Chinese car manufacturers have reportedly cemented their chokehold on the electric vehicle (EV) industry, now commanding 76% of the global EV and plug-in hybrid (PHEV) market.
According to data from Rho Motion, this staggering market share has been achieved despite having no presence in the United States, the world’s second-largest automotive market.
Instead of targeting the US, Chinese brands have focused their expansion efforts on emerging markets and select European countries, securing a significant presence in regions with less developed local auto industries.
Gaining ground in New Zealand
New Zealand has not been immune to this trend.
As of February 2025, Chinese EVs account for 15% of the country’s total EV sales, reflecting the growing influence of Chinese brands in a market that has traditionally leaned towards Japanese and European imports.
Leading the way are brands like BYD, MG and GWM, which have aggressively expanded their presence with competitively priced models.
Even in Australia, Chinese EVs have captured 26% of the segment, further emphasising their rapid expansion across the region.
European expansion gathers momentum
While Chinese EV penetration remains modest in Germany - the continent’s largest car market - accounting for just 4% of the 578,000 EVs sold last year, they have made more noticeable gains elsewhere.
In the UK and France, Chinese EVs represent 7% and 5% of total sales, respectively. Scandinavian countries have seen similar figures, with Chinese brands holding a 5% market share in Sweden and 8% in Norway.
Spain and Austria have emerged as key strongholds, where Chinese EVs now comprise 10% and 11% of total sales, reflecting a growing European acceptance of Chinese-made electric vehicles.
Emerging markets drive growth
Outside of Europe, Chinese automakers have achieved remarkable market penetration.
In Brazil, a commanding 82% of all EVs and PHEVs sold in 2024 originated from China.
Thailand follows closely, with Chinese brands capturing 77% of the market, while Mexico records a 70% share.
Other regions also reflect this trend, with Indonesia at 75%, Malaysia at 52%, Nepal at 74% and Israel at 64%.
Why are Chinese EVs ahead?
Several factors contribute to this unprecedented dominance.
Many of these emerging markets lack a strong domestic car manufacturing industry, allowing Chinese brands to enter with minimal resistance.
Furthermore, the Chinese government has heavily subsidised the industry, injecting hundreds of billions in financial support over the past two decades. This funding has enabled Chinese automakers to price their EVs more competitively than traditional rivals.
As the global auto industry shifts further towards electrification, China’s ability to undercut competitors on price while maintaining aggressive expansion strategies suggests its dominance is unlikely to wane anytime soon.
With Western automakers facing increasing pressure to compete, the battle for global EV supremacy is only heating up.
