Chinese automakers reached a record 11.7% share of Europe's new-car market in August, with BYD overtaking MG as the region's best-selling Chinese brand, according to data compiled by Gasgoo and republished by Chinese outlet D1EV. The milestone came as electrified powertrains - battery-electric (BEV), plug-in hybrid (PHEV) and conventional hybrid - together accounted for more than half of European registrations for the first time.
European new-car registrations rose 4.6% year on year to about 835,000 units in August. BEV sales jumped 52% to 245,120 units, lifting their market share from 20% a year earlier to 29%, meaning roughly one in three new cars sold in Europe was fully electric. PHEV sales grew 13% to 94,664 units and conventional hybrids rose 8.4% to 108,507 units. Combined, the three electrified categories crossed the 50% threshold for the first time. Petrol sales fell 14% and diesel dropped 20%.
For the January-August period, European new-car sales rose 5.6% to 9.22 million units, with BEVs up 38% to 2.14 million units and a 23% share, up from 18%. Non-electrified powertrains fell to a combined 50% share, down from 58% a year earlier. High fuel prices and tightening emissions rules are driving the shift, D1EV said.
BYD, Chery leapfrog MG
Chinese brands sold 97,639 vehicles in Europe in August, up 111% year on year, taking their market share to an all-time high of 11.7%. BYD led with 26,103 registrations, up 131%, followed by Chery Group - including Chery, Jaecoo, Omoda and Jetour - with 24,332 units, up 210%. SAIC, owner of MG, slipped to third with 21,132 units, up 32%. MG had been Europe's best-selling Chinese brand since entering the market in 2011, but that position changed hands for the first time this year. BYD and Chery together contributed about 60% of the 51,296-unit increase in Chinese-brand sales in August.
In the cumulative January-August ranking, BYD leads with 232,600 units (up 144%), followed by MG with 229,638 units (up 20%) and Chery with 226,534 units (up 274%). Geely Group - including Polestar, Lynk & Co, Zeekr and Lotus - sold 8,237 units in August, up 114%, while Leapmotor, which has a joint venture with Stellantis, sold 7,628 units, up 222%. Leapmotor's growth has slowed since Italy's scrappage incentive scheme expired at the end of June, D1EV noted.
PHEVs surge on tariff gap
Plug-in hybrids were a major driver of Chinese-brand growth. Chinese PHEV sales in Europe rose about 200% year on year to 33,384 units in August, lifting their share of the European PHEV market by 10 percentage points to 34%. The reason is direct: under current EU policy, BEVs face an additional countervailing duty of up to 35.3% on top of the standard 10% tariff, while PHEVs are not subject to the extra levy. The Financial Times reported on 17 September that the EU has asked China to voluntarily cap hybrid import growth at about 15% to avoid escalating trade friction; Beijing responded that voluntary export restraints are inconsistent with international trade rules, D1EV said.
Despite the PHEV surge, BEVs remain Chinese brands' largest powertrain category in Europe, with August sales of 36,301 units, double a year earlier. The best-selling Chinese model was the BYD Seal U midsize SUV with 7,789 units, ranked 21st overall. Chinese brands took five of the top ten spots in the European PHEV model chart, including the top two positions with the Seal U and Atto 2.
European legacy automakers are feeling the pressure. Volkswagen Group remained the market leader with 210,376 units, down 3.5%, with Audi down 11%. Stellantis slipped 0.7% to 110,697 units, while Renault Group fell 4.6%. Tesla rose about 10% on Model Y strength. The Tesla Model Y, which had fallen to 73rd place in July due to quarter-end delivery timing, returned to seventh in August with 10,281 units and reclaimed the top spot among European BEVs.
D1EV said the August data confirms two trends: electrification is becoming a mainstream choice rather than a policy-driven niche, and Chinese brands, with a cumulative share near 10%, are now a competitive force in Europe. The key variable ahead is trade policy - how the market reacts to BEV countervailing duties and whether PHEVs are brought into restrictions will shape Chinese brands' expansion pace, the outlet said.
