It comes as no surprise that Chinese automakers are leading the global electric vehicle race. What is remarkable is that Chinese car brands have achieved this without selling a single car in the US – the world’s second-largest auto market. Instead of focusing on the US, they have aggressively expanded into other regions to capture market share.
According to the latest data from Rho Motion, Chinese brands now account for 76% of global sales of electric cars and plug-in hybrid electric vehicles (PHEVs). This has been made possible by a strong expansion strategy into new markets.
Chinese cars make up 76% of global electric car sales.
Invasion of the European Market
In Europe, the penetration of Chinese electric vehicles varies by country. However, they have made significant inroads, capturing 4% of the total 578,000 electric vehicles sold last year in Germany – Europe’s largest auto market. The corresponding figures for the UK and French markets are 7% and 5%.
In the Netherlands, Sweden, Norway, and Belgium, Chinese cars accounted for 6%, 5%, 8%, and 3%, respectively, of total electric car sales in 2024. In Spain and Austria, the penetration of Chinese electric cars was stronger, with a market share of 10% and 11%.
Dominance in Emerging Markets
Beyond Europe, Chinese automakers have found even greater success in emerging markets. Specifically, in the Brazilian market, Chinese vehicles accounted for 82% of total sales of electric cars and PHEVs in 2024. The corresponding figures for the Thai, Mexican, Indonesian, and Malaysian markets are 77%, 70%, 75%, and 52%.
In Nepal, 74% of electric cars and PHEVs sold last year were Chinese, and in Israel, that figure was 64%. Meanwhile, in Australia and New Zealand, Chinese cars made up 26% and 15%, respectively, of total electric car sales.
Market share of Chinese cars in some world markets.
Why are Chinese Electric Vehicles Winning?
There are two main reasons why Chinese electric vehicles have gained dominance in many world markets. The first is the lack of domestic competition. This is because many countries do not have a strong automotive industry, allowing Chinese cars to easily dominate the market.
The second reason is government support. It is known that the Chinese government has pumped at least $231 billion into the electric vehicle industry from 2009 to 2023. As a result, Chinese automakers have been able to offer cars at competitive prices compared to traditional brands and gain an advantage in the global market.
In Vietnam, Chinese auto brands are also rushing in with names like Wuling, BYD, GAC, Aion, and Lynk&Co. However, Chinese electric cars have not yet found their footing in the Vietnamese market due to uncompetitive pricing and, more importantly, the lack of a charging network as comprehensive as that of the domestic competitor, VinFast. The cheap Chinese electric cars in Vietnam are also not adequately equipped. Not to mention the deep-rooted prejudice of many Vietnamese against Chinese cars.
The Electrifying Trio: Honda’s Electric Vehicle Revolution in Southeast Asia
Honda has unveiled an exciting roadmap for its electric vehicle journey in Southeast Asia. The automotive giant has announced plans to introduce three electric vehicle models to the region by 2027, marking a significant step forward in its commitment to sustainability and innovation. This news underscores Honda’s dedication to bringing its cutting-edge, environmentally conscious vehicles to the diverse and vibrant markets of Southeast Asia.
Electric Cars Exempt from Registration Fees Until 2027
The government has extended the period for a 100% exemption on registration fees for electric cars by two years, until February 28, 2027. This is fantastic news for environmentally conscious consumers and a significant step forward in encouraging the adoption of electric vehicles.
The Electric Car Revolution: Unveiling the New Registration Fee for Electric Vehicles in Vietnam, Effective March 1, 2025
The rising on-road costs will impact electric car sales in the Vietnamese market in the coming months.
The Electric Car Revolution: Unveiling the New Registration Fee for Electric Vehicles in Vietnam, Effective March 1, 2025
The rising costs of electric vehicles and their associated running costs will impact sales in the Vietnamese market in the coming months.
VCCI Recommends: Maintain the 0% Registration Fee for Electric Cars to Boost Sustainability
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The Vietnam Chamber of Commerce and Industry (VCCI) strongly advocates for the continuation of the 0% registration fee for electric vehicles, believing it to offer a plethora of advantages.
