Electric car news
The Japanese manufacturer Toyota changes his strategy to make his electric cars more accessible. Faced with Chinese competition which offers vehicles at unbeatable prices, the Japanese brand is now based on local Chinese production to drastically reduce its manufacturing costs. This pragmatic approach comes at a time when Toyota is still cautious about the massive electrification of its range.
Toyota’s Chinese strategy to democratize electricity
The Chinese market of electric vehicles knows phenomenal growth, with local manufacturers who offer models at particularly attractive prices. Toyota, who had long favored hybrid technology, is forced to adapt his approach to remain competitive. The manufacturer has therefore made the choice to produce locally to benefit from the economic advantages of China.
This strategy is perfectly upset with the new BZ3X electric SUV, the fruit of collaboration between Toyota and Gac. This vehicle, intended exclusively for the Chinese market for the moment, has a starting price of approximately 15 000 euros. A price that positions this model as the most affordable electric car in the Toyota range, and which is explained by an approach radically different from production.
A “made in China” electric motor to reduce costs
The heart of this strategy is based on the use of locally produced components. The BZ3X electric motor, although designed by the Japanese company Nidec, is fully manufactured in China. This approach makes it possible to considerably reduce transport costs and benefit from the competitive advantages of the Chinese market.
The figures speak for themselves: according to Mitsuya Kishida, president of Nidec, 99% of materials and parts composing the engine come directly from China. This maximum local integration largely explains why Toyota can offer its electric SUV at such a competitive price. Chinese production has several major economic advantages:
- Energy cost lower than that of Europe
- Workforce less expensive than in the West
- Supply chain local developed
- Scale economies important thanks to the production volume
Commercial results which confirm the relevance of the approach
BZ3X sales confirm that this pricing strategy is bearing fruit. Toyota’s electric SUV has succeeded in becoming the best -selling foreign vehicle in China from its second month of complete marketing in May 2025. This performance was confirmed in June with 6,030 units soldbringing the total to 20,000 copies since the launch.
These results are all the more remarkable as they intervene on a Chinese market dominated by local manufacturers like Byd, Geely or Nio. The success of the BZ3X shows that an aggressive tariff approach can allow foreign marks to win back market share, even in the face of particularly dynamic local competition.
The European future of BZ3X compromised by customs duties
If the BZ3X is a hit in China, its potential arrival in Europe raises important questions. THE customs duties Imposed by the European Union on vehicles produced in China would considerably modify the economic equation. These taxes, which can reach significant levels, would reduce the competitive advantage of the model on the European market.
The price of the BZ3X should therefore be revised upwards for a possible European marketing. This situation perfectly illustrates the challenges faced by manufacturers who seek to optimize their production costs while sailing in a complex commercial and regulatory environment.
| Walk | Estimated price bz3x | Constraints |
|---|---|---|
| Chine | 15 000 euros | Production locale |
| Europe (hypothetical) | Increased price | Customs duties |
A model that shakes up the established competition
BZ3X’s pricing positioning represents a direct challenge for models like the Tesla Model Y, which currently costs twice as expensive in China. This competitive pressure pushes the entire industry to rethink its price and production strategies.
The Chinese government is monitoring this price war carefully and plans to set up a floor price To avoid a deflationary spiral which could harm the entire automotive ecosystem. This potential regulation aims to preserve the profitability of manufacturers while maintaining healthy competition on the electric vehicle market.
Toyota’s approach with the BZ3X perfectly illustrates the changes in progress in the automotive industry. By relying on Chinese production to reduce its costs, the Japanese manufacturer shows that it is possible to offer accessible electric vehicles without sacrificing quality. This strategy may well inspire other manufacturers in their quest for profitable electrification and accessible to the greatest number.
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