Cheaper to Build, Cheaper to Buy: Chinese EVs Reshape Europe's Market

Chinese electric cars are becoming cheaper to build, and buyers in Europe are reacting. Many are turning from new imports to used Chinese EVs, while Aito, the Huawei-backed brand, is preparing for its own European debut with Bosch technology.

Used cars take over from new imports

Tariffs on Chinese battery electric vehicles rose to 45.3% in 2024, so European buyers first shifted to plug-in hybrids and used BEVs, which were not subject to the countervailing duties. Now the EU has introduced a 350k cap on hybrid imports from China, and buyers are moving again. According to China EV Marketplace (CEVM), used EV sales to EU customers grew 280% year on year in January to September 2026, reaching 7,900 units, while new vehicle sales fell 44%.

CEVM now offers more than 2,600 used EVs and says it regularly finds cars with around 6,000 km on the clock priced 40% below their original Chinese list price. It has also opened a delivery centre in Prague with an initial 20 EVs, so customers can take a car immediately instead of waiting 3 months for a direct import. InsideEVs reports that used EVs reached a record share of overall used car sales in September, and suggests buyers want plug-in models as long as the price is right.

Why Chinese EVs cost less to build

AlixPartners estimates that a Chinese-branded EV costs about $20,000 to produce, compared with $31,000 for a European equivalent, a gap of roughly 35% on average. The firm says subsidies do not explain the whole difference. Its main points are:

• Europe's battery manufacturing and raw material sourcing rely heavily on external inputs.
• European energy prices are higher than those in the US and China.
• Chinese companies make decisions faster, with fewer management layers and much of their testing done virtually.

AlixPartners also warns that tariffs only buy time and will not remove China's competitive advantage.

Aito prepares for Europe with Bosch

At the 2026 Paris Motor Show, Seres, the manufacturer of Aito, announced that the brand will enter Europe in autumn 2027. Overseas versions of the Aito 6, 7, 8 and 9 will use Bosch driver assistance, smart cockpit and chassis systems under a "Bosch Inside" model. According to industry insiders quoted by 36kr and reported by CarNewsChina, high-speed Navigate on Autopilot is planned for mass production by September 2027.

Sources differ on Huawei's role. CnEVPost reports that Huawei is stepping back, while CarNewsChina describes the model as conceptually similar to Huawei Inside. Both agree that Seres now leads decisions for the overseas market, and that its overseas business has been merged into the Aito Business Group.

China's used EV leaders

According to a September 2026 report by the China Automobile Dealers Association (CADA) and Jingzhengu, the Tesla Model 3 retained 61.4% of its value after three years, the best result among battery electric cars. Other strong performers include the BYD Seagull at 50.5% and the Zeekr 009 at 49.9%.

If you want a new or used Chinese electric or hybrid car at the best price, order it with HS Motors. It is the cheapest way to get your car.