Chinese new energy vehicle makers are winning over European consumers at a rapid clip. Statistics show that in the first eight months of 2026, BYD, SAIC, Chery and Leapmotor together registered more than 520,000 new vehicles in the European Union, up about 110 percent year on year. In France alone, BYD registered over 22,000 new cars in the first nine months, up 156.9 percent.
Stella Li, BYD's executive vice president in charge of international business, said the company aims to overtake Toyota and Volkswagen within five years to become the world's largest automaker. Analysts note that BYD is expanding its European lineup from small plug-in hybrids to high-end models, with its premium brand Denza exhibiting independently at the Paris show for the first time.
However, the growth model itself is changing. On October 12, China's Ministry of Finance announced that the VAT export rebate rate for new energy vehicles will be cut from 13 percent to 9 percent starting April 1, 2027. Cui Dongshu of the China Passenger Car Association described the move as an expected structural policy optimization rather than a wholesale tightening of export support, saying the foundation of China's NEV export growth lies in the competitiveness of its industrial chain, electric powertrains and intelligent technology — not in rebate subsidies.
Source: China Industry and Information Technology News
