From Vehicle-Level Decarbonization to Full Value-Chain Competitiveness
Heatwaves, Decarbonization, and the Next Stage of China's Automotive Competitiveness
Ms. Zhou Xiaoying, CEO and Editor-in-Chief of Gasgoo International is delivering keynote speech at the Automotive Decarbonization and Sustainability Summit 2026 and the High-Efficiency Technology & New Materials Summit; image source: Gasgoo
Recently, Europe has been experiencing another wave of extreme heat.
Countries including France, Spain, Germany, Italy and the United Kingdom have all seen very high temperatures. In some areas, temperatures have approached, or even exceeded, 40 degrees Celsius.
The World Meteorological Organization has also noted that this heatwave has broken multiple temperature records, while affecting public health, infrastructure, agriculture, ecosystems and labor productivity.
For the automotive industry, this sends a very important message:
Decarbonization and sustainability are no longer just about corporate social responsibility. They are no longer just long-term goals for the next few decades. They are becoming real variables that affect human life, global supply chains, energy systems, market access and corporate competitiveness.
On-site scene; image source: Gasgoo
Based on Gasgoo's long-term observation of China's automotive industry, the new energy vehicle supply chain and the globalization of Chinese automakers, I would like to share one key judgment:
The low-carbon competition of China's automotive industry is moving from "vehicle-level decarbonization" to "full value-chain decarbonization."
In the future, truly competitive companies will not only be able to build good cars and sell good cars. They will also need to use low-carbon capabilities to participate in the restructuring of the global automotive supply chain.
Over the past few years, what the world has seen most clearly from China's automotive industry is speed.
The penetration rate of new energy vehicles has risen rapidly.
Smart vehicle technologies have evolved quickly.
The supply chain has responded with remarkable efficiency.
But I believe that as China's automotive industry enters the next stage of global competition, the key word will no longer be only "speed."
It will also be "green."
On-site scene; image source: Gasgoo
Today, decarbonization in the automotive industry is no longer just about electrification at the vehicle level. It is also no longer simply about publishing ESG reports.
It is expanding across three dimensions.
First, low-carbon products: the transition from internal combustion engine vehicles to new energy vehicles.
Second, low-carbon manufacturing: including green factories, renewable energy, low-carbon materials, energy-efficient production and circular economy practices.
Third, low-carbon supply chains: moving from the decarbonization of individual companies to the collective decarbonization of automakers, suppliers, material companies and logistics systems.
This is especially important as China's automotive industry accelerates its globalization.
In the future, when a vehicle is exported to another market, it will not be enough for the product itself to meet local regulations.
The battery, materials, manufacturing process, logistics system and carbon footprint data behind that vehicle will also need to become more transparent, traceable and verifiable.
On-site scene; image source: Gasgoo
Last week, I visited Renault Group's plant in Morocco, in North Africa. I was deeply impressed by their practices in ESG, low-carbon production, circular economy and renewable applications.
This visit also reinforced one point for me:
For automakers, low-carbon capability will increasingly affect market access, brand reputation and long-term competitiveness.
For suppliers, decarbonization is not simply an environmental requirement. It is becoming a new language for entering the global customer system.
In the past, suppliers won orders mainly through cost, quality, delivery and technology.
In the future, global automakers will increasingly look at carbon footprint, renewable energy usage, material traceability, factory energy efficiency and circular economy capabilities.
Companies that build low-carbon data capabilities, green manufacturing capabilities and global compliance capabilities earlier will be better positioned to enter the supply chains of both multinational automakers and globalizing Chinese automakers.
Group photo of conference guests; image source: Gasgoo
From Gasgoo's perspective, one of the most important strengths of China's automotive industry is its system-level coordination capability.
This capability has supported the rapid development of China's new energy vehicles and smart electric vehicles over the past years.
In the future, this same system-level capability should also be transformed into a long-term advantage in low-carbon and sustainable development.
China has the world's largest new energy vehicle market.
It has a complete supply chain covering batteries, electric drives, electronic controls, intelligent manufacturing and automotive components.
And more companies are now exploring green factories, renewable energy, remanufacturing and material recycling.
If these capabilities can be systematized, standardized and digitalized, China's automotive industry will have the opportunity to build a new form of global competitiveness.
That means China will not only export vehicles.
It can also export low-carbon manufacturing capabilities, low-carbon supply chain capabilities and low-carbon industrial solutions.
So, the next goal of China's automotive decarbonization is not simply to make individual vehicles greener.
It is to make the entire automotive value chain greener, more transparent and more sustainable.
In the future, low-carbon capability will become as important as electrification, intelligence and integration.
It will become one of the core capabilities for China's automotive industry as it moves onto the global stage.
( The above is the keynote speech delivered by Ms. Zhou Xiaoying, CEO and Editor-in-Chief of Gasgoo International at the the Automotive Decarbonization and Sustainability Summit 2026 and the High-Efficiency Technology & New Materials Summit.)
