Chinese authorities are urging major electric vehicle (EV) manufacturers to promote rational competition, as the government intensifies efforts to stabilize the rapidly expanding but increasingly volatile EV market.
The comments came from a senior official with China’s central leadership group during a recent meeting with industry representatives and regulators, according to a statement from the Ministry of Industry and Information Technology (MIIT) released on Friday.
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The official emphasized the importance of healthy market dynamics, following a pledge by China’s State Council earlier in the week to address what it described as “irrational” competition in the EV sector and to enhance monitoring of pricing activity.
The meeting, attended by key players including BYD and BAIC Group, reflected growing concern among regulators about aggressive pricing strategies and the long-term impact of sustained price wars. Officials have increasingly highlighted the need for industry stability, particularly as companies race to secure market share in the world’s largest EV market.
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In a separate session held on Friday, the MIIT, along with the market regulator and the state planner, gathered executives from 17 major automotive firms, representatives of industry associations, and local government officials to discuss the development of the EV sector. The meeting focused on supporting balanced growth and ensuring industrial coordination as part of China’s broader new energy strategy.
China continues to lead global EV production and adoption, but the competitive intensity has raised alarms among policymakers seeking to prevent disruption in supply chains, preserve innovation incentives, and foster a more sustainable competitive environment.
Source: Reuters