Guan Cha Zhe Wang·2025-10-04 00:51Core Viewpoint - The significant price disparity between electric vehicles in Taiwan and mainland China highlights structural issues within Taiwan's automotive market, particularly in the new energy sector [2][11][24]. Price Disparity - The price of vehicles in Taiwan can be nearly double that in mainland China, with examples such as the Tesla Model 3 priced at approximately 169 million TWD (about 37.8 million RMB) in Taiwan compared to around 23-24 million RMB in mainland China [1][8][17]. - Taiwanese consumers face high vehicle prices regardless of whether they are purchasing imported or local cars, with local prices often exceeding those in mainland China by significant margins [4][5][6]. Market Structure Issues - The high prices in Taiwan are attributed to a combination of high taxes, limited local production capabilities, and a lack of competitive pricing due to protective policies that restrict mainland Chinese vehicles from entering the market [23][24]. - The Taiwanese automotive market is characterized by a reliance on imported components, which increases production costs and ultimately leads to higher consumer prices [23][21]. Consumer Sentiment - Taiwanese consumers express frustration over the high prices, with some likening the experience of buying a car in Taiwan to being "robbed" [5][6]. - There is a growing sentiment among consumers that they are missing out on the benefits of lower-priced vehicles available in mainland China due to political barriers [11][24]. Policy and Regulatory Environment - The Taiwanese government has implemented regulations that limit the import of mainland Chinese vehicles, which are seen as a threat to local manufacturers [12][16]. - Recent policies require a certain percentage of local content in vehicles, further complicating the market dynamics and contributing to higher prices [14][23]. Market Trends - Despite the high prices, the market for electric vehicles in Taiwan is growing, with a notable increase in the share of electric vehicles in new car registrations [17][19]. - The market is expected to continue evolving, with projections indicating that electric vehicles could account for 60% of total car sales by 2030 [19][20].