China’s NEVs Break Through in Europe as BYD Surpasses Tesla
In April 2025, Chinese automaker BYD surpassed Tesla in monthly electric vehicle registrations in Europe, marking a significant achievement. BYD’s registrations soared by 169%, while Tesla’s dropped by 49%. This highlights the impressive growth of Chinese new energy vehicle manufacturers in the European market, even amidst high tariffs. Additionally, Chinese firms are expanding their global presence and investing in new facilities abroad, setting the stage for continued growth.
In a notable shift in the European electric vehicle market, Chinese automaker BYD has recently surpassed Tesla in monthly registrations of pure electric vehicles as of April 2025. This marks an important moment, as according to Jato Dynamics, BYD saw its registrations swell by an impressive 169% compared to last year. In stark contrast, Tesla’s registrations dropped by a significant 49%, raising eyebrows across the industry.
Despite BYD only holding the tenth spot in overall registrations in Europe, its overtaking of Tesla has been seen as a major turning point, indicating that Chinese new energy vehicle (NEV) manufacturers are making substantial inroads into the European auto market. Tesla, which entered the European market over a decade ago and was widely recognized as the top foreign electric vehicle brand, is now facing fierce competition from rapidly emerging Chinese brands.
Chinese EV manufacturers have steadily built a robust industrial ecosystem over the past ten years, encompassing everything from vehicle production to battery research and intelligent driving technologies. Thanks to this comprehensive development, these brands have effectively navigated high tariffs while capitalizing on their cost advantages and swift product iterations to gain footholds in mainstream international markets.
In fact, recent data reveals that while the EU has enforced tariffs, registrations for electric vehicles from Chinese firms grew by 59% in April, nearing 15,300 units. This surge significantly outpaces the 26% growth from European, Japanese, Korean, and U.S. manufacturers combined, showcasing the rapid rise of Chinese brands.
Notably, the China Association of Automobile Manufacturers reported that in the first four months of 2025, China’s auto production and sales surpassed 10 million units for the first time ever, with exports of NEVs hitting 642,000—a whopping 52.6% increase year-on-year. This illustrates China’s commitment to expanding its automotive presence globally.
Chinese car brands aren’t just sitting idle; they are ramping up their global expansion efforts this year. BYD has set its sights on Switzerland, Xpeng has made its debut in Bahrain, and IM Motors has launched operations in Australia. Meanwhile, automobile giants like Chery and SAIC are taking it a step further by establishing their own fleet for ocean freight, pushing to enhance control over their logistics.
In tandem with this momentum, Chinese companies are expanding their industrial chains abroad. For instance, Contemporary Amperex Technology Co. Limited (CATL) is making a significant move with a $1.2 billion investment to build a battery factory in Indonesia. Additionally, BYD’s first vehicle plant in Europe, located in Hungary, is set to begin production shortly, while Great Wall Motors is fast-tracking the construction of a localized digital auto plant in Brazil.
As these overseas manufacturing facilities come online and with better control over shipping capabilities, as well as easing global trade tensions, it seems likely that Chinese auto exports will continue to surge. Such developments not only signal an aggressive expansion strategy but also hint at an increasingly competitive landscape in the global automotive sector.
China’s NEV market is making impressive strides in Europe, marked by BYD’s surpassing of Tesla in monthly EV registrations. With strong year-on-year growth and resilience against tariffs, Chinese automakers show no signs of slowing down. Expanding globally through new markets and facilities suggests a bright future for these firms, potentially reshaping the automotive landscape on an international scale.
Original Source: www.ecns.cn
