responsible editor:Chen zhaozhao
Source:Economic Information Daily
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