There are thorns on the way out

Although independent brands are "on the rise", going overseas is not a smooth road, with many challenges, such as brand perception differences, inadequate charging infrastructure, insufficient after-sales service outlets, high tariffs imposed by importing countries, and tighter industrial policies in various countries.

"Although the development of new energy vehicles in China is leading the world at the present stage, most Chinese brands have low recognition overseas and need continuous investment in brand building; "The lack of electric vehicle infrastructure in overseas markets also requires automakers to work with their partners to strengthen their presence." Fitch Ratings China enterprise research director Yang Jing told reporters in an interview.

Yang Jing further said, "The United States, Europe and some developing countries are paying increasing attention to the industrial chain of electric vehicles. Industrial policies and other ways to promote the construction of local industrial chain have shown initial results. In this context, Chinese new energy vehicle enterprises and industrial chain suppliers may not be able to continuously obtain overseas market shares and exchange mineral resources in the form of exports, but need to increase overseas investment and accelerate the pace of overseas plant construction, which requires strong country risk identification ability and large initial capital investment."

For Chinese auto brands to become global brands, Xu suggested that Chinese auto companies make efforts in the following aspects, including: establishing localized marketing capabilities, research and development capabilities, and the ability to build corporate brands overseas.

At the same time, Xu stressed that the ability to export one's effective management mode is crucial to building a world-class brand. "Enterprises should first carefully summarize the effective management model formed in China. For example, the model of quality control and supply chain management, efficient production mode, etc., especially to summarize the enterprise's own values and management culture, which is the embodiment of the enterprise's soft power. Overseas development is to export these effective management modes based on local characteristics."

"We also need to be able to secure the capital to enable our companies to grow internationally. Overseas brand building and direct investment is a long-term strategic investment, which is difficult to gain short-term returns and is highly likely to suffer long-term losses. Therefore, enterprises need long-term strategic stability and basic capital protection." Xu Haidong said.