Chinese EV makers triple overseas production by 2030

Chinese electric vehicle (EV) manufacturers are building new factories in Hungary and Spain to accelerate deliveries to European buyers while sidestepping import tariffs. Overseas production is projected to triple, reaching 3.4 million vehicles by 2030 from 1.2 million in 2025.

An AlixPartners study, drawing from surveys of over 1,000 auto executives, suppliers, and tech firms, highlights domestic competition, political risks, and demand stability as key factors pushing Chinese brands toward local manufacturing in high-growth markets.

Chinese EV brands are targeting 16 countries, shifting priority to Europe and Latin America from previous hotspots like Russia. In Latin America, they capture one-fifth of total car sales and more than half of EV sales, capitalizing on price-sensitive consumers and weaker competition from rivals.

BYD has begun operations at its Hungarian plant, with a Spanish facility planned. SAIC's MG, Changan, and Great Wall Motor are also scouting European production sites. Leapmotor will commence output at a Stellantis plant in Spain by the end of the year.

Western automakers are fast-tracking collaborations: Stellantis is sharing factories with Dongfeng, Ford is negotiating with Geely over its Spanish plant, and Nissan is in talks for Chery production at its Sunderland site in England. "The cost and speed of Chinese makers are world-class, so rivals must excel on what customers value," noted Dan Hearsch of AlixPartners.