EU Alarmed as Sales of Chinese Hybrid Cars Surge, Bypassing Tariffs on Fully Electric Models

Sales of Chinese-made hybrid cars have surged in the European Union over the past four and a half years, new data shows, deepening concerns in Brussels about the future of the European automotive industry.

In 2022, just 659 fully hybrid cars made in China — vehicles in which a petrol or diesel engine charges an electric motor and battery — were sold across the EU. Sales have since climbed sharply, reaching 160,662 units in the first seven months of this year alone.

The growth has accelerated since 2024, when Brussels imposed anti-subsidy tariffs on fully electric vehicles imported from China. Because those tariffs targeted fully electric models, Chinese-made hybrids were not subject to the same duties, a gap that appears to have fuelled the shift toward hybrid imports.

The trend has added to broader concerns in Brussels over trade imbalances with China in the automotive sector. The EU imports roughly three times as many vehicles from China as the bloc exports there, underscoring the scale of the imbalance facing European manufacturers.

European policymakers have been weighing how to respond to the rise in Chinese vehicle imports more broadly, as domestic carmakers face increasing competitive pressure. It remains to be seen whether Brussels will extend tariff measures to cover hybrid vehicles as part of efforts to address the imbalance.