GAC’s European expansion begins with the Aion V and Aion UT

For most Europeans, GAC remains an almost entirely unfamiliar name. In China, however, the situation is very different. Guangzhou Automobile Group is one of the country’s major automotive groups and recently reached the milestone of 30 million vehicles produced.

Over recent decades, it has expanded through both its own brands and joint ventures with manufacturers including Toyota and Honda. This relationship helps explain why it is dubbed the “Chinese Toyota”: alongside the reputation it has earned for quality and reliability in its home market, it has spent many years learning from some of Japan’s largest car makers.

It now intends to follow part of the same path in Europe. GAC initially entered markets such as Portugal, Poland and Finland, although its ambition extends much further: it aims to achieve near-total coverage across the continent by 2028.

Two models to begin with

In Portugal, it made its debut with the Aion V, an electric SUV offering 204 hp, a 75.3 kWh battery and up to 510 km of WLTP range.

We have already driven it for a week, and its key strengths soon became evident: ample room, generous standard equipment, comfort and convincing energy consumption. All of this comes with prices starting just above €40,000.

The next step is the Aion UT, which follows a rather different formula. It is a five-door compact measuring 4.27 m in length, designed to compete in one of the European market’s most important segments.

It arrives with a 150 kW (204 hp) electric motor, a 60 kWh LFP battery and up to 430 km of WLTP range. Prices start at €26,560, making it the entry point to the GAC range in Portugal.

GAC already has European roots

Its expansion is not simply about placing Chinese cars in European dealerships. GAC is also establishing an industrial and operational presence on this side of the world.

The Aion UT was designed by the brand’s European team in Milan and, since March, has been assembled by Magna in Graz, Austria. It is the second GAC model to leave the Austrian production lines, following the Aion V.

This is complemented by its European operation in Amsterdam and a parts distribution centre in the Netherlands. Although its commercial activity is still at an early stage, the foundations for growth are already being put in place.

Magna was not an unknown choice, either. The Graz plant has decades of experience building cars for different brands, allowing GAC to localise part of its assembly without having to construct a European factory from scratch.

What comes after the Aion models?

For now, the Aion V and Aion UT are the two models underpinning the European offensive, but GAC has already indicated that its range could become considerably broader.

At the 2025 Munich Motor Show, it displayed further models: the more upmarket Hyptec HL, the S7 SUV and the E9 people carrier. More significantly, it showed that its European strategy may no longer be confined to fully electric cars, with hybrid and plug-in hybrid options also under consideration.

None of these models has yet been confirmed for Portugal, and GAC has not announced a launch timetable. Even so, they make it clear that the Aion V and UT are only the beginning.

Until 2028, the priority will lie elsewhere: entering more countries, expanding its sales and aftersales network, and strengthening its industrial presence.