By Benjamin Chiou
Date: Monday 12 Oct 2026
(Sharecast News) - No more than 350,000 hybrid vehicles made in China will be allowed to be imported into the European Union each year, according to new rules from the European Commission.
The new quota, which will take effect in December, is expected to more than halve shipments from China, with 800,000 BEV and plug-in hybrid imports expected in 2026 alone.
Each year, the limit will increase by a fixed 6%, according to reports.
The deal, reportedly backed by Beijing, follows EU trade negotiator Maros Sefcovic's trip to China earlier this month.
Vehicles produced in China but assembled in the EU will not be included in the quota, though cars produced by EU manufacturers in China will.
The EU has deemed its trade imbalance with China as "unsustainable", with the bloc's trade deficit with China surging to €360bn in 2025, up from €305bn in 2024.
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