China Has Already Exported More Cars Than Last Year

Growing global sales of EV and PHEV models have pushed China's export numbers to their highs, despite shrinking sales at home.

• In 2025, China exported 7.1 million vehicles in total, with about 6 million of them being passenger cars.

• As of August, China has exported 6.2 million vehicles. This has already surpassed the number of vehicles exported for all of 2025.

• EV and PHEV models are a big reason for China's export growth.

China's car industry keeps pumping out new models, and yet the market continues to shrink. The country's passenger car sales dropped about 25% year over year in August, according to the China Association of Automobile Manufacturers (CAAM), amid broader economic weakness. Gas-powered cars have taken the brunt of the hit, as Chinese drivers continue to shift to cars with plugs.

However, the drop in China's domestic sales is being offset by skyrocketing car exports from the country. In the first eight months of the year, China already surpassed its 2025 record of car exports, the Associated Press pointed out this week, and that's thanks largely to the growth of EV and PHEV models. Globally, the world is going electric, and China is the undisputed king of offering as many electrified models as possible.

For the month of August, China's car exports jumped a staggering 67.1% to 890,000 units exported, bringing the year-to-date total to 6.2 million passenger vehicles, according CAAM. The organization says that last year, the country exported about 7.1 million vehicles of all types, but just under 6 million passenger vehicles.

EV and PHEV models are largely buoying the export growth.

Chinese manufacturers have been trying to expand into international markets for years. They've made serious inroads across the globe, including in Europe, Latin America, and Southeast Asia. The models have increased in quality and desirability, while still maintaining attractive pricing. Even if some countries are enacting tariffs on Chinese imports so they don't crush any homegrown car-making abilities, exports have surged overall.

One of the best examples is Australia. According to Cox Automotive Australia, Chinese brands now make up nearly a third of Australia's car market. Of course, there are some pure gas imports from companies like Great Wall Motors or SAIC, but the majority of sales are hybrid, EV, or PHEV models.

There are several reasons that Chinese manufacturers for the focus on exports. Whereas companies are locked in a brutal price war domestically, they can charge more abroad and register higher margins, analysts say. Plus, exports have become increasingly crucial as the companies contend with both massive capacity to build cars and a sales slowdown at home.

The question now is whether China can keep up the pace. Clearly, markets around the world—especially ones without strong domestic auto industries—are willing to buy up BYDs, Geelys, and so on. Canada recent opened up to a limited number of Chinese imports, and Mexico is flooded with the vehicles already.

But some regions are throwing up barriers. The U.S., of course, has 100% tariffs on Chinese cars and is mulling over an even more explicit ban. The European Union is reportedly considering higher tariffs on Chinese plug-in hybrids, after those vehicles skirted tariffs on pure EVs.