China Threat Will Reshape, Not Ruin, Europe’s Carmakers; Report

InnovationTransportationChina Threat Will Reshape, Not Ruin, Europe’s Carmakers; ReportByNeil Winton,Senior Contributor.Forbes contributors publish independent expert analyses and insights. U.K.-based Neil Winton covers the European Auto industry.Follow AuthorJun 10, 2026, 07:07am EDTConcept map depicting dialogue between China and the European Union.gettyEuropean automakers face years of profit pressure as Chinese companies gear up for a long-term attempt to win sales. But the locals will dispel worries of a complete collapse and emerge with a smaller but still viable industry, according to a report. “It might be more than one acorn, but the sky is not falling,” HSBC Global Investment Research said in a report.The first attempts by the Chinese to sell their cars and SUVs didn’t worry Europeans.“Early attempts were met with ridicule, but those failings are now a distant memory. A quick appraisal of the current Chinese offer shows, arguably, superior products that offer better value for money. As market data indicates, European consumers have shown little hesitation to embrace these new entrants. The market share of the Chinese (manufacturers) has been steadily growing; it now stands closer to 7%, but looks set to much higher,” the report said.HSBC declined to comment on how much higher this might go.Some experts expect overall Chinese market share in Europe to reach about 10% by 2030. Chinese sales have been especially strong in Britain, where companies like Chery and BYD have reached 3 to 4% market share in a faction of the time it took previous new entrants like Toyota and Hyundai to hit that mark.MORE FOR YOUJaecoo 7gettyIn Europe through April this year the leading Chinese car makers were SAIC’s MG, BYD, Chery with its Omoda and Jaecoo brands, Geely, with its own brand and Zeekr and Lynk & Co, and Great Wall Motors, according to published data.Notably successfulThe Chinese have been notably successful in the electric vehicle sector, where sales are accelerat...