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JATO Dynamics, a British research company, recently released its 2023 global car sales ranking, with Chinese models BYD Qin and BYD Song Plus in the top 20. Although Toyota holds five seats in the top ten, its main product, the Corolla sedan, saw a 19% year-on-year decline in sales, becoming the model with the largest decline in the top 20.
In addition, the BYD Yuan Plus (Atto3) also ranks among the top 25 best-selling car models in the world, and has become the fastest growing model on the list with a year-on-year increase of 119%. This compact SUV is a global model launched by BYD and has been sold in more than ten countries around the world, winning the pure electric sales championship in multiple markets such as New Zealand, Israel, and Thailand.
A new energy vehicle marketer familiar with the Thai market told Interface News that BYD is popular in Thailand not only for its product competitiveness, but also for its close strategic cooperation with local dealers. To shape brand influence, BYD dealers vigorously promote traditional outdoor advertising that local consumers are willing to accept, providing domestic brands with reference experience for local marketing when going abroad.
The report points out that Chinese car brands, including BYD, are continuously soaring in market share in regions such as the Middle East, Eurasia, and Africa, while achieving positive growth in Latin America and Southeast Asia. In addition, the market share of Chinese cars in developed economies such as Europe, Australia, New Zealand, and Israel is constantly increasing.
JATO Dynamics Senior Analyst Felipe Munoz analyzed that the weak electric transformation of traditional car manufacturers has led to sustained high prices of new energy vehicles, which in turn has prompted consumers to shift towards more affordable alternatives in China. Chinese car brands are taking advantage of this trend to seize market share at a faster pace.
In addition to Chinese car brands that are showcasing their strength in the global market, the top 25 models on the global list also include 13 Japanese models, 5 American models, and a few Korean and European models. The pure electric vehicle Tesla Model Y jumped to the top spot for the first time last year, with sales significantly increasing by 64% year-on-year, leading the Toyota RAV4 in second place by 150000 units. Tesla's other flagship model, Model 3, has also entered the top ten.
The current industry generally focuses on the automotive consumer markets in Europe, the United States, and China, but 22% of new car sales last year came from emerging economies. JATO Dynamics Senior Analyst Felipe Munoz stated that in 2023, emerging economies sold over 17.5 million new cars, exceeding the total sales in the United States and Europe that year.
Even though the Model Y has not yet been launched in most emerging markets, it does not affect its ability to reach the top of the list. Felipe Munoz stated that Tesla is a brand created for developed countries. Although the company is currently not targeting these markets, emerging countries still have the potential to become an additional source of growth for Tesla in the future.
In fact, most emerging market consumers are unable to purchase Tesla models. Musk stated at a recent Tesla shareholder meeting that the company insists on making affordable products for the public as its future development goal.
In terms of specific vehicle categories, SUVs were further favored by the global market last year, with overall sales increasing by 16%, achieving a historic high of 47% market share. The growth is mainly attributed to Tesla's success in the SUV field, as well as the growing demand for this model in regions such as Europe, India, the Middle East, and Eurasia.
A sharp contrast is that last year, when Corolla sedan sales declined by 19% year-on-year, SUV model Corolla Cross sales increased by 35% year-on-year.
China, the United States, and Canada remain the largest markets for SUVs, accounting for over half of the global total. In recent years, SUV manufacturers have been actively improving their models to ensure that their product strength is sufficient to attract customers. Among the top ten car manufacturers last year, Hyundai Kia relied the most on SUV sales, followed by Ford and Volkswagen Group.
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