Chinese EVs Hit Record Share in Europe, Prompting Tariff Debate

Chinese manufacturers such as BYD, Chery, SAIC and Xpeng have driven electric-car sales in Western Europe to a historic 14.2% share, equating to one BEV in seven, during the first five months of the year, according to Schmidt Automotive Research. The 171,800 units sold represent a near-five-point jump from the same period last year, even though the EU imposes extra tariffs of up to 35.3% on certain Chinese models in addition to a standard 10% duty.

The United Kingdom, which has not adopted the EU’s additional levies, contributed a quarter of all Chinese BEV sales, while Italy accounted for a fifth, largely due to Leapmotor’s low-priced T03 benefiting from local purchase subsidies. Over 120 Chinese models are now on European roads, outnumbering the roughly 100 offered by European brands. Schmidt predicts the BEV surge may plateau as Chinese firms pivot to plug-in hybrids, which currently avoid the extra tariffs, though the EU is reportedly considering extending duties to those vehicles as well. Volkswagen chief Oliver Blume has urged a policy shift, arguing European hybrids cannot compete with Chinese equivalents, while Tesla saw a 60% year-on-year sales rebound, led by its Model Y.