Chinese EVs reach 14.2% of Western Europe sales despite EU tariffs
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Sales of Chinese electric vehicles in Western Europe rose to 14.2% of the total EV market between January and May 2026, according to Schmidt Automotive Research. The increase came despite EU tariffs on Chinese EV exports in place since 2024. Consumer demand driven by record heatwaves and higher fuel prices from the US-Iran conflict accelerated the shift.
Key Facts
- Chinese EV models accounted for 14.2% of all EVs sold in Western Europe between January and May 2026, up from previous levels.
- The EU has imposed tariffs on Chinese EV exports since 2024, but the UK has not replicated such tariffs.
- Chinese manufacturers exported over 120 EV designs to Europe in 2026, compared to around 100 from European car companies.
- The EU's proposed Industrial Accelerator Act would introduce 'Made in Europe' requirements in areas like public procurement.
Market Share Gains
Schmidt Automotive Research data shows Chinese EV models reached 14.2% of Western European EV sales in the first five months of 2026. This means roughly one in seven EVs sold in the region was Chinese-made. The EU has applied tariffs on Chinese EV exports since 2024, while the UK has not imposed equivalent tariffs. The UK's lack of tariffs accounts for some, but not all, of the recent surge in Chinese EV sales in many Western European markets.
Demand Drivers
Europe is experiencing a record-breaking heatwave this summer, with soaring temperatures bringing drought, wildfires, and higher electricity bills. Rising natural disasters and climate change fallout are causing mounting insurance costs and business losses across the continent. These changes are accelerating Europe's move toward a greener economy as more households and firms buy heat pumps, solar panels, and EVs. The on-again, off-again conflict between the United States and Iran since February has caused European petrol and diesel prices to surge. Fuel spikes have improved the attractiveness of switching to battery-powered vehicles less exposed to crude oil price swings.
Chinese Manufacturer Response
Many Chinese EV manufacturers responded quickly to increased Western European demand, incentivized by a severe price war in their domestic market. Chinese manufacturers exported over 120 EV designs to Europe in 2026, compared to around 100 from European car companies. Chinese firms like BYD, Chery, SAIC, and Xpeng are expanding their European footprints despite tariffs and the EU's proposed Industrial Accelerator Act. The IAA would introduce 'Made in Europe' requirements in areas like public procurement, which China complains are non-tariff trade barriers. The EU is becoming more protectionist partly due to fears of over-reliance on Chinese exports, including clean technology products, citing weaponized dependencies, cybersecurity risks, and espionage threats.
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Chinese EVs reach 14.2% of Western Europe sales despite EU tariffs
