Chinese Carmakers Still Lag Global Leaders - GWM Chairman

Great Wall Motor (GWM) chairman Wei Jianjun has acknowledged that Chinese automakers still face a very large gap compared to established global manufacturers, despite rapid industry growth and rising exports.

Speaking during a recent annual meeting in early February, Wei cautioned that Chinese brands, including GWM, should not overestimate their competitiveness as the country’s automotive industry expands in scale in 2026.

He said manufacturers from Germany, Japan, South Korea, and the United States continue to hold advantages in manufacturing experience and technical depth. Chinese companies, he stressed, must continue learning from these regions and conduct internal reviews to address weaknesses.

Wei also referenced Toyota as an example of how major automakers manage product quality issues. While Toyota frequently carries out recalls, it maintains customer trust by addressing problems transparently and communicating clearly with users.

On the domestic front, Wei warned that aggressive price competition in China, including heavy discounting, could create long-term risks if not supported by sustainable operations and strong product quality. Short-term sales gains, he suggested, should not come at the expense of brand strength.

He added that although Chinese vehicle exports have surged in recent years, overseas strategies still rely heavily on price competitiveness. Depending mainly on lower pricing, he said, could limit brand development and long-term positioning in global markets.

Great Wall Motor reported global sales of 1.3237 million vehicles in 2025, including 403,700 new energy vehicles (NEVs) and 506,100 overseas deliveries. The company posted annual revenue of 222.79 billion yuan (USD 30.77 billion) and net profit of 9.912 billion yuan (USD 1.37 billion), based on figures released in early 2026.

NEVs accounted for about 30% of GWM’s total deliveries, with the majority of sales still coming from petrol-powered and hybrid models. This differs from competitors such as BYD, which has shifted fully to new energy vehicle production and no longer sells pure internal combustion engine vehicles.

As Chinese automakers continue expanding production and exports this year, Wei emphasised the need to prioritise product quality, technology development, and long-term competitiveness over rapid scale alone.