Last news in Fakti

Hyundai management openly warned of the threat of complete domination of Europe by Chinese automakers

Chinese auto industry threatens the leadership of traditional brands in Europe

Sep 20, 2026 10:30 107

Hyundai management openly warned of the threat of complete domination of Europe by Chinese automakers - 1

The European automotive market is undergoing a major tectonic shift, provoked by the aggressive entry of manufacturers from the Celestial Empire. Hyundai CEO Jose Muñoz issued a direct warning that without the introduction of solid protectionist mechanisms and a significant acceleration of production cycles, traditional companies are in danger of losing their main positions on the continent.

The main weapon of the Eastern brands remains aggressive pricing. In key markets such as Italy, Spain and France, their models are offered with 30 to 40 percent lower price tags than analogues from established brands. This difference is putting a crushing pressure on sales and drastically reducing the profit margins of competitors.

The processes are particularly visible in the UK, where there are no additional customs duties imposed by the European Union on Chinese electric vehicles. The result is tangible — the share of Eastern brands in the British market now reaches approximately 15 percent, while in EU countries it remains at around nine percent precisely because of protective duties.

According to the management of the Korean giant, however, the tariffs are only a temporary solution that does not eliminate the fundamental competitive advantage. Chinese engineers are drastically reducing development time, while offering a high level of equipment at prices that European assembly lines can hardly approach.

In an attempt to close the technological gap, Hyundai is also pushing its development programs, but refuses to compromise on safety. The company decided to postpone the implementation of its new Level 2++ driver assistance package. Originally planned for the end of 2027, the system has been postponed to 2029, with the additional time being used for intensive testing in real-world conditions. The brand emphasizes that even after its premiere, the Level 2++ technology will not provide full autonomy, but will rely on the constant control role and attention of the driver.