People’s Daily: “Don’t Just Look at the Cheapest Car!” Experts Say High Specs and Low Price – Even God Can’t Do That

CNBC AI News – June 16th, 2025: The current state of the automotive industry is facing intense scrutiny, and the pressure to deliver both feature-rich vehicles and competitive pricing has industry leaders questioning the very definition of sustainable business practices. According to Jia Ke, Chairman of the World New Automotive Technology Cooperation Ecosystem Association, attempting to simultaneously maximize features and minimize costs is a feat even beyond the realm of possibility.

The core of the issue, as highlighted by the expert, lies in the inherent conflict between consumer demand and economic realities. Consumers increasingly seek vehicles packed with advanced technologies and a wide array of features, yet they also demand attractive price points.

“The pressure is immense,” explains Mr. Jia. “Manufacturers are being asked to incorporate every conceivable feature, fearing that the omission of a single item could deter a potential buyer. Simultaneously, these same consumers are demanding lower prices. It’s a perfect storm of expectations that, frankly, is an impossible equation to solve.”

This perspective corroborrates with recent commentary from the People’s Daily, which cautioned against prioritizing price above all else when purchasing electric vehicles. The article emphasized that while competitive pricing is positive, extreme cost-cutting strategies can be detrimental to both car manufacturers and consumers.

The publication noted that unsustainable price wars can lead to scenarios where companies struggle to maintain their operations after the initial vehicle sale, impacting after-sales support, maintenance, and warranty services. Furthermore, the long-term value of a vehicle, including its resale value and operational costs, often suffers dramatically in a race to the bottom. This can lead to rapid depreciation, rendering a vehicle obsolete far sooner than expected and jeopardizing its long-term investment potential.

The shift in consumer attitudes and preferences, the People’s Daily suggested, necessitates a move away from a singular focus on aggressive pricing. This approach, it argues, ultimately traps manufacturers in a cycle of diminishing returns, marked by increasing sales volume but declining profitability.