This year’s event – the largest car show in Europe – comes at a pivotal time. Struggling European automakers need to prove they are still in the game, while Chinese rivals are aiming to get a foothold in a competitive market.
Chinese EV giant BYD warned the EU’s planned tariffs would only lead to higher prices and deter buyers. “Who pays the bill? Consumers. So this makes people very concerned. It will stop poorer people from buying,” executive vice president Stella Li told Reuters.
Nine Chinese brands including BYD and Leapmotor are unveiling their latest models at this year’s event, according to Paris auto show CEO Serge Gachot. That is the same as in 2022 when they made up almost half the brands present. This year, they account for only about a fifth of the brands thanks to a much stronger showing from Europe’s auto industry – a sign of its determination to defend its home turf.
Earlier this month, EU member states backed import duties on Chinese-made EVs of up to 45%, meant to counter what the European Commission says are unfair subsidies from Beijing to Chinese manufacturers. Beijing denies the allegation and has threatened counter-measures.
While Chinese automakers have criticised the EU’s move, they are pressing ahead with European expansion plans and so far none has said it will raise prices to cover the duties. China’s GAC told Reuters that the show marked the launch of its European ambitions, while compatriot Leapmotor said on Monday it aimed to have 500 points of sale in Europe by the end of 2025.