India Autos: What does China‘s overseas expansion mean for India? Lessons from other markets

Research evidence excerpt

India Autos: What does China‘s overseas expansion mean for India? Lessons from other markets

ited/ J.P.

(fully imported), as it has not received approval to set up local manufacturing. Morgan Broking (Hong Kong) Limited

It has an EV market share of 2.5%. Despite the restrictions, BYD plans to Jiajie Shen, CFA

launch several new models – both BEVs and PHEVs. (86-21) 6106 6352

jiajie.shen@jpmchase.com

• Is the acceptance of Chinese investments improving in India? India SAC Registration Number: S1730520030006

recently eased rules that curbed Chinese investments into India in the sectors J.P. Morgan Securities (China) Company Limited

of electronic components, capital goods and solar cells. Earlier this month, four Cathy Liu

Chinese entities (with manufacturing presence in India) were given permission (852) 2800-8629

to participate in government power equipment contracts for two years. In the cathy.xiao.liu@jpmorgan.com

automotive sector, Horse Powertrain (JV between Geely and Renault) is J.P.MorganMorganBrokingSecurities(Hong (AsiaKong)Pacific)LimitedLimited/ J.P.

expected to get approval to invest US$370m to manufacture strong hybrid

powertrains for future Renault and Nissan models in India. While direct entry

of Chinese OEMs into local manufacturing might still be restricted, it seems

that partnerships with Indian business groups is being encouraged.

• Our Global Autos team expects Chinese OEM’s market-share in Western

Europe to increase to 20% by 2028: Chinese OEM’s market-share in Europe

was at 6% in 2025 and has increased to 9% in 5MCY26. Electrification is

accelerating across Europe, creating the precise environment where Chinese

OEMs’ product breadth becomes advantageous. While growing distribution is