Chinese Carmakers Capture 12.8% of Europe’s EV Market in November

Chinese car manufacturers made significant strides in the European electric vehicle (EV) market, securing a record 12.8% share in November 2024. This increase comes despite the challenges posed by European Union tariffs, reflecting a robust growth trajectory for these brands in the face of competitive pressures.

Chinese brands, particularly those led by BYD Co. and SAIC Motor Corp., have intensified their efforts to penetrate the European market this year. Newer entrants like Chery Automobile Co. and Zhejiang Leapmotor Technology Co. have also joined the fray, pushing the overall market share of Chinese manufacturers in the fast-growing hybrid vehicle sector to over 13% across the EU, EFTA nations, and the UK, according to research from Dataforce.

An oversupply of vehicles in China has driven this export surge, with manufacturers seeking to alleviate pressures from ongoing price wars in their domestic market. Despite facing additional fees imposed by the EU on Chinese-made EVs in late 2024, manufacturers have largely absorbed these costs. They have also strategically focused on segments less impacted by tariffs, such as hybrid models and non-EU markets.

Data from Jato Dynamics indicates that sales for Leapmotor’s EVs in Europe surged by more than 4,000% through October, largely due to a joint venture with Stellantis NV, the parent company of well-known brands including Peugeot, Fiat, and Opel. Similarly, Chery’s Omoda brand reported an impressive 1,100% growth in EV sales over the same period.

As Chinese automakers expand their presence in Europe, local manufacturers are working to keep pace. They are also lobbying for a reconsideration of regulations phasing out traditional fossil fuel-powered vehicles. In response to the competitive landscape, EU officials have put forth a proposal to abandon plans that would ban the sale of new combustion-powered vehicles by 2035. This move aims to safeguard one of Europe’s vital industries amidst a complex energy transition.

The evolving dynamics between Chinese and European automakers will likely continue to shape the landscape of the EV market. With Chinese brands gaining ground and local manufacturers pushing back against regulatory changes, the future of electric mobility in Europe promises to be both competitive and transformative.