Chinese carmakers overtook Japanese manufacturers in Europe for the first full quarter, capturing 12.7% of new-car registrations, up from 11.9% for Japanese brands, market researcher Dataforce found.
Registrations of Chinese-branded vehicles roughly doubled from a year earlier during the third quarter of 2026, led by growing demand for hybrid models.
Chinese brands extended their gains in September, when their monthly market share reached a record 14.5%. The increase followed rapid expansion by manufacturers including BYD and Chery Automobile.
Five years ago, Chinese automakers held barely 1% of Europe’s passenger-car market. Japanese manufacturers such as Toyota and Nissan had spent decades establishing their presence across the region.
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European companies, including Volkswagen and Renault, still dominate sales. However, Chinese manufacturers are gaining customers through competitive prices and faster model launches.
Britain has become an important market for the expansion. Chery’s Jaecoo 7 sport utility vehicle topped the country’s monthly sales rankings in March and September.
Hybrid vehicles have helped Chinese brands expand despite European Union tariffs on battery-electric cars manufactured in China.
The EU agreed in principle this month to restrict imports of Chinese-made hybrids. Officials are also considering incentives that favour vehicles manufactured within Europe.
Chinese automakers are responding by expanding local production. Leapmotor has begun manufacturing its B10 SUV at a Stellantis facility in Zaragoza, Spain, through the companies’ joint venture.
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Chery is preparing production facilities in Barcelona, while BYD is nearing completion of a manufacturing plant in Hungary.
Earlier in October, BYD, Chery and Geely’s Zeekr presented new models at the Paris Motor Show. Their offerings included the BYD Dolphin G DM-i, a plug-in hybrid developed for European customers.