(Bloomberg) -- German car-parts maker ZF Friedrichshafen AG aims to grow sales in China to benefit from the country’s rapid shift to electric vehicles, WirtschaftsWoche reported.
The company wants to generate around 30% of its total revenue in China by 2030, up from about 18% last year, ZF management board member Stephan von Schuckmann told the publication. Revenue is expected to grow as more Chinese automakers export their vehicles abroad, he said.
Chinese carmakers are “very technology-savvy and use the latest technologies with courage and speed in order to differentiate themselves,” he said.
China dominates the EV race and now accounts for an 80% share of the world’s lithium-ion battery capacity and has huge leads in most other critical components. Local champion BYD Co. is challenging Tesla Inc.’s rank as the world’s biggest EV company and several Chinese auto brands are currently pushing into Europe.
Read more: How China Carmakers Came to Dominate the EV Industry: QuickTake
The Chinese auto expansion is also intensifying competition in the parts sector as these brands are bringing their local suppliers with them, von Schuckmann said.
“It can be assumed that today’s competition from China will also spread to Europe,” he said. “You have to take this development very seriously and adapt in order to survive.”
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