Chinese NEVs Make Strides in European Market, Surpassing Tesla in Registrations

In April 2025, BYD overtook Tesla in monthly EV registrations in Europe, marking a pivotal moment for Chinese automakers. Despite high tariffs, registrations of Chinese-made vehicles still rose significantly. With continued expansion into global markets and manufacturing advancements, the future of Chinese NEVs looks bright.

In a significant development for the electric vehicle market, Chinese automaker BYD has outperformed Tesla in monthly registrations for pure electric vehicles in Europe, marking a historic first. In April 2025, BYD’s registrations surged 169% compared to the previous year. Meanwhile, Tesla reported a staggering 49% decline. This milestone, although BYD still ranks tenth overall in the region, is seen as proof that Chinese new energy vehicle manufacturers are changing the European auto landscape.

Tesla has long dominated the European EV market, having established itself over a decade ago as the leading foreign brand in this space. However, despite Tesla’s stronghold, Chinese brands have steadily gained traction, evolving into a significant force within Europe’s automotive sector with their comprehensive industry infrastructure that includes everything from manufacturing to smart driving technologies.

Recent data from Jato Dynamics indicates that even with the high tariffs imposed by the European Union, electric vehicle registrations from Chinese manufacturers increased by 59% year-on-year, reaching approximately 15,300 units in April. This growth outpaces the more modest 26% growth of carmakers from Europe, Japan, Korea, and the United States.

The China Association of Automobile Manufacturers reveals that in the first four months of 2025, China produced and sold over 10 million vehicles for the first time, with NEVs accounting for 642,000 of those units and showing a 52.6% year-on-year increase in exports. This is a clear indication of the burgeoning strength of Chinese car brands on the global stage.

This year, the global ambitions of Chinese automakers have ramped up significantly. BYD has moved into the Swiss market, Xpeng has expanded to Bahrain, and IM Motors has made its debut in Australia. Further demonstrating their commitment, companies like Chery and SAIC are investing in their logistics by establishing their own maritime fleets.

In addition to expanding their presence, Chinese manufacturers are concurrently advancing their international supply chains. Notably, Contemporary Amperex Technology Co. Limited (CATL) is investing $1.2 billion in a battery factory to be established in Indonesia. Meanwhile, BYD is preparing to initiate production at its first European plant located in Hungary, and Great Wall Motors is accelerating the construction of a localized digital plant in Brazil.

With the steady progress of overseas production facilities, better control over shipping logistics, and a gradual easing of global trade tensions, the outlook for Chinese auto exports appears quite promising. The landscape of global automobile manufacturing and marketing might soon look very different as these advancements create new opportunities for growth within the industry.

In summary, Chinese automakers are taking significant steps in the European electric vehicle market, with BYD recently surpassing Tesla in monthly registrations for the first time. The expansion of Chinese car brands into overseas markets and the establishment of production facilities are key factors in their growth. The positive sales trends and strategic investments signal that China’s NEV manufacturers are poised for greater success in the global automotive industry.

Original Source: www.ecns.cn