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Mar 4, 2026 12:01 PM

China's Auto Paradox: Why 30 Million Cars A Year Isn't Enough To Beat Toyota's Bottom Line

According to Wei Jianjun, chairman of Great Wall Motors (OTCPK: GWLLF), the gap between Chinese cars and those from Europe, America, Japan, and South Korea is still “very large."

Jianjun's remark goes against the prevailing narrative of unqualified triumph of China's auto sector, notes 36kr.

By most surface indicators, the industry has little reason to be modest. China builds and sells more vehicles than any other country. It has surpassed Japan as the world's largest exporter and controls the majority of global electric vehicle output. Domestic brands such as BYD (OTCPK: BYDDY) and Geely (OTCPK: GELYF) have expanded rapidly at home and abroad.

Yet Wei's observation reflects a more layered reality. The gap he describes is not about production scale or EV momentum; it is structural.

Multi-Cycle Advantage

Companies like Toyota (NYSE:TM), BMW (OTCPK: BMWKY), and Mercedes-Benz (OTCPK: MBGYY) built their reputation across generations. These companies created rigorous validation systems, went through long product development cycles, and established global quality control processes. Their expertise in testing, tuning, and manufacturing refinement extends far beyond a single technological cycle.

Chinese automakers, by contrast, rose during a period of electrification and digital disruption. Their strengths ...