Part 6/10:
The ramifications of this shift are profoundly concerning for legacy manufacturers. Many firms could find their factories producing ICE cars rendered practically worthless as the market moves away from traditional vehicles. Observers have noted that foreign automakers' market share in China has started to crumble — falling from 64% in 2020 to just 37% in 2024. This pattern spells dire consequences, particularly for European and Japanese automakers long reliant on Chinese revenues.
Manufacturers like Volkswagen, which historically received a significant portion of profits from sales in China, might face existential threats as traditional revenue streams evaporate. Such predictions raise fundamental questions about the viability of many legacy car brands within the industry.