Introduction
Have you ever thought, "I wish new cars were developed faster and cheaper"? The truth is, automakers worldwide are currently undergoing rapid change. In particular, the rise of Chinese EV (electric vehicle) manufacturers is shifting the traditional world view of "safety first" and "robustness first." This article will clearly explain why new car development cycles are dramatically shortening, the specific methods used, and the points that are relevant to us as ordinary consumers.
By reading this, you will learn that "the norms of the automotive industry are changing," and you will gain knowledge that will be useful for future car purchases and investment decisions.
The reason why the "5-year new car development process" is being shortened to "2 years"
Traditionally, developing a new car took nearly four to five years. However, nowadays, especially among Chinese EV manufacturers, new cars can be developed and sold in an average of 18 to 20 months. This isn't just due to speed; it's because of fundamental changes in thinking and organizational structure.
Strengths of Chinese companies
- Act without fear of risk: The hierarchical structure is flat and decision-making is fast.
Tendency to downplay durability testing: While overseas manufacturers conduct durability tests of 3 million km, Chinese manufacturers sometimes accept products with an average of only around 600,000 km. - Actively utilize OTA updates and remote diagnostics: We continue to fix unresolved issues and add new features even after release.
- Early development and commercialization of autonomous driving:Backed by strong government support and an infrastructure-coordinated model, social implementation is progressing at one of the fastest rates in the world.
The real business of global companies
A study by the major US consulting firm Alliance Partners points out that "if development takes five years, by the time it hits the market, it's no longer a 'new car'." In other words, the problem is that technology is advancing too quickly. To overcome this, speed is the survival strategy.
How do you develop shortcuts?
(Specific techniques)
So, why is it possible to shorten the development time? We'll introduce three key points about how this is actually being done in development environments.
Point 1: Maximize the use of common parts and manufacturing processes.
By standardizing parts and manufacturing processes, labor is saved. Volkswagen of Germany also reduced the development time for its new EV produced in China from just over four years to just over two years (a reduction of approximately 301 TP3T). This is not simply a reduction in numbers. It is based on the idea of "concentrating resources on what is truly necessary."
Point 2: Virtual design using digital tools
Before physically preparing the car, the design and testing are done in a digital space. Renault's European head stated, "It's conventional wisdom that it takes 15 to 3 months to manufacture a part, but modeling cuts that in half." In other words,"Show the finished product as soon as possible."That is important.
Point 3: Multinationalization of supply chains
In Renault's new EV, the Twingo, approximately 451 TP3T of parts are made in China. Furthermore, its EV subsidiary, Ampere, carried out parallel work of "design → modeling → supply preparation," completing development in 16 months. This represents a shift from the conventional "sequential processing" to "simultaneous processing."
Actual case study: Development of the Nissan N7
Nissan Motor has jointly developed the new EV "N7" with China's Dongfeng Motor Group over approximately two years. It is scheduled to be released in 2025 for under 3.1 million yen, with plans to export it to other markets in 2026. This is one of the moves to "deploy China's speed and cost competitiveness to the world."
Points to consider when developing shortcuts (Can safety be ensured?)
"What happens if you only chase speed?"
The key here is finding a balance between speed and safety. While some Chinese companies tend to downplay durability testing, overseas manufacturers are mindful of this and address it accordingly.
Specific example: Renault's development process
Even when suppliers are ready to start production in three days, Renault will compromise on development speed if they cannot make a perfect decision. Therefore, they use WhatsApp to share corrections among team members in different countries. It's a delicate balance between speed and security, for better or for worse.
Note: Traditional companies face the "risk of being unable to change."
An advisor to a Japanese automobile company points out that "they risk stubbornly refusing to acknowledge the need for faster development because they cannot change their production methods." While a "safety-first culture" is a good thing in itself, flexibility is essential in an era where software drives development.
Summary: "A new car that takes 5 years to make can be made in 2 years!" The global automotive industry battles China.
The essence of this change is not that "the car itself has changed," but rather that "the people who make it have changed." While technical aspects such as digitalization and common parts are important, the more fundamental change lies in a transformation of organizational culture.
The growing acceptance that "safety isn't everything" is leading to the creation of new models that balance development speed with safety. In the automotive industry going forward, "speed" will be the key to survival. However, within that speed, a sense of "what should be protected" is also essential.
For us ordinary consumers,"You can buy a high-quality car at a low price."This offers direct benefits. Furthermore, investors and business stakeholders can benefit from this.A warning urging us not to lose sight of the innovativeness originating from China.It is also true.
These dramatic changes are not merely industry news, but offer insights into our lifestyles.The values of "moving quickly" and "adapting flexibly" are applicable in other industries as well.Yes. If you're thinking about "change" right now, this move in the automotive industry should give you some clues.
