Author Topic: The world's carmakers are struggling to compete with China  (Read 7778 times)

RuthieB

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Interesting comments from Honda CEO in the BBC business news today (28 May ‘26)……don’t Honda have factories in China?

We have no chance against this," Honda chief executive Toshihiro Mibe told Japanese media after visiting a highly automated factory in Shanghai.
From the advert "Who knows where you’ll go?"

Downsizer

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Re: The world's carmakers are struggling to compete with China
« Reply #1 on: May 28, 2026, 12:33:21 PM »
Yes, we used to think Japanese cars were poor imitations of our wonderful British Leyland products! If you can’t beat them, you have to join them.

Lord Voltermore

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Re: The world's carmakers are struggling to compete with China
« Reply #2 on: May 28, 2026, 01:09:50 PM »
Its an honest and realistic assessment.  China still has  millions of rural labourers earning less per year than even Chinese urban factory workers earn in a month. And much less they would have to be paid in  more advanced economies.   With communities happy for a huge factory to spring up on farm land  (or required by the Government  to allow it) 

Japan,or 'advanced' western economies, cannot hope to compete with this.   At present they can get their own branded products  and components parts made more cheaply in China, (or india etc etc|)  and then sell them more competatively  under their own name and reputation.   
But increasingly China are developing their own car brands,  and improving them to the point where they can cut out the expensive 'middleman' ie Japan ..Or, quite often they buy the rights to a once respected western Brands such as Volvo (and MG  ;)  and sell the cars they developed themselves  under that name. Unashamedly claiming the many years of history of that original brand.   Maybe  these new Chinese cars are deserving of their own good reputation (In the same way that Japanese cars eventually earned their own good reputation)  But I dont like products that claim past history of the original (failed) manufacturer.
My IQ test came back negative

Jazzik

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Re: The world's carmakers are struggling to compete with China
« Reply #3 on: May 28, 2026, 03:09:44 PM »
I think we should expect the Chinese to gain and secure their place in the automotive market, just as the Japanese and Koreans did in the past.
When I see how brands like BYD, MG, Omoda, and JAECOO are growing like weeds here in Poland and are opening new dealerships everywhere, while there isn't a single Honda dealer to be found in our area anymore...

Furthermore, it appears they are very good at anticipating market demand. For example: in Europe, BYD was all about EV, EV, and only EV.
Now, suddenly, they have various models with plug-in hybrids, even small(er) models like the Atto 2 DM-i and, soon, the Dolphin G DM-i.
If nothing goes right, go left!

John Ratsey

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Re: The world's carmakers are struggling to compete with China
« Reply #4 on: May 28, 2026, 05:44:17 PM »
China has many car manufacturers who are making little or no profit. Will some disappear as quickly as they have appeared leaving their products without long-term support? Are there some lurking problems similar to Honda's brake simulator problem? Perhaps longer-term considerations don't trouble people who are on 3? year PCP deals which could leave dealers with vehicles which are difficult to sell. What will one of the JAECOO Range Rover look-alikes be worth in 2029?
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Nicksey

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Re: The world's carmakers are struggling to compete with China
« Reply #5 on: Today at 06:39:25 AM »
My own dealership here in Lincolnshire now has more BYD on the forecourt than Hondas, which does worry me a bit, considering how good a dealership they have been.
Off topic regarding auto manufacture.. but on topic with Chinese production. I am an avid birdwatcher, and use Zeiss binoculars. A renowned and well respected optics maker from Germany. High standards, with high prices. However, they have just started supplying a scope made in China. German design, pieced together in China. The price is a third of what it would be if still made in Germany. I bought one! I have a scope made in Japan too, which again this Chinese one was a third of the Japanese price. The quality is good, it is robust and has all the technical qualities of its rivals and also comes with a Zeiss 10 year guarantee. Zeiss said it was a way of keeping a high quality product but with competitive pricing.

Jazzik

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Re: The world's carmakers are struggling to compete with China
« Reply #6 on: Today at 12:05:49 PM »
The fact that your own dealership now has more BYDs on the lot than Hondas, does that mean to you that it's a less good dealership? That seems a bit strange to me...
I would say: more choice at that good dealer and an excellent opportunity to compare cars from both brands thoroughly.
Much better than our situation here: our dealer disappeared (without saying goodbye >:(), just like another dealer 42 km (26 mi) away. The nearest Honda dealer is now a bit far: over 130 km (81 mi). One way!
Oh, and the brand-new showroom of the BYD dealer in Torun is 3.5 km (just over 2 mi) from my front door, the workshop a bit further, about 11 km (almost 7 mi)!
« Last Edit: Today at 02:00:34 PM by Jazzik »
If nothing goes right, go left!

Nicksey

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Re: The world's carmakers are struggling to compete with China
« Reply #7 on: Today at 07:00:02 PM »
The fact that your own dealership now has more BYDs on the lot than Hondas, does that mean to you that it's a less good dealership? That seems a bit strange to me...


Why strange?
My point is the dealership is putting less Honda on the forecourt, which seems to be a pattern that has seen other Honda dealerships close their relationship with Honda, and become another brand dealership. If this happens, will they still offer the same service to my Honda if they no longer are affiliated to the brand.

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