Taiwan-based microcontroller supplier Nuvoton Technology warned on August 5 that global auto market dynamics remain volatile, with the impact of China's low-cost electric vehicles (EVs) rippling far beyond its borders and reshaping global supply chains.
In a move that has reignited Taiwan's automotive and geopolitical debate, Chinese automaker BYD is reportedly seeking to enter the Taiwanese market by introducing its luxury EV brand Denza through a third-party distributor, Hong Kong-based Swire Motors. The revelation, first reported on August 5, comes weeks after earlier speculation that BYD might circumvent existing trade barriers via a third-country route.
Since early 2025, Taiwan's real estate and auto markets have been sluggish, with car sales in a prolonged downturn. Though the government once set ambitious electric vehicle (EV) adoption targets under its 2050 net-zero carbon roadmap—including EVs accounting for 10% of all new car sales and 20% of motorcycles by 2025—those goals have since been quietly softened. As of 2024, Taiwan has fallen significantly short: EVs represented just 8.3% of new car sales and electric scooters 10.5%.
