Auto industry: Chinese car manufacturers are targeting Germany

The Chinese auto industry is pushing to Germany. Your market share is still small, but it is increasing – and should continue to buy. At the IAA mobility fair in Munich, there are as many Chinese companies than ever – and they have ambitious plans.

116 exhibitors from China counts the IAA, which opens on Tuesday for the general public, as the Association of the Automotive Industry (VDA) reports on the basis of preliminary figures. Apart from Germany, no other country only comes near as many companies to the mobility fair that is noted worldwide.

In China, the manufacturers there have now ranked the Germans, now they are reaching for the German market. The domestic top dogs are still dominated in this country, but there is movement, as a look at the new registration statistics of the Federal Motor Transport Authority shows: It shows more than 35,000 Chinese cars in the narrower sense from January to August. This may be little compared to the overall market of 1.87 million cars – just 1.9 percent – but the proportion has doubled compared to the same period last year.

And one also includes the brands Volvo and Polestar belonging to the Chinese group of Geely, it is even over 4 percent – more than the well -known factory Toyota and Tesla together.

BYD wants to quickly expand dealer network

So far, it was mainly MG Roewe that drove the numbers of the Chinese manufacturers in the narrower sense – possibly also thanks to the name MG, which is taken from Great Britain, which can hardly think of China. With more than 15,600 new registrations in the first eight months, it is also number one among the Chinese brands in Germany. But now the BYD electronic weight is also playing an increasing role and has more than quintupled its new registrations compared to the comparison period 2024 – at a good 8,500.

And there should be much more: 50,000 announced Germany boss Lars Bialkowski on Monday at the self -confident appearance of BYD as the destination for the annual sales in Germany, which he sees as a key in Europe. By when this number should be reached, he does not say. But the brand wants to quickly expand its retail network in order to achieve the goal.

The E-Auto-Bauer Xpeng, who is VW technology partner in China, is also based on growth in Europe: “One of the most important catalysts for our dynamics is global expansion,” says Vice-President Brian GU in Munich, which is responsible for foreign business. And nowhere does he see better chances than in Europe. At IAA, Xpeng celebrates its new start to its new electrical model P7 – and has built up its stand directly opposite VW.

A lack of dealers in this country – in addition to tariffs and reservations of the more conservative customers – is one of the aspects that brake the Chinese brands. This applies not only to BYD, as Stefan Reindl, director of the Institute for Automotive Economy. According to him, MG Roewe only has around 150 sales locations, Xpeng around 35. At BYD it was not 30 in spring, now there are 50 and another 50 are under contract. It should even be 300 by the end of 2026.

This would at least approach the dimensions of the German manufacturers: 700 are at VW, around 400 at BMW, about 300 at Audi and almost 400 at Mercedes. However, it is another question whether they are just as large as the glass palaces of the established manufacturers.

The Chinese brands are stronger across Europe

In any case, the German manufacturers should not rely on their lead. A doubling – albeit at a low level – is a doubling; And if you widen your view of all of Europe, the proportion of Chinese brands is already significantly higher: In the first half of the year, it was more than five percent, as an analysis by the market observer Jato Dynamics showed, which also took into account brands that the KBA does not show individually in Germany due to the lack of new registration.

The German brands are definitely against it – new vehicles such as the IX3 from BMW, which the Munich people present on the IAA, also have an eye on China. In Germany, the Chinese manufacturers have to be taken seriously, says sales director Jochen Goller. But some of their recipes worked worse in Germany – be it the low prices that can only be represented in this country to a limited extent, be it the approach of building a smartphone on wheels.

In the past, the wave of the Japanese and the Korean manufacturers has already been seen, says Goller – and has grown further. VW group leader Oliver Blume also emphasizes that he appreciates competition. And you “go to this competition very confidently, which we also have with Chinese manufacturers.”