West Midlands Police said it received a call from a man who said his Hyundai i20 vehicle had been stolen on Saturday from a hotel car park.
His car had a tracking device and officers from the Hodge Hill neighbourhood team were able to locate the vehicle on Sunday as it was in convoy with a suspected stolen red Seat Leon.
Both cars were driven into a car park in Ralph Road, Saltley but the Seat Leon drove back out after spotting officers, who then stopped the vehicle in Alum Rock Road and arrested four men inside the vehicle.
The men, aged 29, 23 and two aged 19, were taken into custody on suspicion of stealing motor vehicles.
Inside the vehicle, officers discovered keys to six more suspected stolen vehicles parked in Ralph Road and also recovered 23 stolen number plates.
Inspector Shameem Ahmed, neighbourhood policing manager at Birmingham East NPU, said: “This was great work by our team of officers from the Hodge Hill neighbourhood team.
We have seized seven suspected stolen vehicles and made four arrests in the process. We would appeal for anyone who may have any information to please contact us quoting log number 1535 of 22 January.”