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Foreign Automakers Unveil New Electric Models at Beijing Auto Show, Acknowledge Lag in Chinese Market

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Foreign Automakers Pivot to Chinese Tech at Beijing Auto Show

At the Beijing auto show starting Friday, U.S., Korean, and German automakers announced new models for China—many powered by local technology.

Cadillac Enters the EV Race with Local Assistance

"Local sourcing reduces production time to 18 months and allows Cadillac to compete with local rivals."

Cadillac introduced the VISTIQ, an electric SUV priced at 468,000–508,800 yuan ($68,000–$74,000). It marks the brand's first car in China with driver-assist technology. The system—capable of handling both highways and city roads—was co-developed with Chinese startup Momenta.

Will Stacy, vice president of Cadillac China at General Motors, said the company aims to build the brand and regain market share in a critical market.

Hyundai Bets Big on Electric and Intelligence

"China is where the future of mobility is being defined, and Hyundai intends to contribute." — José Muñoz

Hyundai launched its all-electric IONIQ brand in China and announced the IONIQ V. The vehicle features driver-assist technology also co-developed with Momenta, and voice control powered by a Qualcomm chipset.

José Muñoz, president and CEO of Hyundai Motor Company, acknowledged the company's struggles: China fell from 17% to 4% of Hyundai's total sales. "We had to reimagine our strategy," he said. He added that if sales in China succeed, Hyundai could export the brand to other regions.

A Broader Trend: Western Brands Embracing Chinese Innovation

"There's skepticism about foreign brands' ability to regain significant market share, but the potential to bring technology from China to other markets is real." — Stephen Dyer

Stephen Dyer, partner at AlixPartners, observed that foreign brands are incorporating Chinese technology. He expressed skepticism about their ability to regain significant market share but noted the potential to export Chinese-developed technology to other markets.

The Sales Picture: A Steep Decline

The challenges facing foreign automakers in China are stark:

  • Hyundai: March 2025 sales were about one-third of March 2019 levels.
  • Nissan: March 2025 sales were down 47% compared to March 2019.
  • Cadillac: Sales fell 39% over the same period.

These numbers underscore why global automakers are now turning to Chinese partners for the technology and speed needed to compete.