China’s EV Market Faces Overcapacity Crisis as Price War Intensifies, Industry Leaders Warn
General Motors CEO Mary Barra states China’s electric vehicle market suffers from significant overcapacity, triggering destructive price competition. Chinese manufacturers including BYD acknowledge the price war is impacting their short-term profitability as the industry faces consolidation.
China’s EV Market Overcapacity Crisis
General Motors CEO Mary Barra has declared that China’s electric vehicle market is experiencing substantial overcapacity, creating what she describes as an “incredible price war” that threatens industry sustainability. According to reports from her appearance on The Verge’s “Decoder” podcast, Barra indicated that with over 100 different automakers competing in China, the market has become oversaturated, leading to unsustainable business conditions.