In recent years, the number of Chinese brands has been increasing. And a significant part of them also try their luck in Europe.

No competition from Chinese brands

And the European Union does not like it at all, which is doing everything to put a stick in the wheels of the Celestial Empire. In addition, European brands are also afraid of new competition from Asia. But that’s not the case for BMW, as explained by BMW AG chairman Oliver Zipse, who recently weighed in on the matter, saying that calling the wave a “threat” was “exaggerated.” You should know that the company generates about a third of its sales in China, its largest global market. In 2023, at least 824,832 BMW cars were sold in China, or 32% of total sales. Among these models we will give electric sedan with a long wheelbase, 3 series, which is sold exclusively in China. Therefore, BMW’s presence in this country is crucial to its growth and profitability. But what about the European market? Well, the manufacturer doesn’t seem too worried at the moment.

Chinese brands that are not too threatening

Oliver Zipes also draws attention to this premium brands, like BMW, are less vulnerable to Chinese competition than conventional manufacturers. According to him, “no one can enter such a large market as Europe and capture it.” This statement suggests that premium brands have a stronger position against the entry of new players. However, one aspect still worries brands present in the Old Continent: customs duties. Indeed, if the European Union has evidence of unfair trade practices by the Chinese government, it may decide to impose higher taxes on Chinese imports. But their increase can lead to a reaction from China, which, in turn, can raise customs tariffs on European products. This situation puts BMW in a delicate position, as it cannot afford to lose its market share in China, risking a crackdown on the Old Continent.

The situation is somewhat ambiguous for the German firm, while brands from Asia continue to invade Europe.