According to data from the Japan Automobile Manufacturers Association (JAMA), China has surpassed Japan to become the world’s largest vehicle exporter in the previous year. The figures revealed that Japan shipped 4.42 million vehicles in 2023, while China exported 4.91 million vehicles, as reported by the China Association of Automobile Manufacturers (CAAM). China’s customs bureau recorded an even higher number at 5.22 million, marking a substantial year-on-year increase of 57 percent.
Although Japanese automakers, including the globally leading Toyota, produce significant volumes of vehicles in various countries, China’s consistent monthly export numbers have now confirmed its status as the world’s top vehicle exporter for the entire year. Notably, China’s automotive industry has experienced substantial growth, primarily fueled by substantial investments in electric cars—a domain where Japanese companies have displayed more caution.
Japanese manufacturers have traditionally focused on hybrids that combine battery power with internal combustion engines, with pioneering models such as the Toyota Prius. In contrast, China’s robust electric vehicle sector has flourished, benefiting from substantial investments and strong government support. This month, Chinese company BYD surpassed Tesla in all-electric vehicle sales, leveraging strong government backing for the electric vehicle sector. BYD, originating as a battery manufacturer in 1995, has evolved to produce plug-in hybrid and all-electric vehicles, competing with Tesla on price in China and Europe.
