29th Chengdu International Automobile Exhibition Showcases Shifts in Consumer Preferences
- The Chengdu International Automobile Exhibition highlights evolving consumer demands for technology over price in China.
- Competitive pricing remains crucial in global markets, while brand loyalty weakens among Western consumers.
- China’s vehicle exports to Europe surge amid increased competition in the automotive industry.
At the 29th Chengdu International Automobile Exhibition held on August 21, 2026, at the China Western International Expo City, nearly 120 automobile brands displayed approximately 1,600 vehicles under the theme “Leading the Trend, Moving Towards the New.” This event reflects a notable trend in consumer preferences, particularly among Chinese buyers, who prioritize advanced technology and features over pricing.
According to Bain & Company’s latest Global Automotive Consumer Survey, 58% of Chinese consumers consider technology and additional features as the most significant factors in their purchasing decisions, surpassing affordability. In contrast, price remains the primary concern for consumers in the U.S. and Europe, reported by 68% and 62%, respectively. Nonetheless, affordability continues to be a critical aspect for Chinese consumers amid fierce domestic competition.
Competitive price is basically a precondition to be in consideration of the customer.
Klaus Stricker
leader of Bain’s Global Automotive & Mobility practice
Klaus Stricker anticipates that Western markets will soon adopt similar trends, with a focus on competitive pricing becoming essential and technology increasingly influencing purchasing decisions. He also noted that the rise of Chinese manufacturers is likely to increase pricing pressure in Europe.
In terms of exports, Chinese vehicle shipments to Italy soared to 209,258 units from January to August, while exports to the U.K. rose approximately 86% to 365,672 units, according to customs figures from the China Passenger Car Association.
Furthermore, a decline in brand loyalty poses a challenge for established manufacturers. Stricker remarked that European companies have built their business models on brand allegiance for decades, yet this loyalty is diminishing. More than one-third of surveyed customers in Western markets expressed openness to new automotive brands. Notably, consumers interested in autonomous-driving technology are willing to consider other manufacturers for superior functionality.
Helen Liu, an automotive partner at Bain, highlighted that younger American and European consumers share a tech-oriented mindset akin to Chinese buyers, suggesting that Western manufacturers must enhance their technological offerings to retain this demographic.
However, monetizing advanced features remains a challenge. Stricker pointed out that mass-market consumers generally expect sophisticated driving technologies to be included without considerable premiums, indicating that both Chinese and Western manufacturers are navigating distinct challenges.
Emerging Chinese automotive brands need to enhance their market presence, while established Western firms are focused on improving their technological capabilities. All manufacturers must maintain competitive pricing to thrive in this evolving landscape. Those who can effectively close the gaps in their offerings without pricing out consumers are poised to benefit significantly as the automotive industry continues to consolidate.
News Courtesy of CNBC
