European market share for Chinese automobile brands doubled during the first half of 2025, reflecting persistent growth in this sector.
Chinese Car Brands Dominate European Market in H1 2025
Chinese car brands have made a significant impact on the European automotive market, with five brands leading the way in sales growth and market share. According to a report by market research firm Jato Dynamics, these brands include BYD, Jaecoo (a sub-brand of Chery), Omoda (also a sub-brand of Chery), Leapmotor, and Xpeng [1][2][3].
BYD Takes the Lead
BYD, one of the driving forces behind the growth, registered 70,500 units in the first half of 2025, marking a 311% increase year-on-year. The brand ranked among Europe's top 25 by volume, with the BYD Seal U being the third best-selling plug-in hybrid electric vehicle (PHEV) in the first half of the year, tying with the Volkswagen Tiguan [1][3].
Jaecoo and Omoda's Unique Approach
Unlike many competitors, Jaecoo and Omoda, both from Chery, contributed substantially to the growth, with Jaecoo's 7 model ranking as the 9th best-selling PHEV in Europe in June. Only 29% of their sales were PHEVs; 63% were traditional internal combustion engine (ICE) vehicles [1][3].
Leapmotor and Xpeng's Success
Leapmotor sold over 8,300 units in June alone, driven by models like the T03 and C10. Xpeng, on the other hand, positioned itself as the top-selling high-end Chinese brand with 8,338 units in H1, primarily led by the G6 SUV [3].
A Reshaping of the European Automotive Market
The rapid growth of these brands reflects aggressive pricing, expanding product portfolios, and shifting consumer acceptance. This indicates a significant reshaping of the European automotive market landscape [1][4]. In fact, Chinese brands nearly doubled their market share from 2.7% in H1 2024 to 5.1% in H1 2025, slightly below Mercedes-Benz's 5.2% but ahead of Ford’s 3.8% [1][2][4].
Tesla's Decline in Europe
In contrast, Tesla's market share in Europe fell from 2.4 percent in the first half of 2024 to 1.6 percent in the first half of 2025 [2]. The company sold 109,264 units in the first half of 2025, marking a 33% decrease year-on-year [2].
This rapid growth and shift in market share highlight the increasing competition in the European automotive market and the increasing appeal of Chinese brands to European consumers.
[1] https://www.jato.com/news/chinese-brands-dominate-european-market-in-h1-2025 [2] https://www.bloomberg.com/news/articles/2025-07-01/tesla-sales-in-europe-fell-33-in-first-half-of-year [3] https://www.autonews.eu/car-model-europe/chinese-brands-make-big-strides-european-market [4] https://www.reuters.com/business/autos-transportation/chinese-car-brands-challenge-european-leaders-sales-surge-2025-07-01/
- In the first half of 2025, Chinese car brands showed a considerable impact on the European automotive market, with five brands - BYD, Jaecoo, Omoda, Leapmotor, and Xpeng - dominating sales growth and market share.
- BYD, known as one of the key drivers behind the growth, saw a 311% increase year-on-year, selling 70,500 units and ranking among Europe's top 25 by volume.
- Unique strategies, such as a mix of PHEV and traditional internal combustion engine (ICE) vehicles, contributed significantly to Jaecoo and Omoda's growth; Jaecoo's 7 model became the 9th best-selling PHEV in Europe in June.
- Leapmotor, with models like the T03 and C10, sold over 8,300 units in June alone, while Xpeng, led by the G6 SUV, claimed the title as the top-selling high-end Chinese brand with 8,338 units in H1 2025.
- The rise of these Chinese brands reflects aggressive pricing, expansive product portfolios, and changing consumer trends, hinting at a significant transformation of the European automotive market landscape.
- Contrasting the growth of Chinese brands, Tesla's market share in Europe decreased from 2.4% in H1 2024 to 1.6% in H1 2025, selling 109,264 units year-on-year with a decline of 33%.
