With a flood of new car launches, competition is inevitable. However, it was unexpected that two Japanese automakers, GAC Toyota and Dongfeng Honda, would hold their respective launch events for new all-electric SUVs on the same day, with results as stark as fire and ice.

GAC Toyota's bZ3X has taken the market by storm. As a Japanese-brand intelligent electric vehicle priced around 100,000 yuan, with a 140,000 yuan variant featuring LiDAR and advanced autonomous driving capabilities, it garnered over 10,000 orders within just one hour of its launch—a level of success rarely seen among joint venture automakers in recent years.

In contrast, Dongfeng Honda's S7, equipped with Honda's top-tier electric and intelligent technology, is positioned as a premium all-electric SUV with a starting price of 259,900 yuan. While it offers a Type-C interface as an optional feature, it lacks an advanced autonomous driving system. As suggested by its "Ye" branding, Dongfeng Honda seems to be playing with fire.

Had the launches not occurred on the same day, the differing approaches of bZ3X and Ye S7 in understanding the Chinese market might not have been so glaring. Yet, GAC Toyota and Dongfeng Honda simultaneously showcased their distinct responses to the new demands of the Chinese market.

By leveraging Toyota's technology and integrating it with China's electric and intelligent ecosystem, GAC Toyota has created a mainstream intelligent electric vehicle for the Chinese market. The bZ3X has become a flagship model representing the electrification and intelligent transformation of joint venture automakers. GAC Toyota has not only developed a phenomenal vehicle but also hosted an unprecedented launch event for a joint venture brand.

Comedians Hu Lan and Xu Zhisheng used stand-up comedy to critique joint venture automakers' long-standing neglect of the Chinese market, while humorously highlighting the strengths of GAC Toyota and the bZ3X. But that wasn't all.

Four top executives from both the Chinese and Japanese sides of GAC Toyota took the stage together. From the Japanese general manager's greeting in Chinese to the bilingual comedic performance by two deputy general managers, the event showcased a joint venture with an independent personality and a unique soul—far from the typical 50:50 equity partnership between foreign and Chinese entities.

As demonstrated by the bZ3X's advanced product capabilities, GAC Toyota's technology and quality remain true to Toyota's global leadership. However, the brand has now become more playful, more interesting, and more dynamic.

The current GAC Toyota evokes memories of Dongfeng Nissan's once-dominant position in the Chinese market, with the entire company united in creating vehicles that truly meet the needs of Chinese consumers.

On the same evening, Dongfeng Honda's event, which was supposed to be a substantive showcase of electric and intelligent technology alongside a new model launch, went awry. In today's Chinese automotive market, the brand and technological advantages of multinational automakers are no longer absolute, and integration is now more critical than ever.

It's unclear who planned Dongfeng Honda's S7 launch event, but by starting with criticisms of the inevitable challenges in China's new energy vehicle development and referencing the fading myth of the CR-V, Dongfeng Honda set itself off on the wrong foot.

The core of the S7 launch revolved around a Dongfeng Honda executive single-handedly presenting "cutting-edge" technologies from a PowerPoint. While these technologies may indeed represent Honda's—and even the industry's—top-tier capabilities, the rise of domestic brands has narrowed the gap in the Chinese market. Perhaps only Dongfeng Honda believes its top-tier technology can surpass domestic brands that have been leading for years.

The situation is reminiscent of Dongfeng Nissan's struggles with the three-cylinder engine in the X-Trail, where the automaker believed its massive R&D investment could overturn the long-standing failures of three-cylinder engines in the market.

It's unclear how Honda and Dongfeng Honda perceive the brand's current standing in the Chinese market or whether they recognize the urgent need for change. However, Dongfeng Honda's insistence on using the name "Dongfeng Honda" suggests its path forward will not be easy.

From the muted launch of the Lingxi L to the rebranding of the Ye S7 as the Dongfeng Honda S7, and now this lackluster event, Dongfeng Honda appears to be playing with fire—and the consequences could be more severe than imagined.

Of course, the bZ3X and Dongfeng Honda S7 target different market segments. Both must contend with the first-mover advantage of domestic brands and the challenges posed by Chinese consumers' preconceptions—issues that all joint venture automakers must collectively address.

The messages conveyed by GAC Toyota and Dongfeng Honda through their two all-electric SUVs and launch events offer valuable lessons for upcoming joint venture new energy vehicles, such as the FAW Toyota bZ3C, GAC Honda P7, and Dongfeng Nissan N7.

For joint venture automakers, a car is just a car, and there are many compromises to be made. However, a car should not be merely a car. From the content and format of launch events to vehicle configurations and pricing, there is much that can and should be improved.

Fixed pricing and direct sales models have already revolutionized the joint venture fuel vehicle market. Joint venture new energy vehicles must not repeat the same mistakes.

Chinese consumers have access to the world's most diverse and advanced intelligent electric vehicles. Rather than stubbornly competing with domestic brands, joint venture automakers, which have only recently begun to fully commit, should integrate themselves into China's intelligent automotive ecosystem. They don't need to be the sole leader but can aim to be among the top.

We believe joint venture automakers, with their longer R&D, testing, and manufacturing cycles, deliver higher product quality in terms of stability, durability, and safety. However, while domestic brands still have shortcomings, they are no longer far behind. Joint venture automakers' leaders should stop challenging the collective perception of Chinese car consumers.

Quality is the foundation of a car, but it cannot be fully conveyed through a single launch event. Only when users experience it firsthand can they truly appreciate it. Therefore, more engaging car features, higher value-for-money configurations, more entertaining launch events, and more comprehensive services are the keys to thriving in China's fiercely competitive market.

Although Toyota lags behind other multinational automakers in the new energy market, it has a famous saying: "Only when it becomes widespread does it hold meaning." For new technologies and products, only when users adopt them do they truly matter.

For joint venture automakers, past glories should not be flaunted but rather serve as foundational strengths. Acknowledging the unstoppable rise of domestic brands and their leading advantages in intelligent electric vehicles may be the best way to start anew.

China's new energy vehicle industry loves to play with fire but also fears getting burned. Since Dongfeng Honda's S7 has downplayed the "Ye" branding, it should stop playing with fire. After all, GAC Toyota, without playing with fire, has already made the bZ3X a smash hit.

We look forward to seeing more exciting models from GAC Toyota and blockbuster sales of the bZ3X by 2025. Joint venture new energy vehicles still have great potential, but success won't come easily. It requires a mindset of surviving against all odds and the agility to match the Xiaomi SU7 Ultra's 1.98-second 0-100 km/h acceleration.