Used Chinese electric cars in Europe are emerging as a detour route to avoid tariffs on new vehicles. [Photo: BYD]

Used Chinese electric cars are emerging as a new competitor in Europe’s auto market. The European Union is imposing high tariffs on new Chinese EVs, but used cars are excluded from additional tariffs. Exports are rising on the back of lower prices.

According to Electrek, China EV Marketplace (CEVM) data show used-car sales to EU customers totalled 7,900 vehicles in January to September, up 280 percent from the same period a year earlier. New-car sales fell 44 percent.

The EU has imposed additional countervailing duties on new Chinese battery electric vehicles since 2024. Including existing base tariffs, the rate is as high as 45.3 percent. The same additional tariffs do not apply to used EVs.

CEVM is shifting the focus of its European business from new cars to used cars. More than 2,600 used EVs from Chinese brands including BYD, Geely and ZEEKR are currently listed on the platform.

Prices are also competitive. CEVM said there are cases in which a vehicle with about 6,000 km of driving distance is sourced at a price 40 percent below its initial new-car selling price in China.

It reflects the impact of falling used-car prices as Chinese EV makers rapidly release new and updated models. Chinese consumers’ preference for new cars is also accelerating the price decline.

Jakub Gershl (야쿠브 게르슐), CEVM's chief operating officer, said tariffs on new Chinese EVs have dampened European customers' demand. He added that used-car demand is expected to rise further if restrictions on plug-in hybrid imports are tightened.

Still, used-car prices in China are not the same as the final purchase price for European consumers. That is because shipping costs, general import tariffs, value-added tax and certification costs can be added.

The trend shows that rapid technological advances and falling prices for Chinese EVs are changing competitive dynamics not only in Europe’s new-car market but also in the used-car market.

Keyword

#European Union #China EV Marketplace #BYD #Geely #ZEEKR
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