Chinese automakers are targeting Europe’s lucrative premium car market with a new concept of “intelligent luxury,” focusing on advanced technology, rapid charging and enhanced comfort rather than traditional brand heritage. At the Paris car show, brands including Changan’s Avatr, BYD’s Denza and Aito showcased premium electric vehicles equipped with advanced driver-assistance systems and innovative features, seeking to challenge established European luxury marques. Avatr unveiled an electric sedan and SUV starting at around €60,000, featuring rapid charging and massage functions in every seat.
The push comes as Chinese automakers face intensifying domestic competition and declining vehicle sales, prompting them to seek higher profit margins overseas. Europe has emerged as a key opportunity, particularly as Chinese brands face significant barriers in the US market. However, winning over European premium buyers remains a challenge, with BMW, Mercedes-Benz and Audi benefiting from decades of brand recognition and customer loyalty. Industry experts say Chinese manufacturers are redefining luxury through technology, but building credibility and a lasting presence in Europe will require sustained investment and patience.
Despite their relatively small market share, Chinese premium brands are recording rapid growth across Europe. Zeekr’s European sales more than tripled to 9,525 vehicles in the first nine months of 2026, while the brand plans to expand into additional markets. Avatr intends to enter Spain, Britain and Denmark in 2027, followed by Germany and other European countries in 2028. While European luxury brands remain confident in their heritage and craftsmanship, Chinese automakers believe they can narrow the gap over the next decade or two as technology increasingly shapes consumer expectations.
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