Brazil soared 226%, Mexico halved-what are China's auto exports going through

United Arab Emirates: Total volume fell, but new energy rose 78%

The total volume fell by 13.2%, and new energy passenger vehicles increased by 78.2%. These two figures, taken together, reveal more information than any single data.

The United Arab Emirates automobile market is undergoing a structural shift. Rising fuel costs are accelerating the shift in consumer car buying preferences towards electric and hybrid models. The United Arab Emirates national electric vehicle policy clearly states that by 2050, 50% of the vehicles on the roads will be electric vehicles. Energy giant ADNOC has built the Middle East's largest ultra-fast charging station hub in Dubai, and plans to build 20 charging hubs along highways before the end of 2027.

The model matrix of China brands such as BYD and GAC in the United Arab Emirates continues to expand, and pure electric and plug-in hybrid models are increasing in volume.

For auto parts companies, this signal deserves attention. The decline in the total number of passenger cars in the United Arab Emirates does not mean that market demand is shrinking, but that the demand structure is changing. The increase in the proportion of new energy vehicles has driven an increase in demand for tire heat resistance, battery thermal management accessories, air conditioning compressors and other categories; the shrinking share of traditional fuel vehicles has affected the stock market of engine parts, traditional filters and other categories. United Arab Emirates is the largest automobile re-export hub in the Middle East. The cargo of Jebel Ali Port radiates to the markets of Saudi Arabia, Iraq, Iran, Egypt and East Africa-this is an important window to observe changes in auto parts demand throughout the Middle East.

Brazil climbs to the top: concentrated release under the tariff window

Brazil surpassed Russia for the first time to become the largest destination for China's passenger car exports with 286,000 vehicles, a year-on-year increase of 226.1%. What do you think of this number?

The core driving force is the tariff window period. Starting from January 2024, Brazil will resume imposing import tariffs on new energy vehicles. Tariffs on pure electric vehicles will be increased step by step from 10%, and a 35% tax rate will be implemented in July 2026. Concentrating shipments before tariffs are fully implemented is the main reason for this round of surge, rather than the linear growth of terminal demand. Data on new energy passenger vehicles for the same period confirms this point: Brazil continues to lead the new energy list with 218,000 vehicles, a year-on-year increase of 220.9%, which is highly consistent with the overall trend.

The tariff game in the Brazilian market continues. After the 35% tax rate is officially implemented in July, there is a high probability that export growth will face correction pressure. But from another perspective, Brazil has gone from scratch to becoming the world's sixth largest automobile market, and the foundation of local demand is still solid. For auto parts companies, opportunities in the Brazilian market come more from the aftermarket than from vehicle exports-as the number of China brands in Brazil accumulates, the demand for maintenance parts will gradually be released.

Mexico: From growth engine to customs center

78,983 vehicles, down 46.6% year-on-year-Mexico was the market with the largest decline in the top 10.

The reason is straightforward: Starting from January 1, 2026, Mexico's import tariff on light vehicles from non-free trade partners will jump from 20% to 50%. But interestingly, despite the sharp drop in imports, the market share of China brands in Mexico is still growing against the trend-in the first four months of 2026, the proportion of China-made cars in Mexico's domestic sales reached 23%, an increase of 3.9 percentage points from the previous period. This shows that terminal demand has not disappeared, but has only been suppressed through price increases under tariff pressure. At the same time, some car companies are accelerating their localization layout to hedge the impact of policies.

Multiple outbreaks in Europe: Who is recognizing China's new energy

Leaving aside Brazil and Mexico, two markets that are highly tariff driven, European data is more noteworthy.

Italy's passenger car exports increased by 121.2%, new energy passenger car exports increased by 460.7%, and Germany increased by 295.0%. Among the top ten new energy export lists, Europe occupies five (Belgium, Britain, Germany, Italy, Spain). This is no accident: the cost and product advantages of China brands in pure electric vehicles are gradually recognized by the traditional automobile powerhouse market.

At the same time, signals in Southeast Asia are also changing. Malaysia entered the TOP 10 passenger cars for the first time with 60,393 vehicles, a year-on-year increase of 27.5%. Thailand ranked among the top 10 new energy exports with 37,057 vehicles-the Southeast Asian market is moving from a potential incremental market to actual pressure.

The landscape has changed. What do companies think?

Data for the first four months of 2026 points to a clear trend: the growth driving force of China's automobile exports is shifting from a number of hot-spot markets to a new stage of joint pressure on multiple regions and increasingly diversified structures.

For auto parts companies, this means several things:

Market choices are more important than ever.& nbsp; Tariff policy, geographical relationship, degree of localization, variables in each market are intensifying differentiation. To follow export data, you need to understand the policy cycle at the same time.

The focus of the category is shifting.& nbsp; The increase in the proportion of new energy vehicles drives not the entire vehicle trade, but the reordering of post-market categories. The question of which parts will grow in which markets is more worth tracking than the total export volume.

United Arab Emirates remains a key anchor in the Middle East.& nbsp; Although the total amount is being adjusted, the penetration of new energy is accelerating, the re-export radiation is widespread, and the policy environment is relatively stable. There are still auto parts opportunities in the United Arab Emirates market, but they just need to be searched from a different perspective.

Source: China International Exhibition for Trade Promotion

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