Sales of Chinese-made hybrid vehicles have soared in the European Union, intensifying the competitive landscape for local automakers. From January to July 2026, sales of fully hybrid cars manufactured in China rocketed to 160,662 units, a dramatic increase from just 659 units in 2022. Similarly, plug-in hybrid sales climbed to 217,764 units from 56,706 over the same period.
This surge follows the European Union’s imposition of anti-subsidy tariffs on Chinese electric vehicles in 2024, which did not extend to hybrid models. Consequently, Chinese hybrid cars have expanded their footprint in the European market, prompting the European Commission to request that China voluntarily limit its hybrid vehicle exports to the EU. Should negotiations fail, the EU is considering safeguard measures, including potential quotas.
Chinese automakers are rapidly gaining market share, with BYD, Chery, and Leapmotor experiencing notable growth. Geely remains the largest Chinese automotive group in the EU, having sold approximately 205,000 vehicles in the first eight months of 2026. BYD followed closely with sales reaching around 177,000 units. Despite these gains, European manufacturers still hold the largest overall market share.
Hybrid vehicles now represent nearly 37% of the European car market, surpassing the share of fully electric vehicles, which stands at just over 21%. As the EU grapples with a growing trade imbalance with China, these developments underscore the ongoing challenge of maintaining the competitiveness of Europe’s automotive industry.