EY: EU's Car Exports to China Fall Below Imports for the First Time

SighingCashier · 2026-03-22T07:45:54+00:00

The EY report indicates that last year, the EU's exports of automobiles and auto parts to China fell below imports from China for the first time. It forecasts that EU exports to China will decrease by 34% in 2025, while imports will grow by 8%. Germany's automobile trade with China is expected to remain flat. Although Chinese automakers face challenges in the German market, they are performing well in other European countries, and competition will intensify.

SighingCashier

2026-03-22 07:45:54

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Ernst & Young (EY) reports that last year, the EU’s imports of cars and auto parts from China exceeded the EU’s exports of similar products to China for the first time.

The report states that by 2025, the EU’s exports of cars and auto parts to China will amount to 16 billion euros, a 34% decrease year-on-year and more than halving compared to 2022; meanwhile, EU imports of cars and auto parts from China will reach 22 billion euros, an 8% increase.

This Year, Germany-China Car Trade Is Expected to Remain Steady

During this period, Germany’s car exports to China totaled 13.6 billion euros, still higher than imports of 7.4 billion euros, but the gap is narrowing. Ernst & Young indicates that, based on current trends, Germany-China car trade is expected to balance out this year.

EY states that Chinese automakers still face challenges in the German market. Volkswagen, Mercedes-Benz, and BMW have successfully defended their domestic market shares, but Chinese manufacturers have made significant progress in other European countries, and competition is expected to intensify this year.

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