For over two decades, I’ve been lucky enough to merge two of my favorite pastimes: travel and investing. Early on, I realized that traveling the world and being cognizant of the trends around me was one of the best investment strategies out there. There’s simply no better way to spot the next big trend than good old-fashioned boots-on-the-ground research.
For the rest of this month, I’ll be in Europe focusing on a few initiatives for the newly launched NXT Wave Research. One of my goals: keeping an eye out for fresh investment opportunities.
I’ve only been on this side of the pond for a week, but I’ve already noticed a trend I had read about—and now I’m seeing it firsthand. Chinese vehicles are on the rise across Europe.
It’s clear to me that Chinese automakers are making their presence felt—and the numbers back it up. In the first half of 2025, they accounted for 5.1% of all new vehicle registrations across 28 European countries. That’s nearly double their share from last year—and now puts them on equal footing with a legacy powerhouse like Mercedes-Benz (MBGYY).
This is no small feat. Just a few years ago, Chinese car companies were virtually nonexistent on European roads. But thanks to their aggressive push into electric vehicles (EVs), competitive pricing, and rapid innovation cycles, they’re now going toe-to-toe with some of the most iconic brands in the world. The fact that Mercedes-Benz—a symbol of European automotive dominance—is being matched by Chinese upstarts shows how fast the industry is changing.
BYD
Leading the charge into Europe is BYD (BYDDY). The company registered 70,500 cars in the first half of the year, placing it among the top 25 brands in Europe. For context, in July alone, BYD registered 13,503 new vehicles—up 225% from a year ago—and far more than the 8,837 units registered by Tesla (TSLA). Tesla, by contrast, saw its July numbers fall 40% from last year.
BYD’s breakout began early in the year and kicked into high gear in April, when it started consistently topping Tesla in new registrations. That momentum has now cemented BYD as the clear leader in both monthly and quarterly EV sales across the region.
Not long ago, Tesla ruled Europe’s EV roads. But today, its market share has slipped to just 0.8%. BYD, meanwhile, has climbed to 1.2%—a full 50% ahead of Tesla. It’s a striking shift that shows just how quickly the balance of power in the EV race can flip.
BYD is already a dominant force in Asia. And with one in four new vehicles in 2025 expected to be electric, it’s well positioned to continue grabbing global market share.
Bottom Line:
From what I’ve seen here in Europe, BYD isn’t just the most common Chinese brand on the road—it’s also building some of the best-looking cars. The stock, however, tells a different story. Since peaking in May, BYD shares have pulled back about 30%. That decline began after the company issued light sales guidance, and sellers have been quick to punish the stock while buyers wait on stronger news.
My eyes and my gut tell me that BYD will be significantly bigger three to five years from now—and I expect the stock price will follow.
Here’s to the future,
Matt McCall
Editor, Market Insights
