Country achieves crucial technological breakthroughs

Kevin Kang, chief economist at KPMG China, said, "Chinese brands have huge potential in the European market and could contribute the most to future sales increases there."

Ding Yuqian, head of China Autos Research at HSBC, said China has the world's most competitive electric vehicle battery supply chain.

The single most expensive item for such a vehicle is its battery, and carmakers based in China have access to high-quality batteries produced at a relative cost advantage, with manufacturers continuing to improve this technology.

Hans-Paul Burkner, global chair emeritus of Boston Consulting Group, said electric cars are a typical example of China moving up in the value chain. Chinese companies have become highly competitive, not just because of costs, but also due to quality and innovation, he added.

"When I look at some of the new cars on the streets of Beijing and Shanghai, the electric vehicles are really impressive. This is what makes Chinese companies competitive," Burkner said.

"We see quite a lot of Chinese companies being the top producers of patents and really good products, which are witnessed all over the world."

Jeffrey Sachs, a renowned economist and director of the Center for Sustainable Development at Columbia University in New York, said, "China's strength right now is that it is at the cutting edge of many of the most important technology innovations for the future.

"These include low-carbon energy solutions, electric vehicles, batteries, supply chains, artificial intelligence, high-speed trains, and many other sectors. All of these will be very good for China's future growth."