QNB: China shifts to EV market integration

A report by Qatar National Bank (QNB) states that China's success in exporting electric vehicles reflects a strategic development in the industry. In 2025, exports of electric vehicles saw significant growth amid declining domestic demand and increasing reliance on international markets. The report highlights that China exported more than 7 million vehicles in 2025, with exports doubling in the first quarter of 2026, as these vehicles accounted for over 40% of total exports. The report also points to a shift in the Chinese government's policy from supporting the industry through direct intervention to relying more on market forces, with a move toward advancing technology and sophisticated manufacturing. However, challenges related to excess production capacity remain on the horizon, with profit margins decreasing to around 3%.

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