Chinese made electric vehicles are rapidly reshaping New Zealand’s car market, with new figures showing reduced emission vehicle imports rose 33% to $2.9 billion in the year to 30 June, now accounting for almost half the total value of all passenger vehicle imports.
China supplied 73% of New Zealand’s fully electric vehicle imports over the period, according to Stats NZ, while Japan remained the dominant source for hybrids. The Motor Trade Association counts 29 Chinese vehicle brands now represented in the country, including BYD, Chery, Dongfeng, Geely, GWM, Leapmotor and Zeekr, a figure that excludes established global automakers that build some electric models in China.
Motor Trade Association sector manager Larry Fallowfield said the growing presence of Chinese brands marked a significant shift in the market, with lower starting prices drawing in buyers who previously would not have considered a battery electric vehicle. He said perceptions of Chinese vehicles had shifted considerably in recent years, with brands now offering the safety features, advanced driving technology and touch screen systems found in established marques.
The influx has also intensified competition. BYD New Zealand general manager Warren Willmot said the market had become increasingly crowded, and predicted around 30% of brands currently selling vehicles in New Zealand could withdraw within the next two years, a pressure he said extended to established Western and Japanese brands as much as newer Chinese entrants. South Korean brand KGM and Chinese brand LDV have both already pulled out of the New Zealand market this month.
Auto Distribution Holdings chief executive Simon Rutherford, whose company introduced Dongfeng to New Zealand in late 2025, said competitive pricing alone would not guarantee success, with brands needing to offer strong overall value and ownership experience to build sustainable market share.
Industry figures expect the trend to continue, driven partly by falling battery costs linked to a global oversupply of lithium. Fallowfield said Chinese manufacturers were now established enough in New Zealand to keep growing, though probably at a slower rate than the rapid expansion seen over the past two years.
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