Risk inspections technology and regional selection for auto companies under globalization
2025-09-01
Data from China's General Administration of Customs shows that China exported 6.41 million vehicles in 2024, including 1.28 million new energy vehicles. Since 2022, growth in the European market has gradually slowed, while automobile exports to markets such as the Middle East, South America, Russia, the United States, and Canada have seen significant increases. Under the rapid expansion of automotive exports, disputes over intellectual property have become a prominent challenge for China's automotive manufacturing industry in its globalization.
Risk inspections in automotive exports now comprehensively cover all vehicle components and are gradually expanding to related areas of the industrial chain, such as testing equipment and R&D services. According to risk inspection statistics for 2022–2025 from China Auto Information Technology (Tianjin) Co., Ltd, the powertrain system is the primary focus of risk inspections, followed by body structure. Other automotive segments lag significantly behind the former two.
The three-electric system (battery, motor, and electronic control) is the core of risk inspections in the powertrain system, with the motor being a particularly important component but relatively less scrutiny received by electronic control systems. In terms of the secondary technical level, key risk inspection points include motor cooling design, motor stator winding design, battery thermal management, and multi-motor coordinated control technology.
High incidence of IP disputes in Europe, increasingly complex risks in emerging markets
As the largest market for China's auto exports, Europe has long been a focal point for risk inspections. Meanwhile, Europe is also a high-risk region for intellectual property, particularly in recent years, where Chinese companies have often been the defendants in lawsuits related to NEVs. For autos exported to Europe, the body structure and powertrain system are the two main technical screening areas. Based on actual screening results and litigation cases, infringement risks related to power battery technology and basic component designs in the body structure are particularly prominent in Europe.
With the market expanding, intellectual property risks in countries and regions such as Russia, Southeast Asia, and the Middle East are increasingly drawing attention from enterprises. Differences in intellectual property laws, enforcement mechanisms, and dispute resolution systems in these regions complicate risk assessment of intellectual property and the handling of disputes.
Establishing an early intervention mechanism for high-risk patents prevention and control
Nearly half of risk inspections can identify high-risk patents. The earlier risk inspections are embedded into a company's production process, the more proactive the company can be in addressing high-risk patents, having greater flexibility to respond. In the early stages of R&D and production, high-risk patents can be addressed with low-cost methods such as developing design-around solutions, collecting evidence of patent invalidation, and verifying publicly known technologies. However, once a product is nearing export or has already entered overseas markets, companies often face infringement lawsuits, sales bans, and licensing negotiations, complex with high costs to deal with.
Under globalization in the automotive industry, the overseas export volume of China’s automobile companies continues to rise. Faced with complex overseas markets, only keeping "early inspections, detailed identification, and all-round defense" based on their corporate development strategies and product characteristics can automakers move forward steadily in the global market with fierce technological competition and ensure the sustainable advancement of their overseas strategies with compliance.
From AutoIP
July 1st, 2025