Sales of Chinese-made hybrid vehicles are increasing rapidly in the EU, protection measures are on the agenda

Data reveals that sales of Chinese-made hybrid vehicles within the EU have increased rapidly in the last four and a half years. Concerns about the future of the European automotive industry are growing in Brussels.

Only 659 full hybrid vehicles of Chinese origin were sold throughout the Union in 2022. After Brussels imposed a compensatory tax on fully electric vehicles imported from China in 2024, sales of hybrid vehicles reached 160 thousand 662 units in the first seven months of this year.

Eurostat data shows a similar increase in sales of rechargeable hybrid (plug-in) vehicles, which can be charged with both a fuel engine and an external power source.

Chinese-made vehicle sales in this category increased from 56 thousand 706 in 2022 to 217 thousand 764 units in the January-July period of this year.

The volume of Chinese hybrid vehicles on the roads prompted automotive manufacturers and Brussels to take action.

The union administration requested Beijing to voluntarily cut hybrid vehicle exports; Otherwise, he stated that protection measures, especially quotas, will be implemented.

The German automotive industry has signaled for the first time that it is ready to consider the imposition of special customs duties on Chinese-made hybrid vehicles.

The German Automotive Industry Association (VDA) called on the European Commission to carry out a comprehensive assessment of the effects of all possible safeguard measures, including quotas, floor prices and tariffs.

The VDA statement included the following statements:

"The EU must have up-to-date and effective trade defense tools. When unfair competition is proven, the use of trade defense tools compatible with World Trade Organization rules should be evaluated. These tools are legitimate and proven methods to ensure level playing field and protect fair competition conditions."

According to data from the European Automobile Manufacturers Association (ACEA), hybrid vehicles make up approximately 37 percent of the total market, and fully electric cars make up more than 21 percent of the market.

ACEA data shows that three Chinese manufacturers (BYD, Chery and Leapmotor) together achieved triple-digit growth rates. The fourth company, Geely, maintains its position as the best-selling Chinese brand in the market with a steady increase of 8 percent in the first eight months of the year.

Geely sold 205 thousand vehicles in the first eight months. The company includes Sweden-based Volvo and Polestar, the EU's only fully electric vehicle manufacturer.

BYD, which increased its sales by 163 percent on an annual basis to 177 thousand, is closing the gap with Geely. Both manufacturers and another Chinese company, SAIC, surpassed Elon Musk's Tesla company, which sold 142 thousand vehicles across the EU in the first seven months of the year.

European manufacturers maintain their dominance in the market. Volkswagen group sold 2 million vehicles in the first eight months of the year.

The electric vehicle market is accelerating its growth in some countries of the continent.

In August, electric car sales increased by 75 percent to 69 thousand in Germany, by 112 percent in France, and by 266 percent in Slovenia.

In the same period, sales in the UK increased by 27 percent to 28 thousand, and in Ireland it increased by only 7 percent to 2 thousand 200.