Sales of Chinese-made hybrid cars in the European Union have seen a dramatic increase, prompting concerns among EU officials over the competitiveness of local car manufacturers. In the first seven months of 2026, sales of fully hybrid vehicles originating from China surged to 160,662 units, a significant leap from just 659 in 2022. Similarly, plug-in hybrid sales increased from 56,706 units in 2022 to 217,764 over the same period this year.
This rapid growth follows the EU’s 2024 decision to impose anti-subsidy tariffs on Chinese electric vehicles, a measure that did not cover hybrid models. Consequently, Chinese hybrid vehicles have gained a stronger foothold in the EU market, intensifying competition with European automakers. In response, the European Commission has requested China to voluntarily limit its hybrid exports to the region. Should negotiations not yield an agreement, the EU is considering implementing safeguard measures, which could include quotas.
Chinese automakers such as BYD, Chery, and Leapmotor are making noticeable inroads in the European market, with Geely leading as the largest Chinese automotive group in the region. BYD has reported sales of approximately 177,000 vehicles in the EU, with a notable year-on-year increase, while Geely recorded sales of about 205,000 vehicles in the first eight months of 2026. Despite this surge, European manufacturers continue to hold the largest overall market share.
The increasing presence of Chinese hybrids comes as hybrid vehicles now account for nearly 37% of the European car market, compared to over 21% for fully electric vehicles. This trend underscores the shifting dynamics within the European automotive industry as it grapples with trade imbalances with China and seeks to protect its local industry.