China-made electric vehicle models are getting close to claiming one-fifth of the entire segment in Europe as of May 2024, according to Jato Dynamics’ recent report.
The increasing dominance of Chinese electric automakers continues to pressure the EU to impose higher import tariffs to protect its local industry and players.
Plug-in car sales – May 2024
The plug-in electric car segment in 28 monitored European markets reportedly declined approximately 9.5% year over year to 226,665 units in May 2024.
Battery-electric cars and plug-in hybrids also slipped 11% and 7%, respectively.
Presented below are the plug-in car registrations in Europe in May 2024 in 28 select markets:
| Type | May 2024 Registrations | YoY Change | Market Share |
| BEVs | 151,237 | -11.0 | – |
| PHEVs | 75,428 | -7.0 | – |
| Total | 226,665 | -9.5 | 20.8% |
For reference, Europe’s overall car registrations also decreased by 2.5% YoY to 1,087,699 units. This figure is higher than it was two and three years ago. However, the market struggled to fully recover from the pre-pandemic size and stayed at 75-80%.
“Since the global pandemic, the European car market has only recovered to 75%-80% of its original size. As a result, many factories across Europe are not operating at full capacity, giving Chinese OEMs a unique opportunity to sell across Europe while avoiding tariffs. This negative result comes as a result of high BEV and PHEV prices – with these cars still unaffordable for the masses.”
Felipe Munoz, Global Analyst at JATO Dynamics
Surging demand for affordable EVs paves way for Chinese brands
New electric vehicles remain expensive in the European market. Even more, some countries in the bloc only offer limited incentives to support electric vehicle adoption, while others have already withdrawn their incentives for customers.
This situation prompts European customers to turn to low-cost Chinese EVs. According to the report, China-made BEV registrations increased by 25% YoY to almost 28,000 units in May 2024. This figure enabled Chinese models to account for 18.5% of the market, indicating a notable increase from just 13.2% from the previous year.
While overall European EV sales dropped 11% YoY, Chinese-made EVs managed to hit a significant 25% increase. This trend highlights the rapid expansion of Chinese brands in the European market, putting pressure on non-Chinese players whose registrations fell a steeper 16% YoY.
Top-selling plug-in car models
Presented below are the top-selling battery-electric and plug-in hybrid cars in 28 monitored European markets in May 2024:
| Rank | Car Model | PHEV Registrations (May 2024) | YoY Change | Rank | BEV Model | May-23 Sales | YoY Change |
| 1 | Volvo XC60 | 5,457 | +42% | 1 | Tesla Model Y | 11,662 | -46% |
| 2 | BMW X1 | 3,079 | +29% | 2 | Tesla Model 3 | 7,754 | +25% |
| 3 | Cupra Formentor | 3,020 | +88% | 3 | Volvo EX30 | 7,554 | New Model |
| 4 | Ford Kuga | 2,676 | -43% | 4 | Volkswagen ID.4 | 6,186 | -28% |
| 5 | Hyundai Tucson | 2,514 | +5% | 5 | Volkswagen ID.3 | 5,669 | +2% |
| 6 | Mercedes GLC | 2,432 | +6% | 6 | Skoda Enyaq | 5,048 | +2% |
| 7 | BMW Series 3 | 2,237 | +15% | 7 | MG4 | 5,034 | -20% |
| 8 | Audi A3 | 2,184 | +141% | 8 | Audi Q4 | 4,747 | +17% |
| 9 | Volvo XC90 | 2,160 | +56% | 9 | BMW iX1 | 4,568 | +12% |
| 10 | Mercedes E-Class | 1,705 | +382% | 10 | BMW i4 | 3,896 | -14% |
| Total | 75,428 | -7% | Total | 151,237 | -11% |
European carmakers are increasingly feeling the pressure from their Chinese rivals. Sales are slumping, and affordable electric vehicles from China are capturing a growing market share. This trend is seen as a worrying sign, potentially justifying the recently announced import tariffs on Chinese EV imports.
However, developing competitive domestic EVs remains crucial for local players to remain competitive in the highly competitive market.
