BYD sales surge in Europe as gap with Tesla narrows

Thursday 05 March 2026 - 16:20

By: Dakir Madiha

BYD sales surge in Europe as gap with Tesla narrows

Chinese automaker BYD posted strong sales growth across major European markets in February 2026, reinforcing its expansion on the continent while narrowing the gap with Tesla. The increase comes as the company continues to strengthen its presence in Europe despite weaker performance in its domestic market.

In Germany, BYD registered 3,053 vehicles in February, giving the brand a 1.4 percent market share, according to figures from the Federal Motor Transport Authority. The result followed 2,629 registrations in January, when the company sold more than twice as many vehicles as Tesla in the country.

BYD sold only 23,306 vehicles in Germany during the entire year of 2025. Its sales in the first two months of 2026 already represent roughly a quarter of that total, signaling rapid growth in one of Europe’s largest automotive markets.

The trend is similar in the United Kingdom. BYD registrations climbed 83 percent year on year to reach 2,154 vehicles in February, according to data cited by industry outlet Bez Kabli. Tesla’s registrations in the same market dropped 37 percent to 2,422 units during the same period.

The Society of Motor Manufacturers and Traders reported that the overall British car market grew by 7.2 percent in February to 90,100 vehicles, marking the strongest February since 2004. However, the share of fully electric vehicles declined slightly to 24.2 percent.

In Spain, BYD remained the top selling brand for electrified vehicles for the tenth consecutive month. The company recorded 3,003 registrations and captured a 15.4 percent market share, driven largely by demand for the Atto 2 hybrid SUV. Data reported by Europa Press show that BYD has already outsold Tesla by more than 700 units in Spain during the first two months of 2026.

The company’s commercial momentum coincides with efforts to localize production in Europe. BYD began trial production at its first European passenger car factory in Szeged, Hungary, at the end of January. Full scale production of the Dolphin Surf compact model is expected to start in the second quarter.

The plant is designed to eventually produce up to 200,000 vehicles annually. Manufacturing vehicles in Europe will allow BYD to avoid the import tariffs imposed by the European Commission on Chinese electric vehicles in October 2024.

At the same time, the company is rapidly expanding its distribution network in Germany. Industry publication Autohaus reported that BYD had signed 150 sales and service locations by the end of 2025, compared with just 26 at the beginning of the year. The company plans to increase this network to 350 locations by the end of 2026.

BYD has set a target of 50,000 vehicle registrations in Germany this year, more than double its total for 2025.

The strong European performance contrasts sharply with BYD’s domestic market trends. The company’s global sales fell 41 percent year on year in February to 190,190 vehicles, partly due to the timing of the Lunar New Year holiday.

Despite the decline, overseas shipments remained robust. BYD exported 100,600 vehicles in February, marking the fourth consecutive month above the 100,000 unit threshold and representing a 50 percent increase compared with the previous year.

According to the European Automobile Manufacturers’ Association, BYD registrations across Europe surged 269 percent in 2025 to reach 187,657 vehicles, underscoring the company’s rapid rise in the region.