Electric cars: Chinese BYD overtakes Tesla in Europe despite customs restrictions

This is a “turning point” for the European car market. “For the first time, in April, BYD sold more electric vehicles than Tesla in Europe,” explains CNBC . Year-on-year, the Chinese manufacturer’s sales in Europe increased by 359%, even as the European Union imposed customs restrictions on Chinese imports of electric cars.

At the same time, according to data from automotive consultancy Jato Dynamics, Tesla registrations fell by another 49% in April in Europe, a result of "protests against its CEO, Elon Musk." This movement has also led the CEO, who is associated with President Trump, to return to his business and distance himself from the "Department of Government Efficiency" (DOGE).

For years, Tesla has been the number one electric vehicle seller in Europe, “while BYD only officially entered the market beyond Norway and the Netherlands at the end of 2022,” an analyst at Jato Dynamics told the American business media.

BYD is not only overtaking Tesla, but also “brands anchored throughout the region, overtaking Fiat and Seat in France, for example.” And this “even before starting production at its new factory in Hungary, which is expected to become its European bridgehead.”

This performance is all the more notable given that the European Union has imposed “punitive customs duties on electric vehicles manufactured in China” in October 2024, citing Beijing’s “unfair trade practices.” While BYD is not the most heavily taxed (17%), Tesla must pay 7.8% in duties on its cars manufactured in China, while “other Chinese manufacturers have been subject to taxes of up to 35%.”

According to Jato data, "while the tariffs had an immediate impact on Chinese carmakers' sales, they cushioned the impact by diversifying and expanding their European ranges with the introduction of plug-in hybrid vehicles."