Popularity of Chinese new entrants tipped to be top used-car trend of 2026

The rising popularity of Chinese new entrants is expected to be the defining trend in the used-car market in 2026, according to new research from the Startline Used Car Tracker.

More than half of dealers surveyed (53%) said increased demand for vehicles from Chinese brands would be the most significant development next year. This was followed by the continued shift towards electric cars (50%) and ongoing shortages of good-quality stock (38%).

Paul Burgess, CEO at Startline Motor Finance, said the impact of Chinese brands has become increasingly evident over the past year.

“The popularity of Chinese new entrants has been very apparent, with increasing numbers of their cars appearing on our roads and growing UK franchise dealer networks,” he said.

“They will inevitably start to appear on the used market in higher volumes and dealers clearly believe this could have a substantial impact, probably both in terms of their appeal to buyers and the effect on the wider manufacturer sector.”

Burgess added that established challenges such as electrification and stock shortages remain central to dealer concerns.

“The quantity of used electric cars available is growing and more dealers are starting to retail them successfully,” he said.

Other anticipated trends highlighted by dealers include increasing use of AI in dealerships (37%), higher consumer interest in plug-in hybrids (35%), availability of motor finance (25%) and the influence of the government’s Zero Emission Vehicle (ZEV) Mandate on electric car sales targets (15%).

“This is a diverse set of results, reflecting the wide range of issues currently facing dealers,” Burgess continued.

“Perhaps the most notable development is their interest in AI, with many respondents apparently believing this is a tool with much potential.

“Growing consumer interest in plug-in hybrids is also significant. Dealers increasingly view these as a stepping stone technology to full electrification for many motorists, and there is a strong expectation that demand will rise.”

January’s Startline Used Car Tracker questioned 303 consumers and 60 dealers, and is compiled monthly for Startline Motor Finance by APD Global Research, known for their industry intelligence and customer experience programmes.