In the first quarter of 2025, the market share taken by Chinese-produced vehicles in Israel was the highest in all the world’s developed markets. At 25.5% of all deliveries, China’s market share in Israel was higher than in second-placed Australia, where the market share was 20% of all deliveries, in the UAE, where the Chinese market share was 14%, and in Brazil, where it was 7%. In Europe, the market share taken by Chinese vehicles in the first two months of 2025 was 4.1%, and that was after a sharp rise from the previous year.
At the end of April 2025, total sales of made-in-China vehicles in Israel surpassed 200,000, most of them since 2020.
Russia still leads for the total market share of Chinese vehicles, at 53% in 2025, but the Russian market is not considered “developed”, because of the Western sanctions on the country in the wake of the invasion of Ukraine, which have meant that most Western manufacturers have stopped selling there.
Changes in import mix
Israel also leads the developed countries for the number of Chinese brands on sale. 21 Chinese brands are currently represented in Israel, although some are not active in the market. By the end of the year, at least another five new Chinese brands are expected to enter the Israeli market.
The assessment in the sector is that the market share of Chinese vehicles in Israel could reach 30% of all deliveries by the end of 2025. The rise is partly thanks to the rapid change in the import mix, which has expanded beyond electric vehicles only (until 2023) to sales of hybrid, plug-in hybrid, and gasoline powered vehicles, that address a wider market.
In the first four months of 2025, Chinese brands took 92% of the plug-in hybrid segment in Israel, accounting for 6.2% of all new vehicle deliveries. The Chinese share of the hybrid vehicle market grew from less than 1% last year to 6.6%. It is expected to continue growing with the introduction of new hybrid models by MG and BAIC in the coming months.
Published by Globes, Israel business news – en.globes.co.il – on May 22, 2025.
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