“China Overtakes Japan in Vehicle Export Growth, Driven by Electric Cars and Sales to Russia”

Official data released last week showed that China exported more than a million vehicles during the period, up 58% from the first quarter of 2022.

At the same time, Japan’s vehicle exports reached 954,185 vehicles, up 6% year-on-year.

China’s exports were boosted by demand for electric cars and sales to Russia.

Last year, China overtook Germany to become the world’s second largest exporter of cars.

China exported 3.2 million vehicles in 2022, compared to 2.6 million vehicles exported by Germany, according to China’s General Administration of Customs.

Moving away from fossil fuels has fueled the growth of China’s automotive industry.

Exports of new energy vehicles (NEVs), which include electric cars, rose by more than 90% in the first quarter compared to the previous year.

Tesla’s Chinese arm, SAIC – owner of the MG brand – and BYD, backed by veteran US investor Warren Buffett, are among China’s biggest exporters of NEVs.

Elon Musk’s electric car maker has a huge factory in Shanghai that exports to regions like Japan and Europe.

Tesla’s “Gigafactory” is currently capable of producing 1.25 million cars a year, and the company plans to increase capacity even further.

Last month, it began production of Model Y sports and utility vehicles for export to Canada.

Since the beginning of the Ukrainian war, when Western countries imposed trade sanctions on Moscow, China’s exports to Russia have also grown rapidly.

Last year, Chinese carmakers including Geely, Chery and Great Wall surged in market share in Russia after rivals including Volkswagen and Toyota left the country following the invasion of Ukraine.