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NEV brands gaining ground in Europe

By LI FUSHENG | CHINA DAILY | Updated: 2025-03-12 09:08
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A BYD vehicle on display during an auto expo in Paris, France last year. GAO JING/XINHUA

Chinese car manufacturers are gaining more ground in Europe with their innovative products and long-term market approaches.

Sales of China's largest new energy vehicle maker BYD skyrocketed in the United Kingdom by 550.8 percent to 1,614 units in January, seizing 1.2 percent of the country's overall vehicle market share.

It was the first time that the Warren Buffett-backed carmaker had outsold Tesla on a monthly basis, which saw its sales fall 8 percent to 1,458 in the same month, said the country's Society of Motor Manufacturers and Traders.

BYD's share in the electric vehicle market in Western Europe, including the UK, was 2 percent last year, according to Schmidt Automotive Research.

SAIC's sales across Europe surged by 37 percent year-on-year in January, with its MG brand becoming one of the fastest-growing automakers in the region, according to the European Automobile Manufacturers' Association.

The rise of Chinese carmakers' popularity in Europe is driven by cutting-edge technology and a deep understanding of consumer needs, said analysts.

BYD, for instance, has made waves with its Blade battery, which offers superior safety and energy density compared to conventional EV batteries.

This technology has not only enhanced the performance of its vehicles, but also addressed safety concerns that have long plagued the EV industry.

Similarly, Nio has introduced a battery-as-a-service model, allowing customers to purchase cars without batteries and subscribe to battery-swapping services instead.

This approach has proved particularly appealing in Europe, where cost-conscious consumers are looking for flexible and affordable EV ownership options.

Xpeng is the first Chinese startup to achieve deliveries of over 10,000 vehicles in Europe. CEO He Xiaopeng said the company is bringing its intelligent driving technology to the global market.

"We hope that when overseas car owners first encounter Chinese NEVs, they will be impressed by the 'intelligent and technological leadership' rather than just a monotonous and joyless vehicle," He said.

Europe's push toward electrification has created a fertile ground for Chinese automakers. The European Union's ambitious target to phase out internal combustion engines by 2035 has accelerated the adoption of EVs.

In January, electric vehicles in the EU totaled 124,341 units, accounting for 15 percent of the market, up from 10.9 percent in January 2024, according to statistics from the European Automobile Manufacturers' Association.

Hybrid vehicles surged ahead to nearly 34.9 percent of the market, once again becoming the most popular choice among EU car buyers, said the association.

Chinese automakers have also adopted a localized approach to production and marketing, which allows them to better meet the demands of local customers while alleviating the financial pressure from the EU's extra tariffs on China-made EVs that went into effect in October.

BYD is building a manufacturing facility in Hungary that is set to begin production by the end of 2025.

Stella Li, BYD's executive vice-president, said the company is also bringing other options to Europe like plug-in hybrids, and plans to launch its premium Denza brand in the continent later this year.

MG, a brand with historical ties to the UK, has leveraged its heritage to build trust and recognition. The company's SUVs, such as the MG ZS EV, have ranked among the top-selling models in countries like the UK and Spain.

Chery has also announced plans to start production in Spain, while startup Leapmotor has started production of its electric models in Poland via a joint venture with its European partner Stellantis.

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