What happened in China this month? Preparations for the 2026 Paris Motor Show!
The Paris Motor Show is held every two years and is a platform for automakers, suppliers and industry stakeholders to communicate strategic priorities and show the new models available on the market in Europe.
The last edition of the event took place in 2024. Electrification remained a dominant theme in 2024, but the deeper discussion focused on how European automakers could successfully navigate the transition to an electrified and more software-defined position while remaining competitive.
At the 2026 event, we will see more updates from Chinese automakers on their strategic priorities and localisation strategies. We will also see examples of the European response to Chinese competition.
The European response appears to be taking shape along two distinct paths: improving affordability of BEVs in volume segments and increasing technological differentiation to maintain premium positioning.
In this month's China Insight, we look ahead to the 2026 Paris Motor Show, to the updates from Chinese automakers and some examples of the European response.
What is the industry assuming?
Looking ahead to the Paris Motor Show 2026, many of the concerns raised in 2024 have proven well-founded (easy to say with the benefit of hindsight!).
Beneath the headlines, three recurring themes emerged from the 2024 show:
The challenging economics of BEVs.
Increasing collaboration across the automotive value chain; and
Chinese automakers’ growing role as both a benchmark and competitive threat.
Together, these themes represented an industry that was becoming less focused on the destination of electrification and more focused on the process of getting there.
So far in 2026, European executives have openly acknowledged the cost and development advantages of Chinese automakers, while several have shifted from direct competition towards selective partnerships and technology collaborations with Chinese companies.
The economics of electrification remain challenging. EV adoption has continued to grow, but aggressive pricing, slowing demand growth in some markets and the need to simultaneously fund electrification, software and autonomous technologies continue to weigh on resources.
Chinese automakers are continuing to build long-term local operations.
We will learn more about localisation strategies at Paris 2026, but I think we are better equipped to know what is important, and what is just strategic positioning.
The Leapmotor B03 will make its European debut at the Paris Motor Show 2026 and will be made available through the Stellantis dealer network. We have previously discussed the potential importance of dealer networks and how Leapmotor’s relationship with Stellantis is a potential advantage.
The model has been available in China since July 2026, and although it is unlikely to be a direct competitor, I would like to compare the B03 cabin with the new Audi A2 e-tron.
2026 will be Zeekr’s first Paris Motor Show. Zeekr will showcase the existing 001, X, 7X and 7GT. Zeekr is Geely’s premium brand and is looking to expand in the premium market. Zeekr is likely to be using the Paris Motor Show to mark its official entry into the French market. I would say this is one of the less significant announcements.
Chery is also attending the Paris Motor Show for the first time in 2026. The show will form part of the phased launch of its French dealer network. The Chery brand was launched in France in early September and Omoda & Jaecoo (part of the Chery group) are already present in France. Omoda and Jaecoo have around 120 points of sale in France. Chery already has around 50 points of sale and authorised repairers.
I will be looking at the AITO brand models. AITO represents the expansion of the Huawei-led ecosystem in the European market. I hypothesised in a recent study (750 - Business Strategies of Disruptive OEMs) that Huawei’s ecosystem is potentially disruptive, but may struggle to gain traction in Europe. It will be interesting to see if they have any updates in Paris.
Some European automakers are responding with affordability.
A second-generation Dacia Spring BEV city car will be exhibited, likely competing with Chery and Leapmotor models. The Spring is built on Renault Group's new RG-EV small platform, which is intended to make electric vehicles more accessible.
The Cupra Raval will be shown. The Raval was launched in April 2026 and uses Volkswagen Group's MEB Entry platform, developed specifically for affordable electric vehicles.
Other European automakers are responding with technology.
Volvo will show the new EX60 and its variants. The EX60 is already in production and the EX60 Cross Country is accepting pre-orders and is due to reach customers by mid-2027. Both are among the first models to be built on the new SPA3 platform. The SPA3 architecture supports 800 V charging and incorporates cell-to-body battery integration and Volvo’s new core-computing architecture.
The Paris Motor Show is the first major event for the A2 e-tron. Audi launched the A2 e-tron in early September with German deliveries starting in December 2026. More premium ADAS features are being made available on the A2 e-tron – though some are options. The trained parking functionality is also a step towards automated low-speed driving and personalised automation.
The Lancia Gamma will make its world premiere at the 2026 Paris Motor Show. The Gamma is built in Italy on Stellantis’ STLA Medium platform and will be offered with both hybrid and fully electric powertrains, supporting Lancia’s expansion across Europe. The brand is currently going through a major relaunch focused on premium positioning, electrification and expansion beyond Italy.
"Is this year’s Paris Motor Show mostly along the same theme as 2024?
Broadly, yes, but the discussion has become more practical. In 2024, the focus was on the transition to electrification and software-defined vehicles. In 2026, the conversation is increasingly about cost competitiveness, localisation, ecosystem control and finding value from new technologies.
The story of the 2026 Paris Motor Show is not electrification. That battle has largely been decided. The real competitive battleground is now execution: affordable EVs, distribution, localisation, software ecosystems and partnerships."
Mike Levet - Senior Analytical Reports Specialist at SBD Automotive
I’ll be back in October with the next “What happened in China?” update.
