After a booming 81% rise in 2023, China’s electric car exports have taken a 10% hit in 2024, largely due to the European Union’s punitive tariffs on Chinese-made EVs.
This development was reported by the China Association of Automobile Manufacturers (CAAM) and Car News China.
Tariffs Reshape China's Export Strategy
The EU imposed additional tariffs on Chinese electric cars in late 2023, citing illegal state subsidies supporting China’s EV industry.
In response, Chinese automakers have swiftly adapted their export strategy, shifting focus to plug-in hybrid vehicles, which are still exempt from the increased tariffs.
This pivot has resulted in a 190% surge in Chinese plug-in hybrid exports in 2024, a stark contrast to the 48% growth recorded in 2023.
But not all Chinese carmakers have been affected equally.
MG, owned by SAIC Group, faces the highest tariff rate after the company refused to cooperate with the EU’s investigation into state aid practices.
Meanwhile, other Chinese manufacturers have managed to keep their prices stable — or even lower them — despite the tariffs.
China Still Dominates Global Car Exports
Despite the downturn in electric vehicle exports, China is still the world’s largest car exporter.
In 2023, the country shipped 5.9 million vehicles, marking a 20% increase over the previous year. In 2024, that number is expected to rise further, reaching 6.2 million units—a 5.8% growth in overall car exports.
China continues to outperform traditional auto-exporting giants like Japan, South Korea, and the United States.
But analysts suggest that the country is unlikely to recover the 10% loss in EV exports anytime soon. According to Yahoo! Finance, at best, China's EV exports will stabilize in 2025, with no signs of growth on the horizon.
The EU’s punitive tariffs are set to stay in place for five years, though they have already been adjusted downward several times.
