---
title: "Experts: The decline in profit margins does not indicate an industry recession; China's automotive industry is accelerating the restructuring of the global automotive competition landscape"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/275047035.md"
description: "In 2025, Chinese car companies will accelerate electrification, intelligence, new energy, and internationalization, showing a trend of scale growth and declining efficiency, with the profit margin of the Chinese automotive industry dropping to its lowest in a decade. Experts interviewed told reporters that the decline in profit margins does not indicate industry recession. Companies are converting profits on a large scale into R&D investments, accumulating long-term assets such as intelligent chassis and intelligent driving algorithms. Coupled with the collective overseas expansion of Chinese car companies, the Chinese automotive industry is accelerating the reconstruction of the global automotive competition landscape. (Securities Times)"
datetime: "2026-02-05T23:49:16.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/275047035.md)
  - [en](https://longbridge.com/en/news/275047035.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/275047035.md)
---

# Experts: The decline in profit margins does not indicate an industry recession; China's automotive industry is accelerating the restructuring of the global automotive competition landscape

In 2025, Chinese car companies are accelerating electrification, intelligence, new energy, and internationalization, showing a trend of scale growth and declining efficiency, with the profit margin of the Chinese automotive industry falling to its lowest in a decade. Experts interviewed told reporters that the decline in profit margins does not indicate an industry recession. Companies are converting profits on a large scale into R&D investments, accumulating long-term assets such as intelligent chassis and intelligent driving algorithms. Coupled with the collective overseas expansion of Chinese car companies, the Chinese automotive industry is rapidly restructuring the global automotive competition landscape. (Securities Times)

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