Chinese carmakers are beginning to establish a lasting presence in Europe
- The European automotive landscape is undergoing a historic transformation . Faced with regulatory pressures and customs barriers, Chinese carmakers are shifting from an export-oriented strategy to one of local industrialization . Data analysis reveals a planned two-pronged offensive, structured around opportunistic partnerships and the rise of new geographic hubs.
- Chinese expansion is reshaping the industrial map of Europe around two distinct poles:
• The flexibility of the Iberian Peninsula (Spain): Spain stands out as the priority host country ( Chery in Barcelona, SAIC/MG in La Coruña, Leapmotor in Zaragoza/ Villaverde , Geely in Valencia).
• The competitiveness of Central Europe (Hungary, Slovakia): A preferred choice for Greenfield projects (building from scratch). BYD (Hungary) and Geely/ Polestar (Slovakia) are looking for optimized production costs and immediate proximity to Western European markets (Germany, France, United Kingdom).
- Two strategic visions are clashing in the quest to conquer the European market :
• The partnership model (Asset-Light): Favored by Leapmotor , Dongfeng , Chery and Geely (in Valencia). By setting up in the factories of established carmakers ( Stellantis , Ford, Nissan), these brands avoid heavy investments, accelerate their market launch schedule (2024–2027) and skillfully circumvent customs barriers.
• The industrial sovereignty model: Championed by giants BYD and SAIC/MG. They are investing in exclusive, high-capacity factories (aiming for 240,000 to 300,000 units/year each in the long term). This approach requires massive capital but guarantees total control of the value chain in the long term.
- The most striking dynamic lies in the exploitation of the structural weaknesses of European industry:
• Stellantis' agreements in Rennes and Zaragoza with Chinese carmakers explicitly aim to fill their own overcapacity in production.
• Acquisition of distressed assets: BYD's interest in taking over existing sites and Xpeng 's desire to establish itself in underutilized or threatened-with-closure Volkswagen factories in Germany are transforming the European industrial crisis into a land and technology windfall for China, itself partly responsible for this European industrial crisis (conquest of market share from European carmakers by Chinese carmakers both in China and in Europe).
- By 2028, the combined production capacity of the three major Chinese projects with figures ( BYD, MG, Leapmotor ) will approach... 740,000 vehicles per year . The European automotive industry is no longer just facing commercial competition, but deep and irreversible integration. of the Chinese ecosystem within its own borders.