Published by Global Banking & Finance Review®
Posted on February 13, 2026
4 min readLast updated: February 13, 2026
Great Wall Motor revives its European strategy with hybrid and gas models, aiming to double overseas sales to 1 million vehicles by 2030.
By Qiaoyi Li, Josh Arslan and Nick Carey
BEIJING/LONDON, Feb 13 (Reuters) - Chinese automaker Great Wall Motor (GWM) said it is ready to hit the road again in Europe with hybrids and combustion-engine models after a previous attempt sputtered, part of its ambitious plan to double overseas sales to 1 million vehicles by the end of the decade.
"Europe still has great potential for Chinese brands," said Parker Shi, president of GWM International, in an interview at the company's headquarters in Baoding, in northern China's Hebei province.
GWM plans to set up a European factory to make 300,000 cars a year by 2030, requiring close to a hundredfold growth in sales.
But much has changed in the European market since GWM made its debut at a car show in Munich in 2021: a number of Chinese rivals have experienced success there in the intervening years and European automakers are also launching cheaper models to compete with the challenge from the East.
According to data from auto consultancy Dataforce, more recent Chinese arrivals including BYD, Chery's Jaecoo and Omoda brands and Leapmotor experienced rapid European growth in 2025.
Meanwhile, GWM's sales in Europe fell 25.4% in 2024 and almost 30% in 2025 to just 3,500 cars.
GWM's first new European model is the Ora 5, a small urban electric vehicle that will also be available as a hybrid, which will be followed by two models from its gasoline-powered SUV brand Haval.
Andrew Dyson, GWM's head of design, said the company is looking at sedans, a station wagon and possibly even a pickup truck for Europe to "appeal to (European) markets where there isn't the full infrastructure for (EV) charging."
Last month, GWM unveiled a new architecture for global vehicles, with more than 50 electric, hybrid and combustion-engine models planned.
The automaker is recruiting new dealers in Europe and focusing on bolstering resale values, an issue that is important to European buyers, Shi said.
But failing the first time around can make a reset tougher, as Renault has found in India.
"Coming back a second time is always more expensive and harder," said former Nissan Chief Operating Officer Andy Palmer. "It's not impossible, but you need a clear, compelling message."
'WAY FORWARD'
GWM was one of the first Chinese automakers to arrive in Europe, making a splashy entrance with an EV-heavy lineup at the 2021 Munich car show, where it also opened a European headquarters.
But GWM's poor start forced it to shut down its Munich office in 2024 and move to the Netherlands.
The firm is not the first Chinese automaker to hit the reset button in Europe.
When BYD's early sales grew below expectations in 2024, it rebooted its European operations by adding dealers and plug-in hybrids to its all-EV lineup.
BYD's sales across Europe more than tripled in 2025 to 187,657 vehicles from 50,912 cars in 2024, with plug-in hybrids among its top sellers.
GWM design chief Dyson said instead of an EV-heavy approach, launching gas guzzlers and hybrids is the "way forward."
'TOUGHER FOR THEM'
GWM's total sales rose 7.3% from a year earlier to 1.32 million vehicles, while overseas sales rose 11.7% to 506,066 vehicles, driven by growth in Australia, Latin America, South Africa and Southeast Asia.
But the U.S. market is closed to Chinese automakers and access is limited in India and Japan, meaning GWM cannot hit its 2030 sales target without Europe.
"You can go to Africa and the Middle East, but the volumes aren't really there," said Phil Dunne, a managing director at consultancy Grant Thornton Stax. "I don't see how (GWM) can do it" without Europe.
John Zeng, the head of market forecasts for China at London-based consultancy GlobalData, said "The 1 million target is pragmatic for GWM."
"With resources and technology capabilities, I don’t see why GWM can’t take on rivals in Europe if the company takes a consistent approach to the European market," he said.
GWM is accelerating investments in Europe to meet its 2030 target, international president Shi said.
But GWM faces a dramatically different market than in 2021.
"The European brands have woken up and their Chinese competitors are here already," Dunne said.
"That will make it tougher for them."
(Reporting by Qiaoyi Li and Josh Arslan in Beijing and Nick Carey in London; Editing by Thomas Derpinghaus)
A hybrid vehicle is a type of automobile that uses more than one form of onboard energy to achieve propulsion. Typically, it combines a conventional internal combustion engine with an electric motor.
A combustion engine is an engine that generates power by burning fuel and air inside a cylinder. This process creates a controlled explosion that drives the engine's pistons.
Market potential refers to the estimated maximum sales volume of a product or service in a specific market over a given period, assuming optimal marketing and sales efforts.
A factory setup involves the establishment of a manufacturing facility where products are produced. This includes the layout, equipment, and processes necessary for production.
A sales target is a specific goal set for a sales team or individual, outlining the expected amount of sales to be achieved within a certain timeframe.
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