Chinese automakers are making significant strides in the global electric vehicle (EV) market, with new data showing that for the first time, half of the top ten global EV sales leaders are from China. This marks a major shift, as established automakers from the US and Europe face increasing competition from Chinese brands like BYD, Geely, and Xiaomi.
In the third quarter of 2024, global EV sales reached 2.52 million units across 55 markets, with Tesla maintaining its lead by selling 432,000 vehicles, up 2% from the previous year. However, Chinese automaker BYD is rapidly closing the gap, with a 9% increase in sales to 424,000 units. BYD’s dominance is further supported by its low-cost offerings, such as the Seagull, which started at under $10,000 and became China’s top-selling car in August.
One of the most surprising developments has been Xiaomi’s entry into the market. After launching its first EV, the SU7, in March 2024, the tech giant quickly outsold Toyota, marking a remarkable debut for the company. Xiaomi’s rise highlights the growing influence of Chinese brands in the global EV market, with experts predicting that Chinese companies will control over a third of the global EV market by 2030, according to AlixPartners.
Meanwhile, traditional automakers are facing challenges. Volkswagen, which ranked fifth, saw a 17% decline in Q3 sales, while Stellantis and Mercedes both dropped out of the top ten, with their sales falling by over 20%. General Motors, which placed fourth, saw an increase of 27%, with most of these sales coming from its Chinese joint venture, SAIC-GM-Wuling. Japanese automakers like Nissan, Toyota, and Honda have also struggled to adapt to the electric shift, with no Japanese brands making the top 20 in global EV sales.
