BEIJING, March 5 (Reuters) - Chinese electric vehicle
makers made a strong showing at the start of the country's
annual parliamentary meeting on Tuesday, bolstered by official
recognition of their growing clout on the world stage as they
asked for more regulatory support to become global brands.
When Yin Tongyue started Chery Automobile 27
years ago, China's auto industry was dominated by foreign
companies and the prospect of Chinese people building their own
cars was a pipe dream, he told reporters on the sidelines of the
National People's Congress (NPC), China's rubber-stamp
parliament.
Fast forward nearly three decades, and China - the world's
largest auto market - also has clinched the title of the world's
largest auto exporter. But Chinese automakers must look beyond
sales superlatives to focus on technological innovation, quality
reputation, and social responsibility, Yin warned.
"To transform from a large car country to a strong car
country, it is not enough to rely on sales or scale," said Yin,
a NPC delegate. "We also need to have our own Chinese global
brands that are recognized by others around the world."
Premier Li Qiang, in his work report to the week-long NPC
meeting outlining key government goals, cheered progress in the
electric vehicle (EV) sector, which has been a rare bright spot
in the struggling economy, despite an intensifying price war
that has squeezed automakers' margins.
"China accounted for over 60 percent of global electric
vehicle output and sales," the report said, praising "the
30-percent increase in exports of the 'new trio,' namely,
electric vehicles, lithium-ion batteries, and photovoltaic
products."
Pledging to "consolidate and enhance our leading position in
industries such as intelligent connected new-energy vehicles,"
China said it would boost domestic spending on EVs via trade-in
programmes and the revision of local policies that restrict the
purchase of cars.
These commitments show China's continued support for its
prized EV sector. But the government -- which extended a tax
exemption for the purchase of new energy vehicles through the
end of next year -- did not announce new subsidies.
Policy recommendations put forth by automakers primarily
sought regulatory changes to speed up the adoption of new
technologies, including autonomous driving.
GLOBAL SPEED BUMPS
China's rise as the top EV exporter, however, has sparked
concerns in two important auto markets: Europe and the United
States. Exports have been a key driver of growth for Chinese
automakers as demand in their home market weakens.
The European Commission last year launched an investigation
to determine whether to shield EU producers from a "flood" of
cheaper Chinese EVs that it says benefit from state subsidies.
The United States last month launched a probe into whether
Chinese "connected" vehicles pose national security risks.
On Monday, Robin Zeng, chairman of Chinese battery giant
CATL and member of the Chinese People's Political
Consultative Conference (CPPCC) top advisory body, told
reporters that Europe did not have enough "higher-quality"
products yet. He also dismissed U.S. concerns over Chinese
vehicle data collection as unnecessary and resolvable through
communication.
SHIFTING PRIORITIES
The high-profile presence of EV bosses at the parliamentary
meeting mirrored the shifting priorities of Chinese
policymakers.
Yin was in the company of other auto heavyweights, including
Geely Chairman Eric Li, Changan Auto
Chairman Zhu Huarong, and Xpeng's ( XPEV ) Chief Executive He
Xiaopeng.
Pony Ma, chief executive and co-founder of tech giant
Tencent Holdings ( TCTZF ), and Richard Liu, founder of one of
China's largest e-commerce platforms JD.com, used to be
regulars at the annual meeting.
But in recent years, following a regulatory crackdown on the
tech sector, the internet bosses have receded from the
limelight.
Another industry with a strong turnout at the meeting was
the chip sector, which has been a target of U.S. export curbs
and a focus of China's efforts to become self-reliant.
Prominent industry figures included Zhang Suxin, chairman of
China's second largest foundry Hua Hong Semiconductor,
Shi Lei, president of chip packaging and testing firm Tongfu
Microelectronics, and Chen Tianshi, president of AI
chipmaker Cambricon.