China's Lithium-Ion Battery Exports to EU Hit $31.2B, Up 46%

Why it matters for European cell supply

The pattern shows that European battery demand is still met largely with Chinese cells, even as production moves closer. SCMP noted that Xpeng builds in Austria with a contract manufacturer and that BYD has said its Hungary plant will start operations in the fourth quarter of 2026. Changan said at this month's Paris Motor Show that it will raise its EU production capacity over the next four years. Hungary and Austria are among the fastest-growing destinations in the customs data.

For grid and storage developers, the same trade flow matters. Garcia-Herrero said European demand for energy-storage batteries remains strong, and Chinese suppliers are also dominant in inverters. SCMP reported that China's inverter exports to the EU rose 34.5% to US$1.7 billion in the third quarter, and that Wood Mackenzie put Chinese firms' share of Europe's inverter market above 80% last year. The EU barred Chinese inverter suppliers from EU-funded projects in May, citing cybersecurity and dependency concerns.

What is not confirmed yet

The customs release does not say what share of the shipments are cells, modules or finished packs, or how much goes into Chinese-owned plants in Europe versus European buyers. Garcia-Herrero expects component and intermediate shipments for European EV production to stay solid while trade tensions and de-risking policies pressure exports of finished goods. Whether European-built cell capacity can offset these imports is not addressed in the report.