China Trumps Japan As World’s No 1 Auto Export Nation In 2023

China looks set to beat Japan as world's No 1 auto export nation in 2023.

2023 proved to be a pivotal year for China’s leading automakers. Given recent developments, China now stands to overtake Japan as the world’s leading auto export nation.

According to a recent report by Nikkei Asia, figures released by the China Association of Automobile Manufacturers (CAAM) are stimulating. Collectively, Chinese automakers have exported 4.41 million vehicles between Jan and Nov 2023.

Said figure puts China ahead of former leaders Japan as the latter experienced a 15% boom to 3.99 million vehicles exported between Jan and Nov 2023. Altogether, Japan’s total exports for 2023 are set to come in at around 4.3 million vehicles.

In ASEAN, Chinese automakers are seeing booming EV sales. BYD is amongst the big winners here through things like the Atto 3 EV SUV pictured.

Other brands capitalising on ASEAN's EV sales boom include GWM and Chery, the former through its ORA Good Cat EV hatch and the latter entering the space soon with its Omoda E5 EV SUV.

Japan last lost this lead back in 2016 to Germany. Looking ahead, China is poised to become a global automaking powerhouse, and the global shift to electric vehicles (EVs) is playing a crucial role to which. This is evident with the boom of EV sales in Southeast Asia (ASEAN).

In fact, exports of Chinese-made EVs surged by 77% in 2023 between Jan and Oct, totalling 1.43 million vehicles according to CAAM. Most of these Chinese-made EVs are being exported to both ASEAN and the EU, and both Tesla and China’s homegrown BYD marque are driving said growth.

Adding to which is the recent expansion of several Chinese automakers in the ASEAN region (i.e. GWM, Lynk & Co, and Zeekr) where rivals Japan traditionally hold the largest market share. However, the latter’s slow shift towards EVs has led to a decline to its total market share in ASEAN.

The Chery brand is also amongst China's largest exporters to both Russia and Mexico.

Elsewhere, booming Chinese auto exports to both Russia and Mexico proved pivotal too. China reportedly exported 730,000 vehicles to Russia between Jan and Oct, or seven times as many as a year earlier.

Amongst the biggest gainers were Chery Automobile and GWM. Both brands export gasoline-powered cars, including a slew of mid-size and large SUVs. Surely, the withdrawal of leading automakers due to the Ukraine conflict proved to a boon for said Chinese marques.

That aside, Chinese auto exports to Mexico in 2023 saw its volume climb by 71% to 330,000 vehicles. Key brands that grew their exports to said Latin American market include Chery, SAIC Motor, as well as Anhu Jianghuai Automobile (JAC).

Moreover, several Chinese automakers are looking into setting up a customer base in Mexico where it will serve as a foothold for an eventual expansion into North America – the US and Canada in particular.