In-depth intelligence on China's EV sector and its impact on Europe
GAC began Aion UT production at Magna’s Austrian plant on March 26, making it the fifth Chinese EV model assembled in Graz. The SKD process avoids EU anti-subsidy duties, offering a low-capital route inside the tariff wall. Supply chain traceability rules taking effect in 2027 may reshape the calculus.
Geely's G-ASD driver assistance system received UN R171 certification on March 12, becoming the first Chinese ADAS legally approved for European roads. A Lotus-branded vehicle will be the first to carry it in Europe this June. On the same day as this article, Geely also announced its European tech hub will double its vehicle projects by next year, targeting a sub-six-month China-to-Europe launch gap.
BYD outsold Tesla in Europe for the second consecutive month in February 2026, posting 162.3% year-on-year growth to 17,954 registrations, all imported from China under a 27% tariff. Its Hungary factory, which removes that tariff entirely on locally built vehicles, is targeting series production in Q2 2026.
BYD and Geely confirmed at Nvidia's GTC conference that they are building self-driving cars on the same platform as GM, Mercedes, and Toyota. Europe's harmonised framework for Level 4 vehicles is not expected until 2027. In the gap, Bolt is already planning autonomous taxi trials in Europe using Chinese AI technology.
