China has become an indispensable "training ground" for global carmakers, an arena where rapid technological iteration and fast-changing consumer demand are pushing the industry to evolve at unprecedented speed.

At the just-concluded 2026 Beijing International Automotive Exhibition (Auto China 2026), which once again set a new record for scale among global auto shows, this dynamic was on full display.

Attendees at Auto China 2026. (Photo: Zhou Xiaoqin)

"China is like a 'gym' for the automotive industry. Nowhere else sees such fast technological iteration or such rapidly shifting user demand," said Oliver Blume, CEO of Volkswagen AG.

Blume's analogy captures the unique appeal of the Chinese market. International observers have described Auto China 2026 as confirming China as the new center of the automotive industry and a key hub for exporting next-generation vehicles to global markets—not just an auto show but a story of industrial transformation.

What makes China such a critical "gym" for global automakers? Beyond the buzz of packed exhibition halls, the answer lies in a shift from the traditional "scale dividend" to a more competitive "ecosystem dividend."

Chinese brands, leveraging advances in intelligent technologies, are achieving leapfrog development and moving steadily up the global value chain, demonstrating strong competitiveness worldwide.

At Auto China 2026, Chinese automakers unveiled a series of flagship models featuring innovations such as power batteries with ranges of up to 1,500 kilometers, AI-driven intelligent cabins and advanced driver-assistance solutions geared toward Level 3 autonomous driving. These technologies highlight China's leading edge in intelligent, connected new-energy vehicles.

A visitor examines the L80, an electric model by Chinese automaker ONVO, at Auto China 2026. (Photo: Zhang Lixin)

A global automaker executive noted that while traditional multinational companies once took four to five years to develop a new vehicle model, a development cycle of two to 2.5 years has now become the norm in China.

By deeply engaging with the Chinese market and fully understanding local demand, many development challenges can be resolved more efficiently, producing a powerful "amplification effect," the executive added.

China's vast, open and inclusive market provides fertile ground for deep collaboration between domestic and international companies. Since Auto Shanghai 2023, many multinational automakers have recognized China's advantages in key technologies and supply chains for smart electric vehicles, prompting them to shift more of their R&D operations to China. At Auto China 2026, these companies are entering a phase of intensive product launches as part of their "localization 2.0" strategies.

The logic of cooperation between Chinese and international automakers has also undergone a profound transformation. Foreign companies have moved beyond simple vehicle manufacturing or basic technology transactions, instead integrating deeply into China's innovation ecosystem to pursue comprehensive collaboration.

CATL displays its V2000EM electric vertical takeoff and landing aircraft at Auto China 2026. (Photo: Tang Ke)

Volkswagen developed a new electronic architecture tailored for China in just 18 months through partnerships with local companies. Its China-based driver-assistance center has cut R&D cycles by 30 percent and reduced platform costs by half.

Multinational automakers have also shifted from producing in China for China to producing in China for the world, no longer treating the country merely as a sales market but as a global hub for innovation and exports. For example, some Japanese, German and French automakers plan to introduce new-energy vehicles developed in China to international markets, while others are using China as a global testing ground and innovation incubator for worldwide vehicle development.

As the industry shifts from "product exports" to "system exports," technologies and management models refined in the Chinese market are comprehensively empowering the global automotive industry.

An open arena allows all participants to leverage their strengths and share progress. Looking ahead, China will continue to foster a fair, efficient and dynamic development platform with an open and inclusive approach, working with all parties to advance the global automotive industry and inject fresh momentum into the world economy.