IAA Mobility (Munich Motor Show), the world's premier biennial auto show, attracted 116 Chinese companies, the largest number of exhibitors from outside of Germany, including BYD, Xpeng, and Leapmotor. The Chinese companies showcased their full global offerings, encompassing everything from complete vehicles to batteries, autonomous driving, LiDAR, and smart cockpits. Amid the global geopolitical turmoil and rising trade protectionism, the presence of Chinese automakers in Munich is significant, the Global Times reports.
Next month marks the second anniversary of the EU's official launch of an "anti-subsidy investigation" into imported pure electric vehicles from China, as well as the first anniversary of the implementation of EU "anti-subsidy duties" on China. Practice has proven that protectionism cannot stop the power of market selection. Over the past two years, Chinese automakers have not only seen a growing presence and visibility in Europe, but have also been thoroughly tested by the market. Chinese brands accounted for 9.9% of electric vehicle sales in Europe in July, bringing their market share to 5.3% of the entire European auto market, surpassing the 5% mark for three consecutive months. This fully demonstrates the resilience and potential of Chinese auto brands in their continued growth against the odds. The significant increase in the number of Chinese automakers participating at the Munich Motor Show demonstrates that the booming development of China's new-energy vehicles is based on the superior cost-effectiveness resulting from leading technology and a well-developed industry chain, coupled with good consumer experience and robust market demand. This is the underlying logic driving the industry's growth.
Furthermore, the entry of Chinese EVs brings innovation vitality in Europe's traditional auto market and accelerates the industry's shift toward electrification and intelligence. European automakers actively embrace change and seek cooperation with their Chinese counterparts. Executives of Volkswagen, Renault, BMW and others have openly said that, in the face of competitive pressure from Chinese companies, what European carmakers need to do is to rise to the challenge, play catch-up, and draw on the strengths of their Chinese peers. At the Munich Motor Show, the unveiling of new-energy strategies and concept cars by companies such as BMW, Mercedes-Benz, and Audi demonstrated this shift. They are no longer merely “defenders,” but active participants and agents of change.
China has built strong expertise in battery technology, intelligent systems, and renewable energy integration, while Europe has rich experience in vehicle design, brand heritage, and certain high-end manufacturing. From Volkswagen's investment in Xpeng, to Mercedes-Benz's deepened technical cooperation with Geely, to BYD planning to invest in factories across multiple European countries in an effort to “be more European in production,” all these moves highlight the inherent need and resilience of deep integration in the two sides' industrial and supply chains. China's massive new-energy passenger vehicle market – 5.524 million units sold in just six months – and breakthroughs such as “a 10-minute charge for a 400-kilometer range” are direct results of fierce market competition unlocking business potential.
Healthy competition is the only way to keep generating fresh momentum, and openness and cooperation are the right answers to global challenges. The Munich Motor Show was not only a feast of cars, but also a dialogue on cooperation, win-win outcomes, and mutual achievement. Disorderly confrontation will only harm growth and transition on both sides, while rational cooperation delivers tangible benefits for both sides. Europe must avoid letting “de-risking” slide into “de-opportunity.” Responding to pressure with isolation will only sap competitiveness through internal friction. In the complex process of globalization, achieving success together, rather than opposing each other, is the correct path for China-Europe relations, and indeed the only way forward for human progress, the Global Times commented.
The China Daily adds that Chinese electric vehicle makers made a strong impression at the biennial IAA Mobility 2025 in Munich last week, but winning lasting loyalty from European consumers remains an uphill task. CATL and technology firms including Zhuoyu and DeepRoute.Ai highlighted innovations in energy storage and smart mobility. NIO demonstrated predictive suspension technology developed by ClearMotion in one of its vehicles, while BYD confirmed that production at its first European factory in Hungary will begin soon. “Europe is a tremendously important market for us,” said Stella Li, Executive Vice President of BYD, noting the company’s newly released model at the show will be the first to roll off the Hungarian production line.
