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AUTOMOBILES EV SALES TRENDS BlowMe AI: China’s BIG Win in EVs in Norway Shocks The EU… Germany is Reeling! Also China dominates in high-speed rail globally PLAY YOUTUBE VIDEO Original article: https://www.youtube.com/watch?v=bpnt8lZNdUM Peter Burgess COMMENTARY Initially, the way this video was titled in my YouTube app had me ignore the video. I had no idea that the video was going to be about the success of car sales in Norway by electric cars made in China. Peter Burgess
China’s BIG Win in Norway Shocks The EU… Germany is Reeling! BlowMe AI Nov 15, 2024 80.5K subscribers ... 125,892 views ... 1.7K likes Norway has become a battleground for electric vehicle dominance, with Chinese manufacturers capturing 23% of the market share as of August 2024. While the EU imposes protective tariffs, Norway's position outside the union has allowed Chinese brands like BYD to thrive. The success stems from Norway's pro-EV policies, with electric vehicles making up 94.3% of new car sales. Chinese manufacturers offer cheaper prices and advanced technology, leaving traditional European automakers like Volkswagen struggling to compete. This shift represents a broader trend of Chinese EV makers expanding globally. Join this channel to get access to perks: / @blowmeai Transcript 0:00 most expected Norway to miss its Target of reaching a 100% electric vehicle sales by the end of the year but thanks to new Financial incentives the Scandinavian Kingdom made a big leap this summer and dealerships are about to get rid of their last combustion cars meanwhile electric cars from China are becoming more and more popular in Norway increasing their market share to 23% according to the sales database ofv byd was able to Triple its sales in Norway while Neo Rose by almost 50% Norway the small Scandinavian nation has emerged as the global epicenter of an electric vehicle Revolution with a staggering 94.3% of its new car sales being fully electric vehicles as of August 2024 but the real amazement lies in the fact that Chinese EV manufacturers are leading the charge commanding a remarkable 23% market share in the Nordic 1:01 country the electric vehicle Market is growing and the country is leading the adoption of fuel-free cars so far are China the United States and Norway statista shows that electric vehicles have surged in popularity especially in Norway they make up for nearly onethird of all vehicles sold in European country Electric Mobility is an attractive offering to many conscientious consumers hoping to curb their environmental Footprints while adoption might be slow at first it seems electric vehicles are on the rise this meteoric rise of Chinese Brands like byd mg and Neo has left the traditional European Automotive Giants such as Volkswagen BMW and Mercedes-Benz reeling in contrast the Chinese EV makers have managed to Triple their sales in Norway the reasons behind this Chinese EV dominance in Norway are multifaceted rooted in a strategic combination of government policy consumer preferences and the sheer in 2:00 ative prowess of Chinese manufacturers firstly Norway's unique position outside the European Union has given Chinese EV makers a significant Advantage as prime minister yonas garur emphasized in an interview with cgtn Norway is not a member of the European Union but we have a close Association through an agreement with the European market this means we are not part of the eu's trade policy which is one reason why we will not be involved in this measure referring to the eu's recent imposition of ter on Chinese made EVS while the rest of Europe is erecting trade barriers to protect their domestic automakers Norway has taken a decidedly different approach as shura put it in general one should avoid these kinds of tariffs as they are punitive and often provoke retaliatory actions which ultimately lead to losses on all sides this open door policy has allowed Chinese Brands to flourish in the Norwegian Market unencumbered by the same protectionist measures faced by by their European counterparts the policy is not just about promoting EVS but it's 3:05 also about punishing uh petrol and diesel engering cars they they're pretty much taxed so much that they're getting less and less interesting to buy but Norway's Embrace of Chinese EVS goes beyond the lack of tariffs the Scandinavian nation has also implemented a series of policies that actively incentivize the transition to electric vehicles much to the detriment of traditional fossil fuel powerered cars as Christina Buu the head of the Norwegian Electric Vehicle Association explains it's also about punishing petrol and diesel engine cars they're pretty much taxed so much that they're getting less and less interesting to buy Norway with the subsidies and the incentives from the government uh it's an all it's a perfect first step for Chinese Brands to to sell in Norway and we see that has been a success in contrast with the European Union and the United States States Norway is not imposing tariffs on electric cars 4:03 imported from China in July 2024 the Norwegian government introduced a measure that makes the leasing of combustion engine cars financially unattractive further tipping the scales in favor of EVS this strategic approach along with generous consumer subsidies and a robust charging infrastructure has created an environment that is uniquely conducive to the success of electric vehicles and Chinese manufacturers have wasted no time capitalizing on this opportunity so Norway doesn't have any tariffs on Chinese EVS uh and I think competition is good and it's important that we have a big player uh like China that is going forward and pushing the rest of the world to follow ping the rest of the world to follow is something both China and Norway have in common at least when it comes to electric vehicles johanes blbg cgtn Oslo the number speak for themselves byd the Chinese EV giant 5:03 has managed to Triple its sales in Norway while the premium brand Neo has seen a 48% rise in market share these gains have come at the expense of established European automakers who are struggling to keep up with the onslaught of competitively priced and technologically advanced Chinese offerings I looked at VW Toyota Volvo but I just think the Chinese have better technology look cooler said Ivar a Norwegian consumer standing outside Neo's dealership in Oslo this sentiment Echoes the broader shift in consumer preferences as Norwegian buyers increasingly favor the Sleek design Advanced features and affordability of chinese-made EVS over their European counterparts the sharp contrast in pricing is a key factor driving this trend according to the European commission the average price of a battery electric vehicle in Europe was around 4,99 9 in 2023 in contrast a byd dolphin 6:04 a popular Chinese EV model can be had for a mere € 29,9 64 a significant difference that's resonating with costc conscious Norwegian consumers but the Chinese EV manufacturer's Advantage goes beyond just price as Mark Wakefield Global co-leader of the automotive and Industrial practice at Alex Partners observed Chinese customers are generally more styling focused and more technology focused and I'm talking things like assisted driving so all of these things that help you keep the lane and help you drive semi-autonomous the takeaway rate on those features is much higher in China than it is in the US for example this focus on delivering a more featur techsavvy experience is a Hallmark of the Chinese EV Brands and it's paying dividends in Norway features like autonomous driving capabilities interactive voice control 7:00 and multiple highresolution dashboard screens have captured the imagination of Norwegian buyers who are increasingly drawn to the Innovative prowess of these newcomers to the automotive scene the impact of this Chinese EV surge is being felt far beyond Norway's borders as the reverberations are being felt across the European continent in the EU traditional automakers like Volkswagen BMW and mercedesbenz are grappling with the Stark re reality that their German engineering prowess may not be enough to keep Pace with the rapidly evolving Chinese competition Volkswagen once the Undisputed leader in the European Automotive Market has already announced plans to shut down three factories in Germany as it struggles to keep up with the changing landscape the sheer scale of the Chinese EV Onslaught has left these Legacy Brands scrambling to adapt and the Fallout could be severe as Ben Aris founder and editor-in-chief of B intelligence a global Emerging Markets Media Company warned the problems that 8:04 the automotive industry particularly that in Germany is having is symptomatic of the changes that are going on this has to do with the changes in the basic structure of the economy particularly in Germany as a result of the Ukraine war and the end of cheap Russian gas particularly BW brand so and uh they they failed to tackle at costs for years um because of the unique way it's structured with this state ownership so what they got to do it's it's kind of a it's a battle for the soul for be hly really and it's one and it's more of an internal battle that they need to get through to come out the other side leaner and fitter um I don't think the I mean there obviously The Wider world is important and what is happening in China is a key aspect of it but a lot of problems that VW has are internal and and they need to get they need to work through those and become a a Better 9:04 Business Ben um China has already come up a few times in this conversation and some of the answers we've heard I want to ask you how much has the competition from Chinese EV manufacturers rattled Western EV makers so far the competition question here is absolutely key and the problems that the automotive industry particularly that in Germany is having is symptomatic of the changes that are going on um and this has to do with um the the the changes in the in the basic structure of the economy particularly in Germany as a result of the Ukraine war and the end of cheap Russian gas the energy prices in Europe have doubled at the same time that's fed through to inflation and so you've got a cost of living crisis this is in in 2022 10% of Germany's heavy industry had to close down because it was no longer economically viable the energy crisis plaguing Europe has only exacerbated the wo of the traditional automakers as soaring costs and supply chain disruptions have added to the 10:03 burden they already face from the Chinese EV Invasion with income stagnant and consumer confidence wavering the European Automotive sector is wobbling on the edge of a potential crisis but the troubles facing the eu's car industry don't end there the French government's recent call for a rethink on the European Union's plans to find car makers who fail to meet targets for electric vehicle production is a telling sign sign of the underlying challenges France's latest call to ease the pressure is a reflection of the difficulties facing Europe's car making industry with stiff competition from China producing cheaper highquality EVs and also a fall in demand in Europe the sector faces serious challenges politicians are worried about its future and the millions of people the sector employs so how serious is the situation and is a huge overhaul needed and what does it mean for the price of cars we'll get to our guests in a moment but first this report from Hamza 11:01 Muhammad the French government has called for a rethink on European Union plans to find carmakers who break greenhouse gas targets by failing to produce enough electric vehicles it's something of a change in approach from France's backing of tariffs against China's car sector as outlined by its president we're going through a difficult time because the European market shrinking and there's very strong competition from China I think it's NE necessary at times like these first of all to protect ourselves so as to establish in a way Fair rules when you have subsidies for certain manufacturers in China it's normal to set tariffs to compensate for them the implications of this Chinese EV Jugger not extend far beyond Europe's borders as the Asian Powerhouse continues to make inroads into other developing markets around the world in Brazil for example when Ford closed its Factory in the state of bajia it marked the end of a c cury long presence in the country but the void left by Ford was quickly filled by none 12:04 other than China's EV giant byd which has swept into the Kamari complex and is transforming it into a manufacturing hub for its electric cars the data compiled by technology intelligence firm ABI research for Business Insider paints a stark picture Chinese car makers accounted for 88% of the EV Market in Brazil and 70% in Thailand in the first quarter of 2023 byd the Undisputed leader claimed a staggering 71% and 45% of EV sales in those respective markets during the same period This Global expansion is not lost on the experts who warn of the dire consequences for legacy automakers as Bill Russo the CEO of Shanghai based Automotive strategy firm automobility stated by erecting a wall around the EU or the US you're effectively seeding the rest of the world to China the ability of Chinese EV 13:01 makers to undercut the competition on Price is a significant factor driving their success in these Emerging Markets as Sam furani vice president at consultancy Auto forecast Solutions pointed out a lot of these markets are underdeveloped and the Chinese brands are bringing in relatively inexpensive Vehicles which is exactly what those countries need at the moment this cost Advantage along with the Chinese manufacturer's Nimble approach to product development and a deep understanding of local consumer preferences has placed them in a prime position to dominate these burgeoning EV markets one Observer of Germany's Auto industry commented Chinese Nev companies have been much better at tapping into local markets and desires the United States has also responded to the Chinese EV Onslaught with its own set of protectionist measures quadrupling the tariffs on Chinese made electric vehicles from 25% to a staggering 100% however even these heightened trade 14:03 barriers may not be enough to stem the tide as the experts believe the Chinese manufacturers will find ways to circumvent them as fiani explained right now tariffs are focused on vehicles built in China once those vehicles have a production Hub in Mexico or South Korea or Brazil it becomes more difficult for the US to effectively block their entry the Chinese EV makers demonstrated resourcefulness and entrepreneurial Spirit suggests they are more than willing to adapt and find alternative paths to maintain their Global expansion at the heart of China's EV dominance lies a strategic advantage that extends far beyond just the automotive sector as Alicia Garcia Herrero Chief Economist for Asia Pacific at naxis pointed out China's control of critical chemical materials represents the ultimate control of the sector which China has clearly pursued for years well before others even figured that this was something important this Dee rooted control over the EV battery supply chain 15:05 from raw material extraction to component manufacturing gives Chinese companies a significant cost and technological Edge that their European and American counterparts struggle to match the sheer scale of China's dominance in this critical domain is staggering with the country accounting for over 90% of battery-grade graphite and 77% of refined rare Earth's production by 2030 according to the International Energy agency iea leading EV battery manufacturers global market shares 2023 moreover Chinese Enterprises have become highly competitive and Innovative players in the global EV and Battery Industries as one report observes many contend that China is the epicenter of EV Innovation indeed as commentators at an iif Roundtable of experts on China's EV industry observed Chinese Enterprises are very Innovative 16:02 especially in EVs and China is doing really remarkable Innovative work in the vehicle electrification space this Innovative prowess extends Beyond just the Battery Technology as Chinese EV makers are leading the way in other aspects of vehicle design and production for instance xiaomi a company known for its smartphones and Home Appliances entered the Auto industry in 2021 and became China eighth largest ev manufacturer in April 2024 after selling more than 7,000 units of its first model the shomi su7 the shomi su7 is priced about $4,000 cheaper than Tesla's model 3 with an EV battery that has a longer driving range and roughly comparable level two autonomy features the company's rapid pace of innovation owes both to fast follower techniques and genuine and novel Innovation efforts such as developing its own materials and AI powered manufacturing processes the 17:04 eu's Frantic attempts to erect trade barriers May provide temporary respite but the underlying Trends suggest that the Chinese Eevee Juggernaut is far from being deterred as the world watches in awe the quiet Revolution unfolding in Norway is just the tip of the iceberg indicating a future where the once dominant European Automotive Giants May find themselves struggling to keep Pace with with the sheer Innovative prowess and Market agility of their Chinese counterparts so Norway doesn't have any tariffs on Chinese EVS uh and I think competition is good and it's important that we have a big player uh like China that is going forward and pushing the rest of the world to follow pushing the rest of the world to follow is something both China and Norway have in common at least when it comes to electric vehicles GLOBAL HIGH SPEED RAIL China's dominance in High-Speed Rail techn technology China's ambitious $660 18:01 million High-Speed Rail Project in Bulgaria has been derailed after unexpected European intervention raising big questions about power plays protectionism and the future of infrastructure in Europe why did the EU block China's lowcost offer and how will this setback impact Bulgaria's High-Speed Rail dreams let's find out China has emerged as the global leader in High-Speed Rail technology over the past few decades the country has aggressively built out its high-speed rail network with the total operating mileage reaching an astounding 46,000 km as of recent data this figure accounts for around 60% of the world's total High-Speed Rail infrastructure China's High-Speed Rail advancements have not only transformed domestic connectivity but have also attracted the attention of countries worldwide the country's competitively priced and technologically advanced Solutions have made Chinese High-Speed Rail an attractive option for Nations seeking to modernize their transportation systems as a result 19:02 China's High-Speed Rail technology has been exported to more than 10 countries and regions spanning across southeast Asia the middle east Europe and Latin America some notable examples of China's High-Speed Rail projects overseas include the Jakarta Bandung High-Speed Rail Line in Indonesia the Anora Istanbul High-Speed Rail Link in turkey and the Belgrade Budapest High-Speed Rail Corridor connecting Sur ibia and Hungary these projects showcase China's ability to deliver efficient reliable and costeffective High-Speed Rail solutions to its International Partners the Jakarta bandong HSR affectionately nicknamed whooosh by the local population has not only improved connectivity but has also catalyzed economic growth along the corridor small businesses have thrived in the burgeoning community-based economic ecosystems surrounding the train stations with local vendors reporting a sign significant increase in Daily 20:00 earnings the project has also boosted tourism with popular destinations in West Java seeing a surge in visitor numbers particularly during Peak holiday periods the Jakarta Bandon highspeed Railway celebrating its first anniversary on Thursday has transported 5.79 million passengers according to PK Kera CAD Indonesia China a joint venture between Indonesian and Chinese Enterprises that built and operates the railway according to kcic statistics since its commercial launch in October 2023 the HSR has completed over 15,8 126 train trips covering more than 2.57 million kilomet the number of daily train Services has increased from 14 at the start of operations to 52 with passenger seats rising from 8,400 to over 31,000 the highest daily ridership reached 24,32 21:29 [Music] moving Westward China's High-Speed Rail prowess has also found a foothold in Turkey where the anara Istanbul High-Speed Rail Link has been a GameChanger for the country's Transportation infrastructure completed in 2021 this 254 km line has reduced travel time between the two major cities from over 4 hours to just 3.5 hours making it a more attractive and efficient option for both commuters and businesses well actually Serbian was one 22:02 of the first Nations to sign a memorandum of understanding in the Bon Road initiative with China the country has benefited from several years of infrastructure cooperation one major project is Budapest Belgrade Railway which will connect the capitals of Hungary and Serbia is scheduled to F for food completion by the end of 2025 or Yuni explores the Belgrade Budapest High-Speed Rail Project is another example of China's growing influence in the transportation infrastructure globally as part of Serbia's cooperation with China under the belt and Road initiative the 350 km Railway link connecting the capitals of Serbia and Hungary is taking shape once completed by 2025 the high-speed line will significantly reduce travel time between the two cities from over 8 hours to just 2.5 hours importantly the railway adheres to European Union standards showcasing China's ability to deliver projects that integrate with the continent's existing systems this project is also part of a 23:06 larger plan to extend the high-speed Network Southward to the Greek Port of pyus further enhancing trade connectivity in the region today we are taking the Belgrade budapes Railway which had been a legendary train line I'll tell you more when we're inside okay now here's the backstory the route of this train I'm taking on points towards hungary's capital of budapes which was used over a century ago by the iconic Orient Express now having survived two world wars much of the line was barely usable until now as it's reconstructed by Chinese Railway Builders currently only one section within Serbia is finished and open running between Belgrade and the second largest city of 24:00 novisad it's perfect it's comfortable uh I go to see my cousins in novisad before this train was upgraded how long would it take for you to visit your family it would take very much longer it would take like 2 hours or so and now it's only half an hour and it's great what's also worth mentioning is that everything on this rail line from the signaling system all the way down to the nails is made according to European Union standards Bulgaria's ambitious High-Speed Rail Project against the backdrop of China's Global High-Speed Rail dominance Bulgaria a country located in Southeastern Europe announced an ambitious High-Speed Rail Project in December 2023 the plan involved the procurement of 20 electric trains along with 15 years of maintenance services and staff training at a total estimated cost of $660 25:02 million Bulgaria's decision to undertake this transformative project was driven by the pressing need to modernize its aging and inefficient Transportation infrastructure the country's vast land area coupled with a relatively small population of around 6.7 million had resulted in an underutilized and outdated rail network the majority of Bulgaria's trains were products of the last century with mechan mechanical parts and electrical systems struggling to keep up with the growing demand for efficient and reliable transportation the announcement of the High-Speed Rail Project immediately captured the attention of companies from around the world eager to Showcase their technological capabilities and secure the lucrative contract among the biders was a familiar name Ching da cang locomotive company a subsidiary of China's state-owned crrc Corporation the global leader in High-Speed Rail technology China's bid and the eu's 26:00 intervention Ching da sea Fong locomotive company with its extensive experience and expertise in highspeed rail submitted a bid that caught the attention of both Bulgaria and the European Union EU the Chinese company's offer came in at a mere $390 million nearly half the estimated cost of the project and significantly lower than the $670 million bids submitted by the Spanish company talgo this price disparity immediately raised concerns within the European Union in February 2024 the European commission launched an investigation into crrc chinga siong locomotive suspecting that the company's low price bid was heavily subsidized by the Chinese government a practice that would be considered a violation of Fair competition principles the eu's actions were rooted in its recently enacted foreign subsidies regulation which empowers the Europe European commission to investigate and 27:00 take action against foreign companies that may be benefiting from government subsidies potentially distorting the eu's internal Market under this regulation any company participating in a public procurement tender valued at more than 250 million EUR and having received at least €4 million EUR in foreign subsidies over the past 3 years must report its involvement to the EU given the $660 million price tag of the Bulgarian High-Speed Rail Project and the suspicions surrounding crc's low bid the European commission had no choice but to launch a formal investigation this move placed the Chinese company in a precarious position ultimately leading to its withdrawal from the bidding process there are sufficient indications that this company has been granted a foreign subsidy that distorts the internal Market the commission said the crrc may have made an unduly advantageous offer that could cause other companies participating in the public procurement procedure to 28:02 potentially lose sales opportunities in just a few weeks our first investigation under the foreign subsidies regulation has already yielded results the statement from the European commission quoted internal Market commissioner tiar Britton is saying he said that Europe's single Market remained open for firms that are truly competitive and play fair but that Brussels will take continue to take all necessary measures to preserve Europe's Economic Security and competitiveness with assertiveness and speed in September commission Chief Ursula vonder liion announced a probe into Chinese subsidies for electric vehicles judged by European industry to be artificially low and in January Brussels unveiled policies to prevent sensitive technology or infrastructure from falling into the hands of economic Rivals such as China the China Chamber of Commerce to the European Union however expressed its disapproval 29:00 stating that crrc Ching DA's withdrawal adds to evidence that the subsidies regulation is being used as a new tool to deter foreign companies coercing them into withdrawal and subsequent business exclusion while China has criticized these measures as double standards the EU remains steadfast in its resolve to ensure Fair competition and protect its Industries Bulgaria's dilemma and the Spanish takeover with the Chinese company out of the picture Bulgaria was left to choose between the remaining bidder the Spanish talgo while talgo had a long history in the rail industry and a reputation for quality products its bid price of $670 million was significantly higher than the Chinese offer for Bulgaria this presented a dilemma the country's Transportation infrastructure had long been in need of modernization and the High-Speed Rail Project was seen as a crucial step in addressing this issue however the government's Financial constraints and its Reliance on EU funding made it 30:00 challenging to accept the more expensive Spanish bid despite the concerns Bulgaria ultimately decided to move forward with talgo hoping that the Spanish company's expertise and experience would outweigh the higher price tag in April 2024 the project was officially awarded to talgo and preparations began for the delivery of the 20 electric trains the Spanish takeover and the Project's downfall the excitement surrounding the high spe Rail Project was shortl as unexpected challenges soon emerged in October 2024 talgo announced that it could no longer support the completion of the project citing various Technical and logistical issues one of the primary concerns was the complex terrain of Bulgaria which posed significant challenges for the construction of High-Speed Rail infrastructure the country's mountainous landscape and uneven topography required more specialized Technology and Engineering solution utions than talgo had anticipated furthermore talgo expertise lay more in the realm of Light Rail systems rather than the advanced 31:05 highpe rail technology that was required for this project the Spanish company's Reliance on technical support from other European countries such as Germany also proved to be a weakness as the German Railways were facing their own operational and financial difficulties at the time as the Project's progress lagged behind and the budget continued to rise talgo ultimately made the decision to withdraw from the partnership with Bulgaria this sudden announcement dealt a major blow to the country's highspeed rail dreams leaving it back at square one the aftermath and Lessons Learned the failed High-Speed Rail Project in Bulgaria highlights the complexities and challenges that can arise when countries attempt to modernize their transportation infrastructure the intervention of the European Union through its foreign subsidies regulation played a significant role in shaping the outcome ultimately leading to the exclusion of 32:00 the Chinese company from the bidding process while the eu's actions were apparently aimed at ensuring Fair competition and protecting the interests of European companies the decision to favor the more expensive Spanish bid over the Chinese offer has raised questions about the true motivations behind the regulation some have accused the EU of using it as a tool to suppress the growth of Chinese companies in the European market a concern that Echoes the broader tensions between the two economic powerhouses the Bulgarian case also shows the importance of careful planning and the need to align technical capabilities with the specific requirements of a project the decision to choose talgo despite its higher price tag ultimately proved to be a misstep as the Spanish company's expertise was not well suited to the unique challenges posed by Bulgaria's terrain and infrastructure needs China's broader Ambitions in High-Speed Rail China's high speed rail dominance extends Beyond 33:00 individual projects as the country has set its sights on even more ambitious goals one such goal is the integration of Passenger and Freight Transportation through the China Europe Express routes if successfully implemented this plan would connect 25 countries and 224 cities in Europe as well as 11 countries and 108 cities in Asia creating a vast Transportation Network spanning the Eurasian continent the plan to integrate passenger and Freight Transportation on the China Europe Express routes is not just a logistical challenge but also a geopolitical one by establishing this seamless Network China aims to solidify its position as a key player in the global supply chain potentially Shifting the balance of economic power and influence in the region the broader implications and the need for cooperation the events surrounding the failed High-Speed Rail Project in Bulgaria highlight the complex and often contentious nature of global economic competition particularly in the realm of critical infrastructure development the intervention of the European Union through its foreign subsidies regulation has raised concerns about the potential politicization of economic decision-making with accusations of protectionism and the suppression of Chinese technological advancement

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