(Yicai) Dec. 2 -- China’s smart vehicle companies now have a singular opportunity to expand worldwide thanks to the country’s globally competitive technologies, scale, and cost advantages, according to Zhang Yongwei, secretary-general of China EV100.

“In the field of automotive intelligence, whether in terms of products, technology or the supply chain, Chinese firms now enjoy a timing and generational advantage over most overseas markets, excluding the United States,” Zhang said at the seventh Global Intelligent Driving Conference held in Suzhou yesterday.

“This offers a once-in-a-generation opportunity for Chinese smart car enterprises to go global,” said Zhang, who is also vice chairman of China EV100, a non-profit organization and think tank dedicated to promoting the development of the electric vehicle and intelligent connected vehicle industries in China.

China’s smart car industry is among the biggest, with the cost of smart components tumbling, he said. Light detection and ranging product prices, for example, have dropped below CNY10,000 (USD1,415) from around CNY200,000 (USD28,270) in 2017, while the cost of making domain controllers for smart driving has fallen to about CNY2,000 (USD282) from over CNY10,000 (USD1,414), he noted.

This year marks what many see as the global launch year for China’s autonomous driving industry. Operators such as Apollo Go, WeRide, and Pony.ai along with enablers like Momenta have stepped up their overseas expansion, with the Middle East, Southeast Asia, and Europe as their key hubs.

Chinese robotaxi technology enjoys advantages in overseas markets, primarily in terms of capability and cost, Pony.ai Vice President Zhang Ning noted at the same conference.

The technological capabilities of Chinese companies have been pushed to a higher level because China’s road conditions and urban environments are more complex than those in Europe and the United States, Zhang Ning pointed out. That means better tech compatibility and performance when exported overseas, he said.

Thanks to full-stack auto-grade technology and big fleet deployments, Pony.ai's operational costs have shrunk, Zhang said, adding that daily revenue from robotaxis in Guangzhou is already enough to cover all vehicle-related expenses.

"Faced with more uncertainties and restrictions, the best way for companies going global to expand their business is through cooperation," Zhang Yongwei pointed out.

Companies should learn from the outset to seek top-notch partners abroad, including multinational corporations that operate in China, moving from a zero-sum game to a win-win situation, he said.

This approach also applies to overseas localization or manufacturing projects, Zhang said. Firms with the resources should build their own plants, while those lacking experience could set up joint venture plants or license their technology, he said.

Editors: Tang Shihua, Martin Kadiev