The car market has been changing faster than almost anyone expected over the last few years. The arrival of Chinese brands is part of that shift, even if the pace of the rollout in Europe has been slower than headlines often suggest.
What makes this wave different from earlier newcomers is not just pricing. It is the scale of the groups behind these launches, the technology they bring with them, and the timing, right in the middle of the global transition toward electrified powertrains.
A lot of the public conversation has taken on a dramatic tone. “The Chinese ate us alive,” some critics warn. In a few European countries, there are already signs that Chinese-owned or Chinese-backed brands are gaining real ground.
Photo Courtesy: Autorepublika.
Spain is one of the clearest examples. MG’s surge in Spain was driven heavily by the MG ZS, which finished 2025 as the country’s third best-selling model. BYD and the Chery-backed OMODA and JAECOO brands also expanded quickly in Spain during 2025, contributing to Chinese brands reaching close to 10% of new car registrations in markets like Spain.
That said, Spain is not all of Europe. What happens in one market does not automatically scale across the entire European Union. Across Europe in 2025, the Dacia Sandero and Renault Clio again led overall sales, while Chinese automakers accounted for about 6% of new car sales across Europe, with much higher shares in markets like the UK and Spain. Even so, the direction of travel is obvious, and it is forcing legacy automakers to rethink product cycles, pricing, and powertrain strategy.
Photo Courtesy: Chery.
The most visible changes are now happening in the United Kingdom. Just a few years ago, Chinese brands were barely on the radar for many buyers. In January 2026, SMMT data shows 4,021 BYD registrations plus 2,127 Chery, 1,846 OMODA, and 4,850 JAECOO registrations, for a combined 12,844 vehicles.
That puts these newcomers in a much more serious position than many expected, especially because they are no longer competing only on the margins. They are becoming relevant in the same sales conversation as mainstream leaders like Volkswagen.
Stuart Masson of The Car Expert highlighted how quickly the Chery group has scaled in the UK. Using January 2026 SMMT totals, Chery plus OMODA and JAECOO combine to 8,823 registrations, which would place the group behind only Volkswagen and Kia for the month if treated as a single seller. Chery has also outlined an additional brand, Lepas, as part of its broader expansion plans.
The auto industry has never been static. Brands rise, fall, merge, and disappear when the business reality shifts. Mason points to a useful parallel from Spain’s motorcycle industry. Not long ago, there were multiple domestic manufacturers such as Bultaco, OSSA, and Lube. Even with racing success, including Bultaco’s reputation in competition, many could not survive once technologically advanced and aggressively priced Japanese brands expanded into the market.
The long-term outcomes tell the story. Bultaco is now a clothing brand. Derbi has been owned by Piaggio since 2001. GasGas has survived through major turbulence tied to KTM’s broader problems. The pattern is familiar: competitive pressure reshapes the landscape, and not everyone makes it through.
Photo Courtesy: Byd.
Another important point is that Chinese brands are not only pushing battery electric vehicles. They are also accelerating plug-in hybrid adoption in markets where full EV growth has cooled or become politically contentious.
In January 2026, SMMT figures put the BYD Seal U, JAECOO 7, and MG HS in the UK’s top ten models. Each is offered with a plug-in hybrid option, reinforcing that Chinese brands are competing strongly in electrified segments beyond full EVs. That supports Mason’s broader argument that loosening EV targets will not automatically protect domestic industry. China will keep exporting vehicles that match whatever mix the market wants and whatever rules governments enforce, whether that means battery electric, plug-in hybrid, or other electrified formats.
The United Kingdom already knows what it looks like to lose homegrown automotive brands. About half a century ago, the decline and breakup of British Leyland began. Pieces of that legacy ended up scattered across the global industry. MINI moved under BMW. Land Rover and Jaguar ultimately landed with Tata Motors. Brands like Rover and Austin Healey disappeared. MG likely would have faded as well if it had not been acquired by SAIC Motor.
That history is one reason the current moment feels so significant. This is not just a story about new badges showing up in showrooms. It is a test of whether long-established automakers can adapt fast enough in product, pricing, software, electrification, and manufacturing efficiency.
Photo Courtesy: Byd.
Chinese brands are arriving with deep technology pipelines at a moment of rapid energy and regulatory transition. They are also arriving as industrial groups with multiple brands, not as isolated startups trying to carve out one niche product. In many cases, they benefit from large-scale manufacturing and broad supply chain control, including batteries and electronics.
That is why the headline question is shifting. It is not about how many new brands are coming. It is about which of today’s brands can evolve quickly enough to remain competitive and which ones will be forced into consolidation, reinvention, or disappearance.
This article originally appeared on Autorepublika.com and has been republished with permission by Guessing Headlights. AI-assisted translation was used, followed by human editing and review.
