The latest Market Talks covering the Auto and Transport sector. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.
0446 GMT – The already-hot competition in China’s auto market is set to intensify in 2024, as autonomous driving shifts into high gear and global brands step up electrification, Fitch Ratings analysts say. China’s intelligent driving adoption is likely to hit a tipping point next year, which may shorten car replacement cycles, they say. Several players like XPeng have already launched AD solutions and more will join next year. Fitch sees scope for more market consolidation, with a few leading JVs clawing back ground with aggressive EV-transformation targets. It thinks global carmakers will likely boost China-dedicated R&D investments and seek to shorten smart-EV development cycles via M&A. Though competitive pricing may help boost EVs’ popularity, Fitch sees only modest growth in domestic passenger-car demand next year amid economic uncertainty. (fabiana.negrinochoa@wsj.com)
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