Taiwan's new-car market is cooling, with Hotai Motor and Nan Yang Industrial both taking a cautious view of the second half of 2026. The companies cited geopolitical uncertainty, volatile international oil prices, tariff concerns and softer consumer sentiment in revising their outlook for the market.
Taiwan-based Iron Force Industrial is reshaping its manufacturing footprint as pressure on its traditional auto-parts business weighs on earnings. The company plans to expand its Poland plant and shift some airbag production from Taiwan, while AI server-related components, now contributing only marginal revenue, are expected to enter mass production in 2027.
Germany's top auto industry lobby, the German Association of the Automotive Industry (VDA), is overhauling its strategy as it hardens its stance on China. The group has said China must put forward constructive proposals, quickly stop distorting competition, and avoid using export restrictions on technologies and materials to hinder free-world trade.
European automakers have been increasing collaboration with their Chinese counterparts in recent years, as they seek to break through the vicious cycle of weak demand, rising costs, and low capacity utilization, as well as difficulties in their transition to electric vehicles (EVs). However, the fact that Europe is utilizing subsidies and collaborative efforts to expand production with Chinese carmakers while confronting overcapacity issues on its home turf is, in the eyes of the US, an absurd situation, and Washington has not ruled out the possibility of further tariffs or import restrictions on European cars.
The US International Trade Commission (USITC) has opened a trade investigation into certain cylindrical batteries and related products. This case could affect battery supply chains spanning Asia, Europe, and North America. The move adds uncertainty for manufacturers, automakers, and consumers worldwide who depend on imported energy-storage components.
Autonomous driving technology is maturing, and a future in which cars entirely drive themselves is quickly approaching in the rearview mirror. Yet safety and trust remain crucial barriers to overcome before fully autonomous driving becomes a reality, and a key part of this is the "eyes" of the car.
China has introduced the world's first national standards for automotive solid-state batteries, setting off market speculation that most of the country's more than 320 players may ultimately fail to meet the new bar. The rules tighten definitions, safety testing, and mass-production expectations, shifting competition from concept claims to engineering proof and industrial readiness.
A new collaboration between TIER IV and Renesas could shape how self-driving and software-defined vehicles are built worldwide, as automakers seek more flexible platforms for AI-driven features. The effort aims to combine open-source software, advanced chips, and scalable tools that may accelerate safer mobility across markets from Asia to Europe to North America.
As subsidies for China's new energy vehicle market gradually wind down and automaker margins continue to narrow, Beijing is shifting policy support toward embodied AI and humanoid robotics. That change is encouraging Chinese automakers to redeploy technologies originally developed for smart EVs and accelerate their push into humanoid robots.
Samsung Electronics and Hyundai Motor Group have widened their partnership across electric vehicle batteries, software-defined vehicles, and robotics. Genesis' upcoming GV90 is expected to use Samsung SDI's square batteries. According to News1, the large electric SUV is scheduled to launch in September, extending Samsung SDI's role in Hyundai Motor Group's supply chain beyond the Hyundai IONIQ 3 and Kia EV2.
Major European and US companies and Taiwan-based IC design firms are seeing a notable recovery in automotive chip demand so far in 2026, spanning smart cockpit platforms, advanced driver-assistance systems (ADAS), analog ICs, display driver ICs (DDIs), Ethernet chips, camera-sensing chips, audio chips and interface chips.
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