People visit the pavilion of Chinese carmaker BYD at the 2024 Paris Motor Show during the media day in Paris, France, Oct. 14, 2024.  (Xinhua/Gao Jing)

Chinese manufacturers are using innovation to bring down costs, making them formidable competitors globally, said Serge Gachot, director of the Paris Motor Show.

PARIS -- The 2024 Paris Motor Show concluded here on Sunday, with electric vehicle (EV) manufacturers from China, Europe and the United States showcasing their latest models as competition in the global EV market intensifies.

Automakers from these regions displayed their vehicles side by side at the event, offering attendees the chance to compare technologies, pricing, and quality firsthand.

"People are ready to fight against climate change and drive EVs, but not at any cost," said Serge Gachot, director of the Paris Motor Show, stressing that prices are a major concern.

He added that Chinese manufacturers are using innovation to bring down costs, making them formidable competitors globally.

Amid ongoing trade tensions and concerns over potential tariffs on imported Chinese EVs, demand for affordable, high-quality EVs has outpaced protectionist sentiment. Test drives of Chinese models were popular among European attendees, with many praising their advanced features and value for money.

COST COMPETITIVENESS

Several major European carmakers unveiled low-cost EVs, which analysts say is a response to the cost competitiveness posed by Chinese competitors. French carmaker Renault presented its Twingo E-Tech electric prototype, set to debut in 2026 at a price below 20,000 euros (21,748 U.S. dollars).

Renault also showcased its R4 and R5 electric models, while its Dacia brand promoted the Spring model, price said to be under 20,000 euros (21,748 dollars). BMW introduced budget-friendly MINI models, including a Chinese-made version, alongside premium options like the 5-door Aceman.

Data from research firm JATO show the average retail price of a battery EV in China was around 31,000 euros (33,710 dollars) in the first half of 2023, compared to 66,000 euros (71,770 dollars) in Europe and 68,000 euros (73,945 dollars) in the United States.

While European manufacturers work to lower prices, Chinese EV makers are attracting attention with their cutting-edge technology, high-quality vehicles and luxurious interiors offered at more competitive prices. A standout moment at the show was the AITO 9 model, which completed a 15,000-kilometer journey from Chongqing to Paris over 38 days, crossing 12 countries.

Maxime, a 15-year-old French attendee, marveled at the vehicle's design and high-end entertainment systems. "The car feels like a world of technology. I could sleep here all day," he said.

At BYD's booth, another attendee called Vanessa was particularly impressed by the luxury Yangwang U8 SUV and the Sealion 7 model. She mentioned that she used to drive a Renault, but after seeing Chinese EVs, she said that Chinese EVs offer superior quality, advanced technology, and stylish interiors compared to European models in the same price range.

COOPERATION OVER COMPETITION

Despite geopolitical risks, many automakers emphasized the importance of cross-border collaboration in an increasingly competitive market. The Paris Motor Show provided a platform for industry players to exchange ideas and explore partnerships.

In recent years, cooperation between Chinese and Western companies has expanded. Tesla's Shanghai Gigafactory has become a global production hub, while Renault's Dacia Spring, developed in China, is a top seller in Europe.

At the motor show, Leapmotor, in collaboration with Stellantis, unveiled the B10-a compact electric SUV that will be produced in Poland for European consumers.

Carlos Tavares, CEO of Stellantis, said that the global automotive industry stands to gain from the collaboration, highlighting the significant demand for affordable, high-quality EVs and how their partnership would help meet this need.

Leapmotor International CEO Xin Tianshu noted that such collaboration leverages each company's strengths. "Leapmotor brings technology and cost advantages, while Stellantis offers global sales and manufacturing capacity," he said.

"The debut highlights Leapmotor's rapid growth in Europe, with over 200 dealers already established across 13 markets, aiming to reach 500 sales points by 2025," Leapmotor revealed.

Nicolas Caillault, CEO of Car East France and a dealer for China's Hongqi brand, emphasized the crucial role of international cooperation. "The United States needs China, and Europe needs China. It is a must for us to cooperate," he said.