Industry department: China holds symposium on NEV industry competition

Industry department: China holds symposium on NEV industry competition

China's National Energy Administration (NEA) recently convened a symposium to address the intensifying competition within the country's electric vehicle (NEV) industry. The gathering, which took place on July 2, 2025, aimed to discuss regulatory measures to mitigate what the government termed "irrational competition" and promote sustainable growth.

The symposium was presided over by Chinese Premier Li Qiang, who emphasized the need for a balanced approach to competition. The NEA pledged to implement comprehensive measures to regulate the sector, including enhanced cost investigations and price monitoring [1]. This move comes amidst a two-year price war that has been particularly intense in China, the world's largest auto market.

The symposium also addressed concerns about oversupply, a phenomenon that has led to the export of new vehicles as "used" since 2019 [1]. The NEA committed to working with industry regulators and automakers to improve supplier payment terms and boost competitiveness through technological innovation and quality improvements.

Separately, the symposium discussed boosting domestic consumption, with policymakers vowing to systematically remove unreasonable restrictions that hinder household spending and optimize policies for a consumer goods trade-in program [1].

The symposium's focus on range optimization was underscored by Tesla's recent announcement of a new Model 3 variant, the Model 3+, designed to maximize range in the Chinese market. This model combines the efficient single-motor drivetrain with the advanced ternary Nickel-Manganese-Cobalt (NMC) battery pack, potentially exceeding 800 km of range [2]. The Model 3+ is expected to launch in early September with a starting price of around RMB 270,000, positioning it between the base RWD model and the Long Range AWD version.

The introduction of the Model 3+ is a strategic response to the intense competition in the Chinese EV market, where range remains a significant selling point for consumers. By focusing on this key feature, Tesla aims to provide a clear and practical advantage to potential buyers.

References:
[1] Reuters. (2025, July 16). China vows to regulate irrational competition in EV industry. Retrieved from https://www.reuters.com/business/autos-transportation/china-vows-regulate-irrational-competition-ev-industry-2025-07-16/
[2] Arena EV. (2025, July 16). Tesla Model 3 targets record EV range with new battery strategy in China. Retrieved from https://www.arenaev.com/tesla_model_3_targets_record_ev_range_with_new_battery_strategy_in_china-news-4914.php