A new report from JATO Dynamics, "Understanding the automotive trade imbalance between the US and Europe," indicates that the disparity in vehicle trade between the two regions is primarily a matter of competitiveness and not solely due to tariffs.
Chinese manufacturers more than doubled their share of the European car market in May 2025, accounting for 5.9% of total new vehicle registrations, up from 2.9% in the same month last year, according to data from JATO Dynamics.
Last week, the US announced the imposition of tariffs on global imports, leaving the automotive industry facing another challenge. This follows other industry-wide issues, namely falling demand for foreign vehicles in China and stifled growth and regulatory pressures in European markets.
