Leapmotor targets one million vehicle deliveries this year

The European Union and China reached a preliminary agreement on Friday to cut Chinese hybrid vehicle exports to the bloc by more than half, offering relief to European automakers ahead of next week's Paris Motor Show. The deal could ease competitive pressure on Volkswagen, Stellantis and Renault, which are struggling with declining sales and growing competition from Chinese manufacturers, though details remain limited and Germany's VDA automotive association described it only as an initial positive signal. Chinese brands captured nearly 12% of Europe's new-car market in August, according to Dataforce, and EU imports of Chinese cars and light commercial vehicles surged almost 75% to nearly 770,000 units during January-August, with hybrids currently avoiding the additional EU tariffs imposed on Chinese-made battery-electric cars. European manufacturers face mounting financial pressure, as Mercedes-Benz reported an 8% decline in third-quarter car sales while Volkswagen recently lowered its profit outlook following a similar warning from BMW. The Paris Motor Show, running October 12-18, will highlight efforts to defend European market share through affordable electric vehicles and new partnerships, with Renault's Dacia brand showcasing its second-generation Spring electric car priced below €18,000 in France, Volkswagen presenting its ID. Tiguan alongside a strategy involving four smaller electric vehicles manufactured in Spain, and Stellantis displaying more than 60 vehicles across eight brands including a Citroën electric concept developed using technology from Chinese partner Leapmotor, while Chinese competitors BYD, XPeng and Zeekr will also showcase expanded lineups.