China car exports to slow from ‘supercharged’ growth, group says

GROWTH in Chinese car exports will probably slow down to 10 per cent in 2027 after 2026’s surge as international markets take steps to protect their local industries, according to the country’s Passenger Car Association (PCA).

“Exports will fall from the supercharged growth seen (in 2026) to a medium-to-fast pace (in 2027),” PCA secretary general Cui Dongshu said in a briefing on Monday (Nov 9).

He blamed the expected slowdown on key markets introducing higher tariffs or import quotas. 

Overseas shipments grew by 75 per cent in the first 10 months of 2026, according to PCA data. 

The forecast comes as Chinese automakers increasingly face backlash from overseas markets – regulators in the EU, Thailand and Brazil are introducing higher tariffs or quotas to limit the flood of Chinese exports.

An export slowdown would cut into the buffer it created for Chinese carmakers, which have been struggling with plunging car sales at home.

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Still, demand from the Middle East continues to be strong and will probably drive much of the growth in 2027, Cui said. 

Exports of plug-in hybrids and extended-range electric vehicles surged 168 per cent in the first 10 months of 2026, reaching 1.77 million units.

Overseas shipments of all-electric vehicles rose but at a slower pace of 124 per cent, according to data from PCA.    

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In China, deliveries of passenger vehicles in October plunged 27 per cent to 1.64 million units as car purchases never recovered from the scaling back of subsidies and a slowing economy.

Although demand for EVs and hybrids have also been hit, their portion of new car sales continues to rise, reaching 67 per cent in October, according to PCA data. BLOOMBERG