In a notable shift in the European automotive market, Chinese car manufacturers have surpassed Japanese brands in passenger car sales for the first time. According to KrASIA, sales by five major Chinese automakers—including BYD, SAIC Motor, Geely, Chery Automobile, and Leapmotor—rose 65% year-on-year to reach 138,410 units across 31 major European countries in May 2026.
BYD, in particular, showed strong overseas performance in the first half of 2026, contributing significantly to this market milestone. This data, reported by the European Automobile Manufacturers’ Association (ACEA), reflects the growing presence and competitiveness of Chinese brands in Europe’s traditionally Japanese-dominated passenger car segment.
For Japanese investors and market watchers, this development signals increasing competition in Europe’s automotive sector, emphasizing the need to monitor the evolving dynamics between established Japanese manufacturers and emerging Chinese players in international markets.