In June, Chinese brands made a significant impact on the European electric car market, capturing an 11% share with record registrations. Manufacturers, led by SAIC Motor Corp., rushed to export vehicles like the MG4 hatchback ahead of new EU tariffs effective from July. Data from researcher Dataforce revealed that Chinese brands registered over 23,000 battery-electric vehicles across Europe, marking a 72% increase from May and outpacing the overall market growth. The new EU tariffs, including a 38% fee on SAIC and a 17% increase for BYD, affect all imported EVs, including those from Western manufacturers like Volvo, BMW, and Tesla.

The future of these volume gains remains uncertain as the tariffs take full effect. To circumvent these new duties, carmakers on both continents are accelerating plans to establish European manufacturing. Meanwhile, state-owned SAIC has adopted aggressive tactics, such as self-registrations and generous leasing deals, including a two-for-one promotion in Germany. On the other hand, BYD Co. showed signs of sustainable growth, boosted by a marketing campaign tied to the Euro 2024 football tournament in Germany. Italy also saw a surge in EV sales due to new incentives, positioning the country among the top six markets in the region.