China’s Car Surge Echoes Britain’s 1970s Auto Crisis

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The rapid gain in market share by Chinese automakers in the UK—rising from 5% in 2024 to 8% in 2025—has stirred familiar anxieties. Calls for trade restrictions against China’s car industry echo a historical pattern: namely, the surge of Japanese auto imports that triggered panic in Britain during the 1970s.

The Parallel: Then and Now

In August 1973, Japanese cars had already captured a record 32% of the UK market, totaling 328,000 units (62,000 of which were from Japan). This success at the expense of British manufacturers led Lord Donald Stokes, then head of British Leyland, to demand outright bans on foreign cars, TVs, electronics, and even washing machines. Stokes argued that Britain needed time to recover economically without competition, famously stating the nation was being “plucked like a goose.”

Industry Backlash

The response from Japanese automakers was swift and dismissive. Nissan (then Datsun UK) called Stokes’ remarks “economically senseless” and accused him of relying on “sweeping statements” rather than facts. The company argued that a trading nation like Britain could not realistically ban imports, particularly when its own industry was struggling to compete.

Why This Matters

This historical parallel highlights a recurring dynamic in global trade: domestic industries facing disruption often react with protectionist calls. The key difference today is the scale of China’s automotive industry, which dwarfs that of 1970s Japan. If China maintains its current growth trajectory, the pressure for trade barriers could intensify, potentially leading to similar debates over economic self-reliance versus open markets.

The situation raises questions about whether Western economies can adapt to China’s industrial dominance without resorting to restrictive measures. The historical record suggests that outright bans are unlikely to succeed, but the underlying tensions between competition and protectionism remain unresolved.