Chinese car brands overtake Japanese brands in Europe for the first time: 12.7% vs 11.9%

For the first time over a full quarter, Chinese car brands outsold Japanese brands in Europe. Figures from the market researcher Dataforce, first reported by Bloomberg on 26 October, show Chinese brands took 12.7% of new-car registrations across the EU, EFTA and the UK from July to September. Japanese brands, Toyota included, took 11.9%.

The key figures

• Chinese-brand registrations roughly doubled on a year earlier (reported).
• September alone was a record 14.5% share, almost three points up on August (reported).
• Five years ago Chinese brands had about 1% of the European market.
• Dataforce's "Chinese" group includes brands such as Polestar, DR, Evo, Chery's Ebro joint venture and Stellantis's Leapmotor venture. That makes it a broader group than BYD, MG and Chery alone.

Hybrids, not just EVs

Much of the growth has come from plug-in and regular hybrids, which aren't covered by the EU's anti-subsidy tariffs on China-built EVs. Models built for Europe, like BYD's Dolphin G DM-i plug-in hybrid, are aimed straight at that gap. Chery's Jaecoo 7 SUV was the UK's best-selling model in March and September (reported). Chinese customs data shows hybrid exports to the EU tripled in September, up 204% to about 100,000 (reported). That rush came ahead of an agreed cap of 350,000 China-made hybrids a year, which starts on 1 December (reported).

Building cars in Europe

Chinese makers are also building cars inside Europe, which gets them around tariffs and "Made in Europe" incentives. BYD's factory in Szeged, Hungary, and Chery's venture with Ebro in Spain are the best-known examples.

Why it matters in Australia

Australia got there first. Chinese brands such as BYD, MG, GWM and Chery are already among the best sellers here, and with no tariff barriers, Australian buyers see the same hybrid-and-EV push without the trade fight. What Europe's numbers tell us is that the shift isn't a local quirk. The same brands are taking share from established Japanese makers in two very different markets.