The European Union is considering limits on imports of hybrid cars made in China, a proposal aimed at shielding local automakers as Chinese brands expand in the region. The plan follows EU tariffs on Chinese-made electric vehicles; some manufacturers have since turned toward conventional hybrids and plug-in hybrids amid the tariff pressure.
One reported version would cap Chinese hybrid imports at 350,000 vehicles in 2027, with the quota increasing by 6% each year. That proposal still requires approval from EU member states. A separate Financial Times report put next year’s possible limit at 500,000 to 700,000 vehicles, with a final figure not yet settled. For comparison, about 800,000 Chinese-made hybrids entered Europe in 2026.
Chinese plug-in hybrids accounted for 25% of European sales in that segment in the first half of 2026, up from 2% in 2024. Chinese brands held 14% of the overall hybrid market, compared with 2% in the same period of 2024. The proposed arrangement is intended to head off a broader trade dispute; China was reported to have agreed not to retaliate, while the EU estimates it could narrow its trade deficit with China by €14 billion.
The quota would apply to vehicles shipped directly from China, not cars built in Europe. BYD already has a factory in Hungary, and Chery, Geely, Dongfeng and Leapmotor are also developing production facilities in the region.