Europe reports 23% increase in Chinese EV sales

During the first four months of the year, sales of electric cars manufactured in China increased by 23% in Europe, despite attempts by EU officials to establish trade barriers for these imports in an attempt to safeguard domestic producers.

According to statistics provided by Schmidt Automotive Research, the Financial Times stated that between January and April of this year, around 119,300 electric cars made in China were registered in Western Europe, including the UK. 54% of them were cars from Western European companies, together with Teslas and electric vehicles from Japanese manufacturers. The remaining brands were Chinese EVs.

Citing the creator of the company, Matthias Schmidt, the FT reported "[Carmakers] keep churning out vehicles from China as it gives the best opportunity to make a profit on an electric vehicle at the moment."

Local authorities were concerned about the competitiveness of local automakers, who have not yet figured out how to make their EVs both affordable and dependable, given the rise in Chinese EV exports to Europe.

Brussels opened a probe into the Chinese EV business, claiming improper subsidies, in an effort to stop any negative consequences from the imports from China. Data from March indicated that over the first two months of the year, Chinese EV shipments to the EU decreased by 19% as a result of the probe.

The EU is thinking of imposing a 20% tax on Chinese EVs in addition to the probe, which would cost China around $4 billion in lost sales. The Kiel Institute for World Economy issued a warning in late May, stating that European EV customers will also have to pay for it. Chinese EV imports are now subject to a 10% import duty.