Jaecoo 7 is UK's favourite new car as sales of Chinese brands accelerate

The Chinese-owned Jaecoo 7 has become the UK's most popular new vehicle, outpacing the Tesla Model 3 in sales. Launched in the UK in January of the previous year, the Jaecoo 7 initially claimed the top spot in March but was later surpassed by competing models until September. Manufactured in China by Chery Automobile, the Jaecoo 7's distinct design and grille have become a frequent sight on UK roads.

Often dubbed the "Temu Range Rover" on social media, the vehicle offers a more affordable alternative to luxury British brands, thanks to its pricing starting at around £30,000 ($39,600).

China has steadily gained ground in the UK car market in recent years, with Chinese brands including MG, BYD, and GWM capturing 23% of the market in September. Although Chinese vehicles first entered the British market around 15 years ago, the increasing popularity of electric vehicles has fueled their rise.

The Jaecoo 7 is available in both petrol and plug-in hybrid forms. In September, it registered 10,813 new vehicles, with Tesla's Model 3 coming in second with 9,929 new registrations and the Ford Puma third with 6,958. However, for the year-to-date, the Ford Puma remains ahead, followed by the Jaecoo 7 and the Kia Sportage.

According to preliminary data from the Society of Motor Manufacturers and Traders, electric vehicles (EVs) accounted for a record 58.4% of new vehicle registrations in September. Battery electric vehicles (BEVs) saw a 36.3% increase, with 99,199 BEVs registered (28.3% of the market), while plug-in hybrid electric vehicles (PHEVs) experienced a 55.7% rise, with 59,563 PHEVs registered. The market share of hybrid vehicles (HEVs) decreased by 4.2% to 13.1%.

The surge in BEV registrations is driven by the UK's growing selection of car models, competitive pricing, and government incentives such as the Electric Car Grant, which offers £3,750 for new fully electric passenger cars priced below £37,000. Since 2023, the number of BEV models on sale has more than doubled, with 178 models available, alongside over 110 PHEVs and 50 HEVs. The UK's electrified options now represent more than three-quarters of new cars on sale.

Despite record EV sales in the first nine months of the year (454,945 BEVs registered), EVs only account for 26.2% of all registrations, falling short of the government's 2026 target of 33%. To meet the 2026 target, an additional 265,000 BEV registrations would be needed in the final quarter, highlighting the ongoing gap between demand and mandated targets. British EV manufacturers emphasize that they remain committed to the UK market, despite facing challenges such as tariffs and rising energy costs.