Chinese EV Makers Gain Foothold in Europe Amid Domestic Overcapacity
Chinese automakers are carving out a significant presence in Europe's electric vehicle market, capturing nearly 13% of sales despite recent EU tariffs. BYD and SAIC Motor lead the charge, with newer entrants like Chery and Leapmotor accelerating their push into the region.
The expansion comes as Chinese manufacturers face brutal price wars at home, forcing them to seek growth abroad. BYD's European strategy includes local production in Hungary, with test runs scheduled for early 2026. The company is also establishing facilities in Brazil and Turkey, while leveraging its Thai plant for European exports.
'Building local production is crucial for brand trust,' says BYD's Stella Li, acknowledging higher initial costs in Hungary compared to Chinese factories. The MOVE positions BYD ahead of the next wave of Chinese competitors eyeing the European market.
