Chinese EV Sales Hit Record High in Western Europe

Chinese electric vehicle sales reached a record high in Western Europe during the first five months of 2026, capturing 14.2% of the battery electric vehicle market with 171,800 units sold. Growth was particularly strong in Italy and the United Kingdom, where governments declined to implement levies similar to the European Union tariffs, which reach up to 35.3%.

In Italy, Leapmotor utilized government purchase subsidies to price its T03 model as low as €5,000. Other major manufacturers targeting the region include BYD, Chery, SAIC, and Xpeng. However, analysts suggest battery electric vehicle sales may have peaked as manufacturers shift focus toward plug-in hybrid electric vehicles (PHEVs) to bypass existing tariffs.

Responding to this shift, Volkswagen Group CEO Oliver Blume called for the European Union to extend levies to PHEVs, stating that European versions of these vehicles were uncompetitive against Chinese equivalents. In other market developments, Tesla recorded a 60% year-on-year sales rebound in Europe, with the Model Y emerging as the bestselling individual model.