An automatic assembly line is pictured at a smart factory of Changan Auto in Chongqing, southwest China, Jan. 9, 2025. [Photo/Xinhua]
Auto executives have submitted proposals for advancing healthy development of new energy vehicles, autonomous driving and intelligent connected vehicles during this year's sessions of the National People's Congress and the National Committee of the Chinese People's Political Consultative Conference, tackling industry-wide challenges.
In 2024, China maintained its position as the global leader in automobile production and sales for the 16th consecutive year, with both exceeding 31 million units. The production and sales of NEVs surpassed 12 million units, ranking first globally for a decade. Behind these numbers, concerns such as intensified price wars and competition cannot be ignored.
Data reveals that the auto industry's profits declined by 8 percent year-on-year in 2024. The prices of over 200 new vehicle models were reduced, with an average price drop of 9.2 percent per vehicle.
Zhang Xinghai, chairman of Seres and a CPPCC member, said that China's NEVs are gradually becoming a global leader, a hard-won achievement that comes with challenges. Domestic competition is particularly fierce, spanning areas such as pricing, technology and even extending to ecosystem.
Zhang called for more industry self-regulation in the auto sector, emphasizing the need for orderly market practices and suggesting enhanced government oversight to improve the NEV industry.
Supported by 5G, big data and artificial intelligence technologies, the adoption of smart driving functions is increasing, with major automakers, including BYD, launching cheap models equipped with such functionalities.
The data shows that by mid-2024, more than 55.7 percent of NEVs had Level 2 advanced driver-assistance functions. The figure is expected to rise to 65 percent by 2025.
Zhu Huarong, chairman of Changan Automobile and an NPC deputy, suggested improving the standards and regulations for autonomous driving, including the delineation of liability in autonomous driving traffic accidents, insurance factors and market supervision.
Lei Jun, chairman of Xiaomi and an NPC deputy, noted that China is conducting on-road trials for L3 and progressing with L4 applications. To boost mass production and safety, it is crucial to accelerate testing, establish autonomous driving insurance and enact relevant laws swiftly.