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Showing posts with label Competition. Show all posts
Showing posts with label Competition. Show all posts

Sunday, 4 January 2026

China racing ahead in Britain

 

Keith’s BYD car dealership in Leeds, England. In the last year, Chinese-made vehicles have doubled their share of new car registrations in Britain. — Owen Richards/The New York Times

ON a recent Monday in Leeds, Dougal Keith drove a Chinese-made BYD Seal Excellence out of his dealership and hit the accelerator.

The car can reach 100kph in 3.8 seconds – a key selling point – and comes with a £48,000 price tag, roughly 20% cheaper than a top-range Tesla Model 3.

Keith, a car salesman for more than 40 years, said customers were sceptical of buying Chinese vehicles when he opened a showroom for BYD in 2023.

Now, he runs six dealerships devoted to the brand.

“Some people think because it’s Chinese it’s made cheaply,” he said. “But then I ask, ‘Where do you think your iphone is assembled?’”

Chinese cars are gaining ground in Britain for a mix of reasons.

There are no steep tariffs on Chinese EVS – unlike in the EU or the US – allowing lower prices. British buyers are also less brand-loyal, with no major domestic mass-market automaker to defend.

Roughly a dozen Chinese brands, including BYD, Chery and Geely, made up 13% of new car registrations in Britain in November, double their share a year ago, according to the Society of Motor Manufacturers and Traders.

“The pace is like nothing the market has ever seen,” said Ian Plummer, chief commercial officer of Autotrader.

BYD and Chery, selling Jaecoo and Omoda models, are gaining market share five or six times faster than Tesla a decade ago or South Korea’s Kia in the 1990s.

Britain’s domestic auto industry has been shrinking, producing about 600,000 cars in 2025, roughly half of the output at the end of the last decade.

Major producers include Nissan, Jaguar Land Rover and Mini.

Meanwhile, China is now the world’s largest car exporter and leads in EV production, exporting to markets from Mexico to South Africa.

Chinese automakers have mastered shifting regulations and consumer demand, particularly for hybrids.

Beijing encourages exports to manage domestic overcapacity, sometimes leading to heavy losses and triggering pushback in Western countries.

The US has imposed 100% tariffs on Chinese EVS, the EU up to 45%, while Britain charges 10% on all imported cars.

About two million new cars are sold in Britain each year.

Since 2019, the number of brands registering sales has nearly doubled to over 70.

No single brand commands loyalty like Volkswagen in Germany or Renault in France, giving newcomers room to grow.

Chinese brands first gained a foothold with SAIC Motor’s acquisition of MG.

Production gradually moved to China, and the UK MG factory closed in 2016.

MG now accounts for over 4% of new registrations – the largest share for a Chinese-owned brand – while BYD holds just over 2%, similar to Tesla.

Keith sold his first car in 1980 at 16 and later expanded his family business.

By the early 2020s, he noticed BYD and,

“Some people think because it’s Chinese it’s made cheaply. But then I ask, ‘Where do you think your iphone is assembled?’”
Dougal Keith

with other independent dealers, secured one of the first UK franchises.

Initially, sales were slow, with only an all-electric model available.

As more models arrived, particularly plug-in hybrids, sales surged.

Dealers highlighted tech features: rotatable touch screens, wireless chargers, voice controls, even karaoke.

“Customers are beginning to understand it’s not a budget brand,” said Fozia Siddique, who has worked with BYD since the Leeds showroom opened.

She recently sold a BYD plug-in hybrid SUV to Steve Vine, 55, who drives more than 480km from Leeds to Cornwall and wanted a long-range EV.

Roger Lyons, 60, in Derbyshire, chose a £48,000 BYD Seal Excellence after testing Audi, Hyundai and Porsche models.

“It’s almost as nice to drive as a Porsche, and it’s got more toys than any of the others,” he said, adding that switching to electric would help cut fuel costs.

Encouraged by the success of BYD, Keith opened two more dealerships selling Changan vehicles.

His group, which runs 28 dealerships selling global brands, expects £500mil in sales for 2025, over 50% higher than 2024.

In September, the Leeds BYD showroom outsold all his other local locations.

“It’s pretty good going for a brand that two years ago nobody had heard of,” he said. — ©2026 The New York Times Company

By ESHE NELSON This article originally appeared in The New York Times
3 Jan 2026

Monday, 24 March 2025

Getting it right

 

US-china trade needs to improve as much as their bilateral relationship deserves much better, but not at the present rate.

Auto ambition: With limited competition abroad but hypercompetition at home, China’s EV industry has powered ahead. — AFP

T

HE constant stream of major global events can be disorienting, particularly when their consequences spin off to produce secondary effects.

Worse, self-interested politics enters as a disabling narrative to make factual understanding more difficult. How to make sense of all this?

One way is to identify the root causes and critically analyse how they develop and proceed. Factual accuracy in descriptions and definitions always helps, while imprecision makes everything more difficult.

Much relates to a rising China and the state of US-China relations. With the world’s biggest economies, theirs is the most critical bilateral relationship for the world and also the most politically fraught. 

In 2004 China displaced the US as Japan’s main trade partner. The following year it displaced the US as the world’s biggest consumer market.

In 2006 the EU became China’s biggest trade partner while China became the EU’s second-biggest. In 2009 China displaced the US as Africa’s main trade partner, and in 2010 it beat Japan as the world’s second-largest economy.

China’s external trade covered a wide range of goods and services as its productive forces gained critical mass. In the process, industrial clout came not simply from resources and scale but also strong production ecosystems and supply chains, including a skilled workforce.

China quickly developed as the “world’s factory” with the Global North’s industries choosing to relocate production there. They flocked to establish factories in China offering the best returns on investment.

But while foreign companies retained older technology like internal combustion engines (ICE), China prioritised electric vehicles (EVs) to cut air pollution and dependence on imported oil. There was no domestic oil lobby to derail EV development, only government encouragement instead.

With limited competition abroad but hypercompetition at home, China’s EV industry powered ahead. That meant a quick and considerable lead in technology and marketing overseas.

In 2009 China surpassed the US as the world’s largest automobile market. This spanned both ICE vehicles and EVs, with a muted but growing market for the latter.

In 2020 China displaced the US as the EU’s top trading partner. That same year it acquired the world’s largest foreign exchange reserves, developed the finest fintech, and had the most companies listed in the Fortune Global 500.

China’s auto production was booming, exploding into a global market hungry for sophisticated yet affordable vehicles. China fulfilled that need better than any other country.

In 2021 Chinese auto exports surpassed South Korea’s, and the following year it displaced Germany as the world’s second-biggest exporter. Within months China beat Japan as the world’s top auto exporter.

Much the same is happening with other sectors, if at different growth rates. China continues rising through the rapid development of multiple industries, particularly when several foreign markets remain unexplored or under-served.

Western automobile manufacturers in China felt a need to work more with Chinese companies, particularly on EVs and hybrids. They prefer joint ventures to discriminatory tariffs or sanctions on Chinese vehicles from their governments.

Yet last April US Treasury Secretary Janet Yellen visited China to complain about “excess capacity” and “overproduction”. It was more a political point than an economic argument.

Excess capacity is surplus productive capability over and above what is needed or appropriate. Overproduction is the additional goods produced and left idle because of insufficient demand.

As the world’s factory with regional markets still untapped, China has no excess capacity or overproduction. High Western tariffs to stifle demand may create a semblance of either, but artificially inducing a situation to accuse Chinese industry of it is dishonest.

Sometimes dumping happens with a specific commodity temporarily, typically for an intermediate or upstream item. But that is different.

After Joe Biden’s administration acted against Chinese EVs, batteries and solar panels, they shifted to markets in Russia, Latin America, Central Asia, Africa and South-East Asia. China is a global producer, and since there is no global overcapacity or overproduction, it is not engaging in either.

Chinese industry’s ultra-competitiveness seriously challenges US industry, notably in the latter’s obsolete business models. Regaining US global competitiveness requires extensive retooling, not distorted narratives.

From 2011, China has consistently been the world’s top patent applicant country. Each year it graduates more STEM students than the US population has in total, having produced the most STEM PhDs every year since 2007.

In 2021 China beat the US in its national share of published high-impact AI papers. In the same year it also displaced the US with the highest national net worth.

Such data from established Western sources also noted in 2023 that China had seven of the world’s top 10 universities conducting leading scientific research. Last year China had six of the world’s top 10 STEM institutions.

The US is now denying students from China study visas. America would be greater in training more American students without restraining others who pay to be there.

By Bunn Nagar,  Director and Senior Fellow of the BRI Caucus (Asia-Pacific), and Honorary Fellow at the Perak Academy. The views expressed here are solely the writer’s own.

Sunday, 16 June 2024

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In 2022, it seemed as though the much-anticipated AI revolution had finally arrived


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If you want the economy to change, appoint business leaders who understand how to manage institutional change that remains business-friendly. — Reuters

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Users will have control over generative AI in Windows



Copilot should be central to Windows 11 24H2. — AFP Relaxnews

Central to the next major Windows update, generative artificial intelligence promises to make its way into most Microsoft programs, in the aim of boosting user productivity. Users should, however, be able to decide which applications can and can't make use of the technology.

Faced with concerns that generative AI could be too invasive, Microsoft is reportedly set to give users a say in how applications access these artificial intelligent tools. According to the XDA Developers website, the incoming major update to Windows 11 (24H2), expected by the end of the year, will offer the possibility of defining individual permissions for each application.

This will enable users to disable the use of generative AI for some or all applications. On a larger scale, companies will be able to disable access to this AI for all their employees if they deem it inappropriate or unnecessary.

The integration of generative artificial intelligence into Windows should simplify system management, as well as the day-to-day use of most of its accompanying programs. At the core of this update are the latest developments for Microsoft's Copilot, provided it finally complies with European legislation on digital markets (DMA). 

Indeed, until further notice, Europeans will be left without Copilot, the AI-powered intelligent assistant with which it is possible to interact or customize a computer's operating system. The assistant can be useful for working on various documents (rewriting, summarising or simply explaining them) and can answer practical questions. It can be accessed directly from the taskbar, and soon via a dedicated button on future PCs.

Meanwhile, Microsoft has sought to reassure users after its new Recall feature sparked controversy. In fact, the firm has said that Recall will now be an opt-in feature rather than activated by default. Considered to be particularly intrusive, but promising to facilitate PC searches, Recall is designed to take a series of screenshots of the computer at regular intervals and then save them locally, raising questions about privacy. Initially, however, this feature will only be available on the new Copilot+ PCs, which are due to go on sale this summer. – AFP Relaxnews

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28 Feb 2024 — MARTIN MUSIOL is the founder of generativeAI.net and the publisher of Generative AI: Short & Sweet, a popular artificial intelligence newsletter ...Related stories:

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