Chinese welcome! Nothing will come of a European backlash against Chinese automakers

It’s going hard! For a long time, European car companies have been trembling with fear because of the cheap, yet unexpectedly technically advanced Chinese competition, which is slowly but surely making its way into the European market through various routes.

Last year, according to estimates, over 600,000 Chinese cars were sold here (out of a total of 12.8 million), and this year an increase of another 25% is expected. At the same time, roughly 70% of the 600,000 Chinese cars sold were battery electric cars, which means that every fourth electric car sold in Europe was of Chinese origin (and Tesla accounted for at least another quarter). This sends chills down the spine of European car companies, which try in vain to lure customers to the electric road…

That is why they are even considering the creation of a European consortium for close technological cooperation enabling faster development and cost reduction – Renault boss Luca de Meo proposes the creation of such an automotive Airbus. But we know from practice that such intensive cooperation between many brands is problematic and it takes a long time to contractually establish it and even longer to implement it. Automakers don’t have that much time.

Moreover, Europe’s approach is far from as uniform as it might seem. A few weeks ago, the Italian government openly invited BYD to negotiations on the construction of a new factory on its territory, and now France has also joined the race for the Chinese’s favor.

The Chinese giant, the largest manufacturer of electrified cars in the world (it sold over 3 million electric cars and plug-in hybrids last year), is building its first European factory in Hungary and should start churning out 150,000 cars a year in 2026, with the possibility of doubling it.

In the meantime, Poland is preparing to start production of the Leapmotor T03, a small electric car with a price tag of around 225,000 crowns (that is, half of what the Dacia Spring costs with similar parameters) – these cars could roll off the gates of the Stellantis factory in Tychy as early as June.

The Chery brand, a specialist in cheap cars, is also planning to enter Europe, which is negotiating the construction of a factory with a capacity of 150,000 units per year in Spain – it could start operating as early as 2029.

It does not look like Europe’s united action against Chinese brands, rather European states should hang Chinese flags and “Welcome!” banners. On the other hand, a great time is coming for the customer with a huge selection of cars and low prices.