(Yicai) April 28 -- Jameel Motors will continue to deepen its relationships with Chinese carmakers and has full confidence in their global expansion, according to the leading international automotive distributor’s chief executive, who met with top local manufacturers such as Guangzhou Automobile Group, Geely-backed Farizon, SAIC Motor and BYD at the Shanghai Auto Show.

Chinese brands will be significant players, maybe even the dominant players, over the next 10 years, but it is a process, Jasmmine Wong said in an interview with Yicai at the auto exhibition, which runs from April 23 through May 2. They will face export-related "growing pains" in the short term, but because of their technology and if they do not slow down innovation, they "should get there as time passes," she added.

Jameel Motors represents Toyota Motors and the Japanese auto giant's luxury vehicle division Lexus, BYD, GAC, MG Motor, Geely-backed Farizon Auto, Hino Motors, and other major carmakers across more than 10 countries. It has also been allying with Chinese original equipment manufacturers for about two years.

Jameel Motors recently announced distribution agreements with Changan Automobile for South Africa, GAC for Poland, and Farizon for some key markets, having allied with BYD for Turkey and MG for Morocco, Wong noted. The company is deepening collaboration beyond single-market arrangements, she said.

Jameel Motors' tie-ups with Chinese carmakers are tailored to market-specific needs, Wong pointed out. "When we talked to Changan for South Africa," the focus was on internal combustion engines, range extenders, and plug-in hybrid electric vehicles due to EVs not being very popular there yet, while for Poland, "we talked about PHEVs and EVs," she added.

The flexible approach has led to mutual confidence between Jameel Motors and Chinese brands, according to Wong. "We have a very strong international business that has led us to become a natural partner for them. We see the growth of Chinese OEMs' products as very aggressive," she said, adding that the time is right for collaboration because they want to expand while Jameel Motors wants to grow.

Global Perception of Chinese Cars Is Changing

China's car exports rose 19.3 percent to 5.86 million units in the 12 months ended Dec. 31 from the previous year, exceeding Japan's 4.2 million to rank first worldwide, according to data from the China Association of Automobile Manufacturers. Chery Automobile, SAIC, and Changan Auto topped Chinese carmakers by exports, seeing the most demand from Russia, Mexico, Western Europe, the Middle East, and Southeast Asia.

The jump in China's car exports was because of a shift in the world's perception of Chinese vehicle brands, Wong pointed out. "What makes Chinese products stand out is that the technology is far ahead of all European brands and any other car makers."

After driving a Chinese sport utility vehicle and comparing it with a luxury European model, Wong said, "I cannot bring myself to drive any other car. The whole experience is different, but you can only know it if you own one you drive."

Challenges Still Exist for Chinese Carmakers

Chinese automakers must still overcome several challenges despite technological advantages, Wong said. "It takes time to build awareness and brand recognition" for any product from another country, she noted.

Chinese brands need to communicate in a more international way rather than through isolated local channels, according to Wong, adding that they also tend to create multiple brands without clear differentiation, confusing consumers and distribution partners.

Aggressive price cuts disrupt the market and undermine consumer confidence and residual values, Wong said. In addition, smaller initial volumes make maintaining adequate parts inventory for after-sales service difficult, she added.

Jameel Motors helps address these challenges by opening distribution channels, caring for customers, investing in branding, bringing in substantial parts inventory, and others, Wong pointed out.

Further Global Push

Chinese vehicle manufacturers will likely see their global business surge, Wong said. "I expect everybody will sell more Chinese cars, not just Jameel Motors," she noted, adding that almost everyone at the auto show pledged to double their exports in the next few years.

Hybrid vehicles have the greatest market potential, with the world not able to accept ICE anymore due to global initiatives to reduce carbon emissions and not fully ready for battery EVs because of infrastructure limitations and range anxiety, according to Wong. Hybrid, PHEV, and range extender technologies have huge potential that will satisfy the world's needs, and all Chinese OEMs are doing that, which is highlighted at the auto show, she added.

Asia and Latin America already have significant Chinese brand presence, with Africa and the Middle East gaining traction, while Europe will be where they want to enter next, based on what they said at the car expo, Wong said.

Despite geopolitical tensions, including new tariffs and regulatory challenges, Chinese brands' long-term prospects remain positive, Wong said. If they do not slow down their innovation, they should be able to growing their market share, with their competition falling behind and needing to catch up, she noted.

Editor: Martin Kadiev