Invasion in Europe? No, Chinese electric cars struggle

In 2024 the numbers are down for the first time: blame not only on the general crisis, but also on duties

Photo by: Nio

By: Francesco Barontini

Feb 4, 2025 at 3:24am ET

Comment

China saw a huge opportunity to break into Western markets with its electric cars. But five years into its expansion plan, how successful has it been?

Looking at the data, manufacturers in the dragon country initially posted good numbers, experiencing a period of strong growth from 2020 to 2022. But then, due to the market slowdown first and the tariffs later, they faced less brilliant years. In fact, by 2024 there was even a decline for some brands.

China at 8.5%

Overall, Chinese producers have gained a share of 8.5% in Europe (including the UK and EFTA). However, in recent months they have underperformed due to barriers to entry, with less than 8% in November and barely better in December at 8.2%.

According to analysts Dataforce, MG ended the year down 3.5% on the previous year. This is the first time the SAIC brand has finished in the red since its debut. And it is a sign that the Chinese electric car market is stagnating.

La BYD Atto 3, best seller del brand cinese in Europa

In the specific case of MG, the tariffs imposed by the European Union are as high as 45%. It is normal for there to be negative repercussions. MG has lost the sceptre of the best-selling Chinese electric car on the Old Continent to BYD, on which tariffs are 17% higher than the 'normal' 10%.

Duties also affect European manufacturers

However, the tariffs do not only affect Chinese manufacturers. Tesla and BMW, which manufacture in China, have also been hit by the EU's protectionist measures. So in a way, even those who should be protected are actually subject to the tariffs.

What do you think?

View

Comments

And that is not all. Chinese manufacturers are very competitive on price, while European manufacturers find it difficult to absorb the increases imposed and are forced to offer more expensive price lists, which has a negative impact on sales. This is why they are pushing for a new balance between Brussels and Beijing.

Meanwhile, looking to the near future, Chinese manufacturers, like their European counterparts, will continue to launch new models and new brands (Nio, for example, has the Firefly on the way) to convince more and more motorists to switch to zero emissions.