Research on the Transformation and Upgrading of the Automotive Industry: Focusing on China and Looking to the World

In the context of the global automobile industry facing multiple challenges, ranging from supply chain disruptions and stringent environmental regulations to the accelerating shift toward electrification and intelligent mobility, this study focuses on the core dilemmas and breakthrough paths of domestic and foreign auto companies’ transformation and upgrading. Based on a systematic analysis of the current industry, this paper analysed the different pressure dimensions faced by domestic and foreign automakers: domestic enterprises mainly face constraints from critical technological bottlenecks in foundational domains, while international giants generally respond slowly to global market dynamics, especially China’s unique demand and rapid tech route iteration. To navigate these hurdles, Chinese automakers leverage domestic scale advantages and policy-driven ecosystems, which foster collaboration across industry chain stakeholders and accelerate technological breakthroughs. Meanwhile, international firms are repositioning China as a key innovation frontier, establishing R&D centres and forging local partnerships to stay abreast of market trends. This study provides theoretical reference and practical guidance for strategic adjustment and policy formulation of related enterprises.