New data indicates a substantial increase in sales of Chinese hybrid cars within the EU over the last four and a half years. This surge is prompting growing concerns in Brussels regarding the long-term prospects for the European car industry.
In 2022, only 659 Chinese-made fully hybrid cars were sold in the EU. However, following the imposition of anti-subsidy tariffs on fully electric cars from China in 2024, sales of hybrids have climbed to 160,662 in the first seven months of this year.
Eurostat figures also show a rise in sales of Chinese-made plug-in hybrid vehicles, from 56,706 in 2022 to 217,764 between January and July this year. The volume of Chinese hybrids on EU roads is now causing apprehension within the car industry and Brussels, which has requested China to voluntarily reduce its hybrid exports to the EU or potentially face safeguards such as quotas.
According to new figures from the European Automobile Manufacturers’ Association (ACEA), hybrid cars now constitute almost 37% of the total market, with electric cars making up just over 21%. Three Chinese manufacturers – BYD, Chery, and Leapmotor – have shown significant triple-digit growth in the EU. Geely, which includes Volvo and Polestar brands, remains the most popular Chinese brand, selling 205,000 cars in the first eight months of the year, with an 8% increase.
BYD is reportedly catching up with Geely, with sales up 163% year-on-year to 177,000 units. Both BYD and Geely, along with SAIC, are now ahead of Tesla, which sold 142,000 cars across the bloc in the first seven months of the year. European manufacturers, such as the Volkswagen group, continue to dominate, selling 2 million cars in the first eight months of the year.
Earlier this month, European Commission president Ursula von der Leyen described the EU's trade deficit with China, now at €1.18 billion a day, as having reached an unsustainable "tipping point."