Many eyes in Germany are fixed on the Shenzhen Port as the BYD Explorer 1 raises anchors. This vehicle carrier, transporting over 5,000 electric vehicles from leading Chinese manufacturer BYD (Build Your Dreams), is making its way to a German port.

The nearly 200-meter-long BYD Explorer 1, capable of carrying up to 7,000 vehicles, is the first roll-on roll-off cargo ship to transport Chinese cars globally. Within two years, the fleet is expected to grow to a total of 8 vehicle carriers. A BYD ship would take about 100 days for a round trip. Theoretically, the group's eight cargo ships could transport up to 168,000 electric vehicles to Europe with three round trips each.

Besides BYD, the state-owned automaker Saic, in partnership with Volkswagen, set sail for Germany in January with its own vehicle carrier, "Saic Anji Sincerity," carrying 3,700 electric vehicles.

In 2022, 33,699 Chinese electric vehicles were sold in Germany. Despite this significant increase, the Chinese market does not yet rank among the top five importers in Germany. The vehicles are primarily directed towards Europe also due to port capabilities. Unlike ports in Africa or South America, European ports are equipped to receive these new cargo ships.

Despite the impressive increase of Chinese vehicles in Germany, the market is not expected to be flooded with Chinese electric cars for now. In the first two months of 2024, China delivered approximately 75,600 electric cars to the EU, 25% fewer than last year during the same period, according to Chinese customs data.

Furthermore, Brussels is considering ending subsidies for the purchase of Chinese-made electric vehicles. Countries like the USA have already excluded Chinese cars from their market by imposing such high tariffs that it's no longer viable for the Chinese to offer their vehicles there. However, some observers note that the USA might isolate itself from international technological developments, as Chinese electric cars are considered among the most advanced globally.

The Chinese automotive market is currently a battleground for survival among electric car manufacturers, with slim profit margins. Nevertheless, the situation demonstrates not just a regional but a global competition in the burgeoning electric vehicle market.