In a recent podcast appearance, Uber CEO Dara Khosrowshahi offered a candid assessment of the global electric vehicle (EV) market, highlighting China’s commanding lead. Speaking on the “People by WTF” podcast, Khosrowshahi described Chinese EV models as “unbelievable,” praising their advanced features, affordability, and rapid innovation. As the head of a company deeply invested in ride-hailing, where EVs are increasingly central to operations, his comments underscore a broader shift in the automotive industry.

Khosrowshahi, who owns a Tesla and expresses admiration for Elon Musk’s company, pointed out that Chinese manufacturers like BYD and Nio are outpacing Western rivals through aggressive scaling and technological prowess. He noted how these firms benefit from a massive domestic market, government support, and supply-chain efficiencies that allow them to produce high-quality vehicles at lower costs.

China’s Supply-Chain Mastery and Its Impact on Global EV Adoption

This dominance isn’t accidental. According to insights shared in a Business Insider article detailing Khosrowshahi’s remarks, China’s EV sector has flourished due to integrated vertical supply chains, where companies control everything from battery production to software development. This integration enables faster iteration and cost reductions, making Chinese EVs not only cheaper but also more feature-rich than many competitors.

For Uber, which aims to transition its fleet to electric by 2030 in key markets, this presents both opportunities and challenges. Khosrowshahi emphasized that affordable Chinese EVs could accelerate global adoption, helping combat climate change—a point he reiterated in a prior BBC interview, as reported by Business Insider in October 2024. Yet, tariffs and trade barriers in the U.S. and Europe complicate access to these vehicles.

The Role of Innovation and Market Scale in China’s EV Surge

Delving deeper, Khosrowshahi’s praise aligns with industry data showing China’s EV sales surpassing 9 million units in 2024, dwarfing U.S. figures. Posts on X (formerly Twitter) from analysts like S.L. Kanthan highlight how firms like BYD produce nearly all components in-house, reducing dependencies and enabling breakthroughs like ultra-fast charging. This self-sufficiency contrasts with Western automakers’ reliance on fragmented suppliers, often leading to higher prices and slower rollouts.

Moreover, China’s government policies, including subsidies and infrastructure investments, have created a fertile environment for EV growth. Khosrowshahi noted that while Tesla remains a leader in premium segments, Chinese brands are democratizing access with models under $20,000 that rival luxury offerings in range and tech.

Implications for Ride-Hailing Giants Like Uber

For industry insiders, Khosrowshahi’s views signal a pivotal moment. Uber’s push into EVs, including partnerships with manufacturers, could increasingly favor Chinese imports if barriers ease. As detailed in Economic Times coverage of Khosrowshahi’s recent comments on Indian markets, where he identified local rivals like Rapido, global strategies must adapt to China’s influence.

However, geopolitical tensions add layers of complexity. U.S. tariffs on Chinese EVs, now at 100%, aim to protect domestic players but may hinder affordability, Khosrowshahi argued. Fortune’s ranking of him among the most powerful business leaders in 2025 underscores his influence in advocating for open markets to speed electrification.

Looking Ahead: Challenges and Opportunities in a China-Led EV World

Critics, including some X users like Gary Black, warn that underestimating China’s advances echoes past dismissals of Tesla’s rise. Yet, Khosrowshahi remains optimistic, suggesting collaboration could bridge gaps. As EVs become integral to mobility services, China’s lead—fueled by innovation, scale, and policy—positions it as the pacesetter, forcing Western firms to innovate or partner up.

In essence, Khosrowshahi’s insights reveal a market where China’s “unbelievable” EVs are not just winning races but redefining them, urging global players to accelerate or risk being left behind.