While global discussions focus on Chinese electric vehicles (EVs), the massive scale of China's petrol car exports receives less attention. Between 2020 and 2024, roughly 76% of China's auto exports have been petrol and diesel vehicles, not EVs. Over five years, Chinese auto exports rose from about 1 million to more than 6.5 million vehicles, making China the world's largest car exporter.
This trend is driven by domestic changes: the rise of EVs has sharply reduced demand for traditional vehicles in China. Losing their market, domestic manufacturers began aggressively exporting unsold petrol cars to regions lacking developed EV infrastructure. Major state giants like SAIC, BIC, Dongfeng, and market leader Chery—where 80% of exports are petrol cars—now use technology acquired from Western partners to target global markets.
Key destinations for this expansion are Latin America, Eastern Europe, Africa, and Asia, where most buyers still prefer combustion engines over batteries. In Chile, for example, Chinese brands now claim nearly a third of the market. Chinese auto market shares in Mexico and Uruguay have also surged, attracting customers away from local and Western brands.
Western automakers' departure from Russia after the full-scale invasion of Ukraine further opened space for Chinese exports. However, higher import duties imposed by Russia in 2024 sharply decreased Chinese imports, forcing manufacturers to seek new markets.
Meanwhile, China's policies have sparked their own challenges. Overproduction and heavy state subsidies have led to price wars and declining profitability. New restrictions in various countries complicate further growth. Over 130 Chinese auto manufacturers now operate at the edge of survival. Despite challenges, Chinese petrol cars continue to conquer new markets due to low prices, massive production scale, and government support.
