The Aion V is one of the cars GAC is launching in Europe as it looks to expand its presence in the region. The Aion V is on display at the company's stand at the IAA Mobility auto show in Munich, Germany on September 9, 2025.
Guangzhou Automobile Group (GAC) aims to increase its European electric car sales 17-fold over the next two years, becoming the latest Chinese player to take on the region's traditional automakers through aggressive expansion.
The entrance of the Chinese state-owned carmaker will exacerbate competition in the already intense European market that has recently seen interest from players from the world's second largest economy, from BYD to Xpeng .
GAC's presence will likely further add pressure on European giants — such as BMW and Mercedes — that have looked to fend off Chinese entrants with their own electric vehicles.
"Europe is one of our five major markets. It is a strategic market. We hope Europe will account for a major portion of our overseas market in the future," Wei Haigang, president of GAC International, told CNBC in an interview at the IAA Mobility auto show in Munich on Monday.
Wei said GAC hopes to sell around 3,000 cars in Europe this year, before boosting this target to 15,000 in 2026 and at least 50,000 units by 2027.
GAC showed off its Aion V and Aion UT fully electric cars at the IAA show this week. Wei said the company is also looking to launch a plug-in hybrid car in Europe in the future.