Detroit automakers advised to exit Chinese market due to fierce competition and shrinking market share

From CNBC: 2024-06-18 15:09:51

Bank of America’s top automotive analyst advises Detroit automakers – General Motors, Ford, and Stellantis – to exit the Chinese market due to intense competition and shrinking market share. GM’s market share dropped to 8.6% last year, raising concerns about profitability and the rise of local Chinese competitors like BYD and Geely.

GM executives hope to regain market share in China with new electric vehicles, despite falling earnings. President Biden’s tariffs on China-made EVs add to geopolitical risks for U.S. companies in China. Bank of America’s analyst believes Tesla has an advantage due to lower costs, making it more competitive in the Chinese market.



Read more at CNBC: Detroit automakers need to exit China, BofA analyst says