In 2023, China took over Japan as the leading car exporter globally, according to the China Passenger Car Association (CPCA), which shared this news last Tuesday. The success was largely attributed to the impressive performance of Chinese electric car companies BYD and Chery in the previous year, making China the top country in car exports. CPCA stated at a press conference that China is poised to become the world's top car market and exporter in 2023. The country witnessed a remarkable 62 percent increase in new car exports last year, reaching a total of 3.83 million units. In comparison, Japan, as per data from its customs department, sold 3.5 million new passenger cars in the first 11 months of the previous year. However, it's essential to note that CPCA's figures are not official statistics, and official data from China's customs department is awaited on Friday. According to CPCA data, China exported a total of 5.26 million units of new and old vehicles in 2023, amounting to a financial value of approximately $102 billion or 10 trillion US dollars. In contrast, Japan exported 430,000 units of new and old vehicles the previous year. China's ascent to the top of the global car industry is noteworthy, with the surge in electric car sales playing a pivotal role. BYD, in particular, outpaced Tesla in the electric car market by the end of last year, even though their primary market is within China. Tesla also contributed to China's car export growth by exporting 344,078 cars manufactured in its Chinese factory in the previous year. The increasing dominance of China in the car market has raised concerns in Western countries about the potential impact on their own car companies. In response, the European Commission initiated an investigation into Chinese electric vehicles, alleging that these companies receive government subsidies, branding Beijing as protectionist. Additionally, China is contemplating raising tariffs on various products, including electric cars, as reported by the Wall Street Journal. Apart from exports, car sales within China also saw an uptick. Domestic car sales in 2023 increased by 5.3 percent to 21.93 million units, as Chinese car companies offered significant discounts to attract buyers amid challenging economic conditions. The electric car market in China experienced substantial growth, with a 72 percent increase in sales of 100% battery-powered cars in 2022, rising to 20.8 percent in 2023. Predictions for 2024 suggest a 63 percent increase in sales for domestic brand cars in the Chinese market. Notably, Warren Buffett's Berkshire Hathaway Company owns 7.98 percent of China's BYD Company. Despite aggressive marketing efforts by BYD in Southeast Asia and Europe, Tesla's sales system is reported to be more efficient, according to a Reuters report. The global car market saw a decline in the sales of most companies in China last year. A new entrant in China's electric car market is smartphone company Xiaomi, which launched its first car last month, expressing aspirations to be among the world's top five car companies.