Why is the domestic Chinese passenger vehicle market so fiercely competitive compared to Western markets?

China's passenger vehicle market is uniquely intense, featuring sixty to seventy competitive domestic automotive brands that launched over 580 new models in the first half of this year alone. Chinese consumers expect continuous software updates, smart cockpit features, automated parking, and advanced navigation assistance. Local engineering teams work with an incredible sense of urgency, shrinking vehicle development cycles down to two years compared to the traditional five-year cycles common in Europe.