China to tighten EV exports with permit system after 1.65m shipped in 2024

Buyers of Chinese electric vehicles overseas could soon see higher quality standards as Beijing moves to tighten control of exports. From 2026, only automakers and their authorised companies will be allowed to ship EVs abroad, China’s commerce ministry said on Friday.

The new rule, which requires official export licences, aims to protect the reputation of Chinese brands and curb unfair competition from unregulated traders. Fuel and hybrid vehicles are already under a similar licensing system.

China exported 1.65 million electric cars in 2024, almost double the 2022 figure. But rapid growth has sparked concerns about traders selling vehicles in foreign markets without proper after-sales service, damaging consumer trust.

“Unauthorised exports can hurt the user experience and the image of Chinese automakers,” said Wu Songquan, policy director at the China Automotive Technology Research Center. “Like global brands, Chinese firms must show high standards in independent operations,” he added.

Local governments have backed thousands of small traders since 2019, some of whom shipped new cars overseas as “used” to boost local GDP. Analysts say this has fuelled price wars abroad, cutting profits and raising risks for brand value.

Zhu Huarong, chairman of state-owned automaker Changan, has warned repeatedly about the dangers. At a June auto conference, he said “used car exports” could “enormously damage Chinese brands” in key global markets.

China is the world’s biggest EV exporter, with major players like BYD and SAIC pushing hard into Europe and emerging markets. The licence system is expected to slow smaller exporters but may strengthen consumer confidence in Chinese electric cars overseas.

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