China's Dongfeng Targets Jump in European Vehicle Sales to 80,000 Next Year

Dongfeng Aims to Triple European Vehicle Sales to 80,000 in 2026

TURIN (Reuters) -Chinese automaker Dongfeng Motor said on Thursday it aims to triple sales in Europe to 80,000 units next year through a mix of internal combustion engine, hybrid, range extender and fully-electric vehicles.

Dongfeng has become the latest Chinese carmaker to accelerate a push into Europe, following groups such as BYD, Chery and Xpeng which are all gaining ground with competitive prices, advanced technology and increasingly sophisticated designs.

Dongfeng Europe's CEO Xie Qian said during a presentation in Turin, Italy, that the group targets sales of 80,000 vehicles in 2026 versus 25,000-30,000 expected this year.

It will rely on a line-up of over 10 models ranging from city cars to large SUVs and off-road pick-ups covering three brands: Dongfeng, Voyah in the premium space, and M-Hero for off-road vehicles.

"We're betting on BEVs (battery electric vehicles) for the long term for sure. But for the mid-term, I think there is a place for plug-in and full hybrids," Xie said, adding however that internal combustion (ICE) vehicles were still highly popular in some European countries, like Italy or Poland.

"Europe is a big and diversified market. We tend to be flexible".

Dongfeng's European expansion is based on a network of 170 dealers, which is expected to grow to 280 by the end of this year. It will include most countries in the region but with an initial focus on Italy, Poland, Germany and France.

"Next year we'll focus on improving customer satisfaction, improving the quality of our dealer network, of our points of sale, and also of the after-sales," Xie said.

Dongfeng will consider establish an assembly plant in Europe in future, he said, but only after consistent sales growth materialises.

(Reporting by Giulio Piovaccari, editing by Gavin Jones)