Electric vehicle (EV) manufacturers in China are taking steps to ensure market order and fair competition in the country’s EV industry with the signing of a “letter of acceptance for maintaining fair market order in the automobile industry” at the China Association of Automobile Manufacturers (CAAM) in Shanghai.
The letter includes four key pledges from 16 automakers, including Tesla, BYD, Nio, Li Auto, Xpeng, China FAW, Dongfeng Motor, SAIC, Changan Automobile, BAIC, GAC, China National Heavy Duty Truck, Chery, JAC, Geely, and Great Wall Motor. The pledges are to avoid disrupting fair competitive order in the market through abnormal pricing, not to mislead consumers with exaggerated advertising, to provide high-quality products and services, and to actively fulfilling their social responsibilities.
The letter is an effort to bring stability to the largest EV market in the world. It is self-regulated and not legally binding, but it is an important step in ensuring fair competition in the market. It is also a commitment from the automakers to put quality first and provide high-quality products and services to the Chinese people.
The agreement was welcomed by the Ministry of Industry and Information Technology, which said that the Chinese auto industry is facing challenges, and regulating sales promotion activities, including avoiding reckless price cuts, is necessary. The industry is also expected to benefit from the commitment to actively fulfill social responsibility and contribute to national economic growth.
The automakers have also committed to not exaggerating or conducting false marketing, and to not mislead consumers to attract attention and increase customer acquisition. This is an important step in ensuring that consumers are able to make informed decisions when purchasing an EV.
Overall, the letter of acceptance for maintaining fair market order in the automobile industry is a positive step for the EV industry in China. The commitment from the automakers to put quality first and to actively fulfill their social responsibility will help to ensure that the market remains stable and competitive. It will also help to protect consumers from false advertising and misleading pricing.