Unresolved Shanghai Auto Show Dispute Reflects Industry Shifts (AI Translation)
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文｜财新周刊 安丽敏
By An Limin, Caixin Weekly
距离2025年上海车展开幕不到一个月，主办方地位之争终于落定。
Less than a month before the opening of the 2025 Shanghai Auto Show, the dispute over the organizer's position has finally been resolved.
3月31日，上海市高院作出终审判决，维持一审原判。这意味着中国国际贸易促进委员会汽车行业分会（下称“贸促会汽车分会”）失去了上海车展主办权。2025年上海车展将由上海市国际贸易促进委员会（下称“上海贸促会”）、上海市国际展览（集团）有限公司、中国汽车工业协会等单位主办。
On March 31, the Shanghai High People's Court delivered its final ruling, upholding the judgment from the first trial. This decision signifies that the China Council for the Promotion of International Trade Automotive Sub-Council (referred to as "CCPIT Automotive Sub-Council") has lost its rights to host the Shanghai Auto Show. Beginning in 2025, the Shanghai Auto Show will be organized by the Shanghai Council for the Promotion of International Trade (referred to as "Shanghai CCPIT"), Shanghai International Exhibition (Group) Co., Ltd., and the China Association of Automobile Manufacturers, among other entities.
上海车展肇始于1985年，当前与北京车展并列为国际A级车展。京沪车展分别于偶数和奇数年份举办，时间均在4月下旬。在汽车行业，京沪两大车展是每年头等营销大事，企业一般优先选择在展期发布经营战略和重要产品。
First launched in 1985, the Shanghai Auto Show now shares equal standing with the Beijing Auto Show as an international-grade A-level auto exhibition. Held in alternating years—Shanghai in odd years and Beijing in even years—both events take place in late April. Within the automotive industry, the Shanghai and Beijing auto shows stand as the premier marketing events each year, where companies typically prioritize unveiling their business strategies and key products during these periods.
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- The Shanghai High People's Court ruled that the Shanghai Council for the Promotion of International Trade (Shanghai CCPIT) will host the 2025 Shanghai Auto Show, ending a long-standing dispute with the CCPIT Automotive Sub-Council.
- Industry shifts and rising Chinese brands, driven by new energy vehicles, have reshaped the balance of power, complicating traditional profit-sharing and collaboration models.
- This conflict highlights tensions between trade councils, potentially straining automaker participation and disrupting China's thriving auto show economy amid global market competition.
The Shanghai Auto Show, a premier automotive event in China since 1985, has undergone a major shake-up after a prolonged legal battle over its hosting rights. On March 31, 2025, the Shanghai High People's Court ruled to strip the China Council for the Promotion of International Trade Automotive Sub-Council ("CCPIT Auto Sub-Council") of its organizing role, granting full rights to the Shanghai Council for the Promotion of International Trade (Shanghai CCPIT), Shanghai International Exhibition Co., and the China Association of Automobile Manufacturers. This ruling marks a significant shift in the governance of one of China’s marquee auto exhibitions, which alternates yearly with the Beijing Auto Show and plays a crucial role in global automotive strategy and product launches [para. 1][para. 2][para. 4][para. 6].
The dispute, which began publicly in mid-2024, stems from a breakdown in a longstanding partnership agreement dating back to 2002. The agreement previously allocated roles, with CCPIT Auto Sub-Council focusing on multinational automaker collaboration and Shanghai CCPIT managing domestic brands. The shift in hosting rights reflects deeper changes within the Chinese automotive sector, particularly the rise of domestic automakers and electric vehicle (EV) manufacturers taking center stage at such events—domestic car brands now command over 60% of the market while new energy vehicle sales reached 10.9 million in 2024, or nearly half of the total market [para. 6][para. 18][para. 21].
The court ruled that the 2002 agreement, which allowed for joint organization, effectively terminated in 2024. Both parties clashed over revenue distribution and event management, with competing claims of breach of contract. Accusations included delayed payments, encroachment into each other’s operational domains, and disputed changes to profit-sharing ratios. Tensions escalated further as both councils sought to recruit exhibitors before the court ruling, issuing conflicting communication to automakers that created confusion and strained relationships with participating companies [para. 6][para. 10][para. 24].
The ruling does not end the rivalry between the Shanghai and Beijing councils, as CCPIT Auto Sub-Council retains hosting rights for the Beijing Auto Show. Reports suggest the council may consider converting the Beijing event into an annual show to offset its loss in Shanghai, potentially disrupting the broader auto exhibition calendar. Automakers fear such heightened competition risks dividing resources and jeopardizing the stability of industry exhibitions, which are already under strain from market shifts and cost pressures [para. 6][para. 8][para. 16][para. 30].
The significance of auto shows remains high, particularly for Chinese brands achieving global prominence through EVs and smart-driving technologies. Events like the Shanghai Auto Show provide vital marketing and networking opportunities, with automakers spending millions on booth fees, displays, and operations. However, market dynamics are challenging these events. As some international auto shows like Geneva and Detroit decline, Chinese-led events have grown in influence. Yet even major domestic exhibitions have seen withdrawals by struggling automakers, with brands like Dongfeng Nissan and Kia pulling out due to industry-wide challenges [para. 5][para. 27][para. 34].
Industry insiders suggest that the long-term sustainability of auto shows depends on resolving disputes and adapting to evolving market needs. Calls for regulatory oversight emerge as automakers, caught between conflicting organizers, seek resolution. The Shanghai-Beijing rivalry highlights the need for innovation in exhibition formats and collaborative governance to benefit the broader industry. Ultimately, the conflict mirrors transformations within the Chinese automotive landscape, as electrification, smart technologies, and domestic brand dominance reshape priorities and industry dynamics [para. 21][para. 37][para. 40].
- Shanghai International Exhibition (Group) Co., Ltd.
上海市国际展览（集团）有限公司 - Shanghai International Exhibition (Group) Co., Ltd. is one of the organizers of the 2025 Shanghai Auto Show, alongside the Shanghai Council for the Promotion of International Trade and the China Association of Automobile Manufacturers. The company plays a key role in managing large-scale exhibitions, including the Shanghai Auto Show, which has grown significantly in global influence. Its involvement underscores Shanghai’s ambition to maintain its position as a leading city for international events and exhibition economies.
- Changan Automobile
长安汽车 - Changan Automobile's Vice President, Deng Chenghao, predicted at the 2025 China EV100 Forum that fewer than 20 automotive brands would survive in China due to the ongoing market consolidation and intense competition.
- Deutsche Messe AG
德国汉诺威展览公司 - Deutsche Messe AG is a German exhibition company based in Hanover. It was involved in organizing the "China Shanghai International Auto Exhibition" in 2001 through a joint venture with the Shanghai New International Expo Centre, attracting major global automotive brands like Audi, Mercedes-Benz, and BMW. This posed competition to the established Shanghai Auto Show, influencing the latter to strengthen partnerships to increase its influence.
- Audi
奥迪 - The article mentions that Audi, alongside Mercedes-Benz and BMW, participated in the 2001 “China Shanghai International Automobile Exhibition” hosted by the German Hannover Exhibition Company. Audi showcased its latest trend models and those tailored for the Chinese market, highlighting the competitive landscape at the time.
- Mercedes-Benz
梅赛德斯-奔驰 - The article mentions Mercedes-Benz facing challenges in the Chinese market amid declining sales for many joint ventures and foreign automakers. It also notes that some foreign car companies, including Mercedes-Benz, have resorted to cost-cutting measures such as closing factories and reducing staff in China due to market pressures and competition from domestic electric vehicle brands.
- BMW
宝马 - The article mentions that BMW was one of the global car giants participating in the competitive "China Shanghai International Automobile Exhibition" in 2001. It highlights the brand's role in boosting the show's influence during its early stages but does not provide specific details about BMW's recent involvement or plans for upcoming events like the 2025 Shanghai Auto Show.
- SAIC Motor
上汽集团 - SAIC Motor, traditionally reliant on joint ventures like SAIC Volkswagen and SAIC General Motors, held the top spot in domestic sales for 18 years. However, in 2024, BYD surpassed SAIC Motor in sales, ending its reign. This reflects the broader rise of Chinese brands, particularly in the electric vehicle sector, as domestic brands now hold over 60% market share, challenging the dominance of traditional joint ventures and global automakers in China's automotive market.
- SAIC Volkswagen
上汽大众 - SAIC Volkswagen, once a dominant player relying on its joint ventures, has seen its market position decline as domestic Chinese brands like BYD rise. Once a key contributor to SAIC Group's success, it faces challenges amid ongoing shifts toward electric and smart vehicles, with Chinese automakers increasingly leading market share.
- SAIC-GM
上汽通用 - The article mentions SAIC-GM within the context of China's shifting automotive landscape. It notes that SAIC, including its joint ventures like SAIC-GM, has faced challenges as domestic brands like BYD surged ahead, particularly in the electric vehicle market. This reflects a broader decline in sales for many joint ventures and traditional automakers in China, highlighting changing industry dynamics and the growing dominance of Chinese brands.
- BYD
比亚迪 - BYD has emerged as a dominant player in China's auto market, surpassing Volkswagen's sales in 2023 and claiming the market leader position in 2024. It relies on its electric vehicle (EV) offerings, solidifying its global standing. At the 2024 Beijing Auto Show, BYD showcased its own exhibition hall, an unprecedented move. The company also attracted significant attention during the 2023 Tokyo Auto Show, marking its growing international influence and prominence in the EV industry.
- Volkswagen Group
大众汽车集团 - The article mentions that Volkswagen Group, like many other joint venture-heavy automakers in China, is facing declining sales amid the rise of domestic brands and the shift to EVs. In 2023, BYD's sales surpassed Volkswagen's combined sales of passenger cars in China. These market challenges have forced Volkswagen and other global automakers to adopt cost-cutting measures to address the competition and evolving market dynamics.
- Porsche
保时捷 - The article mentions that Porsche, along with several other companies like Volkswagen and Mercedes-Benz, has been impacted by declining sales in the Chinese market. They are taking cost-cutting measures to address these challenges, as competition intensifies due to the rise of China's domestic brands and the transition to electric and smart vehicles.
- Xiaomi Auto
小米汽车 - Xiaomi Auto made its debut at the 2024 Beijing Auto Show, showcasing its vehicles for the first time. Company Chairman Lei Jun also visited various brand booths, attracting significant media attention and creating a unique highlight at the event.
- UBS
瑞银 - The article mentions UBS's China Auto Analyst, Min Gong, predicting that China's future auto market may resemble Japan's, with local brands dominating roughly 90% of the market share.
- Geely Holding Group
吉利控股集团 - Geely Holding Group owns Volvo Cars and holds a stake in Lynk & Co. Previously classified as a foreign or joint venture company due to its international connections, Geely highlights the increasingly blurred lines between domestic and global automotive brands. This shift challenges traditional distinctions as the company navigates a market focused on electric and intelligent vehicles. Its senior management predicts unprofitable automakers will exit the market in the coming years.
- Volvo Cars
沃尔沃汽车 - The article mentions that Volvo Cars, acquired by Geely Holding Group, was traditionally categorized as a foreign or joint-venture company. This categorization highlights the complex industry dynamics, especially as cross-border investments blur the lines between domestic and international brands.
- Lynk & Co
领克汽车 - Lynk & Co, partially owned by Geely Holding Group, is highlighted as a brand that blurs the lines between foreign and domestic classifications, being traditionally seen as a joint venture or foreign brand due to Geely's acquisition of Volvo. This context reflects the shifting dynamics of China's automotive market, where distinctions between joint ventures and domestic brands are becoming increasingly complex.
- Tesla
特斯拉 - The article does not mention Tesla directly, but it references the U.S. automotive sector where Tesla represents America's leading role in the electric and autonomous vehicle market, in contrast to declining traditional Detroit carmakers. Tesla’s prominence reflects the broader transformation in global automotive trends towards electrification and automation.
- HiPhi
高合汽车 - HiPhi, an electric vehicle brand, has faced challenges amid market shifts. The article mentions HiPhi as one of the brands that skipped the 2024 Chengdu and Guangzhou Auto Shows due to financial difficulties, highlighting the broader struggles in the automotive industry as brands experience market pressures and reshuffling.
- Dongfeng Nissan
东风日产 - The article mentions that Dongfeng Nissan, facing deep adjustments, is among the brands that skipped the 2024 Chengdu and Guangzhou auto shows. This absence reflects challenges within the company amid ongoing market shifts and competition.
- Kia
起亚 - The article mentions Kia as one of the brands missing from the 2024 Chengdu and Guangzhou auto shows, indicating the brand's absence from these major events amidst challenges in the automotive market.
- Subaru
斯巴鲁 - The article mentions that Subaru is among the brands that decided to skip the 2024 Chengdu and Guangzhou Auto Shows, highlighting challenges faced by certain brands amid ongoing competition and market shifts in the Chinese automotive industry.
- Geely Auto
吉利汽车 - Geely Auto, listed on the Hong Kong exchange (00175.HK), has highlighted challenges in China’s automotive market. A senior executive recently noted that unprofitable car companies will likely exit the market in the coming years, reflecting the industry's intense competition and consolidation trends. This aligns with broader concerns about market saturation and the need for sustainable operations in the evolving automotive sector.
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