Topic: Europe

Have fears of an EU new-car market slump eased?

A challenging start to the year for the EU’s new-car market was tempered in February. However, a return to growth was offset by a wider slowdown. So, which countries and powertrains enjoyed growth? Autovista24 web editor James Roberts investigates the latest data.

In February, the EU’s new-car market returned to growth. According to ACEA, a total of 865,437 new passenger cars were registered. This equated to a volume rise of 1.4%, following on from January’s 3.9% decline. Two months into 2026, the EU new-car market fell by 1.2% overall. A total of 1,664,680 new units were registered across member states.

Regional new-car market growth

In total, 20 nations witnessed new-car market growth in February. Of the big four EU markets, Italy enjoyed the most significant improvement at 14%. This was underpinned by a significant electric vehicle (EV) volume increase, including battery-electric vehicles (BEVs) and plug-in hybrids (PHEVs). The latent impact of 2025’s incentives played a sizeable part in this trend.

Spain’s new-car demand continued to prove positive, albeit slightly muted compared with previous months. Buoyed by continued strong EV demand, overall volumes increased by 7.5% year on year. Meanwhile, the bloc’s largest market, Germany, returned a solid 3.8% market growth in February.

France continued a distinctly negative trend. Despite relatively strong increases in BEV deliveries, registrations fell across hybrid, petrol and diesel variants. This dragged the market to a sizeable 14.7% decline.

Poland continued its EV-driven trend of prosperity. The EU’s fifth-largest market enjoyed a 6% upswing. In percentage terms, Estonia has rebounded from significant declines in 2025 to an 82.4% lift in its new-car market fortunes. This meant 1,138 new cars were delivered in February.

Other notable slumps occurred in the Netherlands, which witnessed a 19% dive in new-car deliveries. This was triggered by a double-digit drop in petrol and BEV figures, as hybrid registrations also dipped. However, this can be skewed by the country’s relatively large company car market.

Neighbouring Belgium saw deliveries fall across all powertrains except petrol. This resulted in a 7.7% year-on-year slide as the country’s market continued to decline.

PHEVs proving popular in EV push

Total new EV registrations, combining BEV and PHEV volumes, amounted to 242,052 in February. This ensured a 28% share of the overall EU market, up 5.2 percentage points (pp), according to Autovista24 calculations.

BEV registrations in the EU increased by 20.6% with 158,280 units leaving dealerships in the month. In total, 22 nations saw all-electric registration increases. This resulted in all-electric cars accounting for 18.3% of all new-car deliveries in the EU, an increase of 2.9pp year on year.

Meanwhile, PHEVs accounted for 9.7% of the overall EU new-car market. This was enabled by a sizeable 32.1% volume increase compared with February 2025. ACEA stated that the powertrain’s popularity underlines ‘the importance of a technology-neutral pathway to decarbonisation.’

In some of the EU’s largest markets, PHEV demand helped boost overall plug-in totals. Italy led the way in February with triple-digit PHEV increases amounting to 101.7%. This was coupled with a healthy 81.3% surge in year-on-year BEV demand.

This trend was echoed in Spain. Amid a new national incentive framework, PHEV popularity increased 75.2%, while BEVs improved by 45.4%. However, local industry bodies exercised caution when considering the longer-term impact as new legislation takes shape.

New purchase incentives in Germany seemingly boosted the overall market in February. The EU’s bellwether market saw BEV and PHEV volumes grow by 28.7% and 24.5% respectively.

EV uptake in France exposed the nation’s wider new-car market contradictions. Despite a 27.8% increase in BEV volumes and a 3.2% lift for PHEVs, the wider market fell thanks to lower internal-combustion engine (ICE) deliveries.

Denmark’s new-car market BEV boost

February saw Denmark consolidate its position as an EU BEV market leader. The country saw 9,736 new BEVs take to the country’s roads, according to ACEA.

Conversely, its PHEV volumes declined by 60.9%. Hybrids, made up of mild and full-hybrid powertrains, took at 19.8% tumble, and petrol plummeted by 72%. Despite this, the overall new-car market grew by 2.8%, suggesting that, unlike other markets, BEV growth can support wider market prosperity.

Poland continued to return impressive EV numbers in February. BEV volumes increased 12.9% year on year, while PHEVs improved by 90.3%.

The country’s NaszEauto incentives programme has boosted registrations since 2024. The sustained growth of the sector explains the relatively low double-digit year-on-year increases in February, after triple-digit monthly trends.

Despite being a smaller EU new-car market, Croatia recorded notable EV growth in February. The country’s BEV sector witnessed a 217.7% surge, while PHEV popularity increased 140%. Overall, the country saw year-on-year gains of 14.7% with 4,869 units registered.

EU hybrid hegemony continues in February

In the month, 334,791 new hybrid vehicles took to the EU’s roads. This marked a 10.1% year-on-year upswing, plus a dominant 38.7% market share, up 3pp. Adding hybrid volumes to BEV and PHEV registrations provided a total electrified vehicle figure of 576,843 passenger cars. This secured 66.7% of the EU new-car market in February, an increase of 8.2pp

Germany, Italy and Spain all saw hybrid delivery growth in February. Most notable was Italy, where 81,799 new passenger cars underpinned a year-on-year uplift of 33.9%. In the year to date, Italy boasts the highest number of new hybrid registrations at 156,215 units.

In France, a lacklustre month for hybrids added to overall new-car market volume woes. Despite the EV volume rise, the nation’s hybrid market contracted by 7.2% with 57,670 deliveries. Aligned with significant falls in ICE uptake, this is harming overall growth.

ICE versus EVs

In February, total new ICE registrations, combining petrol and diesel models, reached 270,276 units. This continued a trend of decline with a volume drop of 16.6%. Accordingly, a year-on-year market share fall of 6.8pp to 31.2% followed.

Two months into 2026, the overall petrol and diesel market share stood at 30.6%. This was 1.9pp above the EV share. At the end of January, the gap was just 1pp, suggesting the electric market will have to push hard to overtake ICE this year.

In February, petrol remained a resilient new-car choice. The fuel type held on to a 23.1% market share, albeit down 5.4pp. This was despite a sizeable 17.9% volume decline. This was still the second-best-selling powertrain in the EU, with 199,910 deliveries. In total, 10 nations saw year-on-year increases in new petrol car registrations.

Meanwhile, new diesel registrations in February amounted to 70,366 passenger cars across the EU. This signalled a 12.8% fall, securing an 8.1% market share, down 1.3pp. The fuel type saw year-on-year declines in all but 11 member states.

BYD and Jaecoo delve into Europe’s new PHEV market

Europe’s electric vehicle (EV) market continued a trend of double-digit growth at the start of 2026. As plug-in hybrid (PHEV) sales soared, two Chinese brands enjoyed success in the region. Tom Hooker, Autovista24 journalist, breaks down the figures.

Both battery-electric vehicle (BEV) and PHEV sales enjoyed a strong start to 2026 in Europe, following a record-breaking 2025.

PHEVs recorded a 33.5% increase to 101,548 deliveries in January, according to EV Volumes. This was the first time the technology surpassed six-digit sales figures in the first month of the year. The result was in stark contrast to the PHEV market’s global performance, as it endured a 20.6% decline in the same period.

Yet this was still some way behind the 188,752-unit total accrued by BEVs. However, this did represent smaller growth of 12.7%. Combining the two technologies, overall EV sales in Europe grew by 19.2% in January to 290,300 units.

PHEVs’ share of Europe’s EV market increased to 35% in the month, up 3.8 percentage points (pp) year on year. In turn, BEVs took a 65% hold, down from 68.8%.

BYD and Jaecoo’s PHEV success

Two Chinese models shot out of the starting blocks in January, topping Europe’s PHEV market. First was the BYD Seal U, the continent’s 2025 best-seller. Second was the Jaecoo J7, which placed ninth in last year’s PHEV rankings.

The BYD SUV recorded 6,713 sales, giving it its third consecutive monthly first-place finish. Its total was up 261.9% from 12 months earlier, as its share rose 4.2pp to 6.6%.

Jaecoo’s J7 followed with 4,166 deliveries. The model has become a strong contender in the European PHEV market after deliveries began taking off in February 2025. Its share stood at 4.1% in January 2026, 0.5pp ahead of the nearest challenger.

Contrasting European PHEV fortunes

The Volvo XC60 was the first of three European models vying to shine domestically. The SUV led the sector 12 months ago, however, it started 2026 with a 26.4% sales decline. This equated to 3,619 units, handing it a 3.6% share, down from 6.5%.

Behind was the Volkswagen (VW) Tiguan, which took second place behind the BYD Seal U last year. Yet the Tiguan started 2026 with a 1.2% drop to 3,547 deliveries. Amid increasing competition, the PHEV’s share of overall volumes fell by 1.2 pp to 3.5%.

However, not all European PHEVs suffered a decline in January. The Mercedes-Benz GLC saw sales rise 75.9% to 3,475 units, securing fifth. It captured 3.4% of the market, up 0.8pp year on year.

PHEV shares slip

The Ford Kuga landed sixth with 3,089 sales. This represented a 4.6% increase on 12 months prior. Even so, its share slipped by 0.9pp to 3%. Seventh was the Hyundai Tucson after a 18% improvement to 2,806 deliveries. The SUV also suffered from increased competition, with its share falling by 0.3pp to 2.8%.

A similar story could be seen in eighth. The Toyota C-HR saw its slice of the PHEV market drop from 3.6% to 2.7%. Its volumes were stagnant from January 2025, down 1.3% to 2,726 units. Conversely, sales of the BMW X3 soared by 47.2%, ensuring a ninth-place finish. Its 2,697-unit total translated to a 2.7% share, up 0.3pp year on year.

The VW Golf came 10th, with an even greater increase of 81.2% to 2,558 sales. It made up 2.5% of total PHEV volumes, up 0.6pp from January 2025. The hatchback was the only non-SUV present in the PHEV top 10.

SUVs were not far off from filling out January’s top 10. Just seven units behind the VW Golf sat the BMW X1, followed by three further SUVs. This highlights how the body type is dominating PHEV sales in Europe.

Skoda’s strong start to 2026

Europe’s BEV best-sellers list featured a more diverse range of body types. Yet an SUV still led the way, as the Skoda Elroq returned to first place. 2025’s second-place finisher posted 8,146 sales in January. This gave the all-electric model a 4.3% share of Europe’s BEV market.

The combined deliveries of the Renault 5 and the Alpine A290 narrowly missed out on victory. Just 45 units behind the lead, the duo’s 8,101-unit total was up 75.5%, as its share soared from 2.8% to 4.3%.

Last year’s best-selling BEV in Europe, the Tesla Model Y, took third. Its 7,130 deliveries were up 21.2% compared to 12 months prior.

The crossover made up 3.8% of all-electric volumes, a 0.3pp improvement from January 2025. This was a good result considering its typical delivery pattern is weighted towards the end of the quarter.

Slowing sales for VW models

In fourth, the Skoda Enyaq was some way back from the leading trio. Its 5,475 deliveries were down 18.4% year on year, as its share slipped 1.1pp to 2.9%. The VW ID.3 was 70 units behind as its sales stagnated. The BEV recorded 5,405 units in January, down 0.3%. In turn, its hold fell by 0.3pp to 2.9%.

VW’s other ID models suffered poor results. The ID.7 managed sixth with 4,735 new models leaving dealerships. This translated to a 19.6% slump, while its share went from 3.5% to 2.5%.

The ID.4, which led the market 12 months previously, sat seventh in January 2026. It endured a 33.2% drop in sales to 4,541 units. The all-electric model took a 2.4% share, down 1.7pp year on year.

VW was not the only German brand to see declining deliveries. The BMW iX1 landed eighth after a 1.6% fall to 4,042 units. Meanwhile, the Audi Q4 e-tron suffered a greater drop of 12.1% to 4,002 sales. Both models recorded a 2.1% share, down from 2.5% and 2.7%, respectively.

The Citroen e-C3 took 10th with 3,671 deliveries. This was a 20.5% increase on 12 months prior, while its hold saw a marginal 0.1pp uptick to 1.9%. The Audi Q6 e-tron was 31 units back, narrowly missing out on making January’s top 10 table.

New-car struggles continue in France despite BEV push

The new-car market in France endured a slow start to 2026, as February saw a dramatic drop in registrations. But which powertrains caused the market to sink, and could this trend continue? Autovista24 special content editor Phil Curry examines the data.

In total, 120,764 new passenger cars were registered in February, figures reported by the PFA and AAA Data show. This was a drop of 14.7% compared to the same period in 2025.

This was the steepest slide in volumes since the 24.3% decline recorded in August 2024. It is also the fourth consecutive month of registration decreases. February’s result means that after just two months of 2026, deliveries were down 11.1% in the year to date.

Are BEVs running out of momentum?

Volumes of electric vehicles (EVs), incorporating plug-in hybrids (PHEVs) and battery-electric vehicles (BEVs), kept the French market from sinking further. However, natural market demand for these powertrains was obscured by the country’s incentive and social leasing programmes.

EV orders using the social leasing scheme began on 30 September 2025. Meanwhile, the country’s ecological bonus incentive scheme was restructured in July 2025, with a change in funding provision.

Both schemes had an impact on a struggling BEV market. It recorded double-digit growth since July, after wavering in its consistency beforehand.

With the launch of social leasing in October, BEV volumes have increased, after a rollercoaster period of results. In that month, deliveries rose by over 60%, following increases exceeding 40% in both November and December. This year started with an improvement of over 50%.

However, there were signs that the incentive momentum may be slowing. In February, 32,372 new BEVs were registered, according to Autovista24 analysis of PFA and ACEA data. This was a 27.8% increase year on year, the smallest volume improvement since September 2025.

The all-electric powertrain took a 26.8% market share in February, a jump of 8.9 percentage points (pp). Despite the lower growth, momentum remains with the technology in the French new-car market. After two months, BEVs have established themselves as the country’s second-best-selling powertrain, after hybrids.

So far in 2026, a total of 62,679 all-electric models have been delivered to customers, up 38.5% year on year. This means the powertrain accounted for 27.5% of all registrations in the country, up 9.8pp.

PHEVs see growth in France

While BEVs flew, PHEVs also helped the French new-car market from sinking further. In February, 6,655 new plug-in hybrids made their way to the country’s roads, a 3.2% rise.

The result gave PHEVs a 5.5% market share, up 0.9pp compared to the same month last year. This was also the first time since December 2024 that the powertrain recorded an improvement in volumes. Yet rather than an increased interest, the result may have more to do with last year’s poor performance.

In February 2025, PHEV volumes were down 45%, as the market struggled. Double-digit declines were recorded across the first half of 2025 and during the final quarter of the year.

This appears to have reset the plug-in hybrid market. January 2026 saw a stable result, with volumes down only 0.6% year on year. February’s figures may give hope that PHEVs can help reduce overall losses seen elsewhere.

Across the first two months of the year, France’s PHEV market was up by 1.5%, with 11,476 units delivered. This equated to a 5% share, up 0.6pp.

Combining BEV and PHEV figures, France’s EV market rose by 22.8% in February, with 39,027 deliveries, according to Autovista24 calculations. The 32.3% share was up 9.8pp, and almost doubled that achieved by internal-combustion engine (ICE) models. After two months, EV deliveries were up 31.1%, with a 10.4pp increase in market share to 32.5%.

Petrol providing headache for France

The incentive-aided improvement in the EV market was not enough to make up for the shortfall in ICE registrations, which are pulling the French market down. For the second month in a row, deliveries of petrol-powered passenger cars fell by nearly half year on year. February saw registrations collapse by 48.1%.

February’s petrol result meant the powertrain represented 15.1% of total deliveries in the month. This was a drop of 9.7pp compared to the same month in 2025. Between January and February, petrol deliveries were down 48.5%. This left the fuel type with a market share of 14.7%, down by 10.7pp.

Diesel fared no better with registrations down 53.8%, although with lower volumes, as 3,098 units were delivered in the month. With a 2.6% market share, the powertrain is floundering below other major technologies.

Just 5,619 units were registered in the first two months of the year, a 51.8% decline. This gave diesel a 2.5% market share, dropping 2.1pp compared to the first two months of 2025.

Combining petrol and diesel deliveries highlights the issues that France is facing in its new-car market. With 21,304 registrations, volumes dropped 49.1% during February. That figure gave the grouping a 17.6% market share, falling 11.9pp.

After two months of 2025, ICE volumes declined 49%, with 39,151 units leaving dealer forecourts. The 17.2% share of total registrations was down 12.8pp.

Hybrid slowdown in France

While petrol and diesel declines had a debilitating effect on the French new-car market, hybrids also struggled. In February, 56,538 new hybrids were registered, including full and mild versions, according to Autovista24 analysis of PFA data. This was a drop of 9% year on year. The market appears to have slowed, following rapid rises seen across 2025.

February’s result was the first decline in the market for quite some time. This suggests that the market may have peaked. Yet it still dominated French registration figures, with a 46.8% market share in the month. This was up, but only by 2.9pp, as results elsewhere declined.

Two months into 2026, hybrids recorded 108,061 registrations, according to PFA data. This was a drop of 4.9%, compared to the same period in 2025. Yet their market share of 47.4% was up 3.1pp, and considerably higher than any other powertrain.

ICE powertrains are acting like a weight, pulling the overall performance of the French new-car market down. Without the powertrain, the market would still have declined, but by a marginal 0.3% in February, according to Autovista24 analysis.

The Automotive Update: Latest key European car market news

How did Europe’s biggest used-car markets perform in 2025? Is a slow start to the EU’s new-car registrations cause for concern? Plus, an important autonomous vehicle partnership takes shape. Autovista24 special content editor Phil Curry presents The Automotive Update podcast.

In this latest episode, a look at the biggest used and new-car markets across Europe. Also, an expert-led overview of the new award-winning Mercedes-Benz CLA. Plus, news on a delay to the EU’s Industrial Accelerator Act. 

Subscribe to the Autovista24 podcast and listen to previous episodes on Spotify, Apple and Amazon Music.

Europe’s used-car markets in 2025 

While seeing overall volume increases, Europe’s major used-car markets experienced mixed fortunes in 2025.

Spain enjoyed a largely positive year. The market was up by 4.4% compared to 2024, based on Autovista24 analysis of available data from industry body GANVAM. 

Italy followed in terms of volume growth, in contrast to the performance of its new-car market. It emerged as the most stable of Europe’s largest markets, with May posting the only monthly decline in the year.  

The UK market signalled a 2.2% increase in transactions across the 12-month period, according to data from the SMMT. 

The French used-car market struggled after a strong start to the year, but still recorded a positive result, in contrast to its new-car registrations. Meanwhile, Germany provided the least favourable performance of the big five markets in 2025.

Slow start to 2026 for EU new-car market 

For the second consecutive year, the EU saw a fall in new-car registrations during January. 

In total, just 10 EU member states saw year-on-year increases in new-car registrations during the month. This result brought an end to six months of consecutive growth. 

The figures from ACEA suggest that the popularity of hybrids, including both full and mild hybrids, may have peaked. The powertrain group secured 38.6% of the market, a new high, with volumes rising 6.2% in the month.  

Meanwhile, registrations of battery-electric vehicles and plug-in hybrid volumes increased. Conversely, the trend of new petrol and diesel registration declines continued.

Which brands thrived in the EU during January?

Chinese-brand BYD began 2026 with strong sales in the EU’s new-car market. The relative newcomer saw deliveries surge by 175.3% year on year. Meanwhile, other carmakers faced varying degrees of success.    

Volkswagen Group (VW) took the top two best-seller spots, with the VW and Skoda marques. However, VW registrations fell by 10.6% in the month, while Skoda saw a 10.7% uplift in deliveries, according to ACEA data.  

Stellantis posted year on year growth of 9.1% in the first month of 2026. Conversely, Renault Group endured a delivery decline of 16.7%, with the brand’s total down 36.7% year on year.  

A closer look at the Mercedes CLA

The latest Autovista24 Launch Report focused on the award-winning Mercedes-Benz CLA. 

The new battery-electric variant took the title of European Car of the Year 2026 at the Brussels Motor Show, giving the German carmaker its first win in 52 years. 

Highlights include its sleek design and impressive interior, alongside an electric drive system that can provide a 777km (483 miles) of driving range. Together with an 800-volt architecture, using a rapid charger, it can recharge around 300km of range in 10 minutes.

Delay to crucial new policy announcement 

The European Commission has delayed its announcement to prioritise industrial parts and products made in Europe by a week. This follows disagreements over the geographic scope of the scheme. 

The Industrial Accelerator Act aims to set minimum thresholds for locally made parts in projects using public funds in strategic sectors. This includes batteries, solar and wind energy, and nuclear power. It will now be unveiled on 4 March, Reuters reported. 

Wayve closer to UK robotaxi launch

UK self-driving start-up Wayve has raised $1.2 billion (€1 billion) in new funding from investors, including Mercedes-Benz, Stellantis, and Nissan. The brand is gearing up to launch its first robotaxi service in London later this year, the  Financial Times  reported. 

The company has said that Mercedes-Benz and Stellantis are exploring using Wayve’s autonomous driving systems. These can be used for both robotaxis, and privately owned vehicles. 

Existing investors Eclipse, Balderton and SoftBank Vision Fund 2 led Wayve’s latest round, alongside US tech groups Nvidia, Microsoft and Uber, bringing its total capital raised to $2.5 billion. 

How did Europe’s major used-car markets perform in 2025?

With mixed fortunes in new-car registrations, did used-car transactions in Europe’s big five automotive markets provide some relief last year? Autovista24 special content editor, Phil Curry, examines the latest data.

Used-car transactions in Spain, Italy, the UK, France, and Germany all saw growth in 2025, just at varying rates. Some markets may be more concerned than others, however, as 2026 progresses.

The results suggest that buyer demand remains high. Volumes continued to outpace those in the respective new-car markets. However, for three of the five countries, used-car growth was lower than registration results.

Where reported, the figures also show internal-combustion engines (ICE) continue to dominate, contrasting with new-car market trends. Buyers appear to be turning to used cars, as supplies into new channels dwindle.

Spain leads used-car growth

Just like its new-car market, the used-car sector in Spain was the fastest growing in Europe’s big five last year. The country saw 2,163,260 transactions across 2025, according to Autovista24 calculations based on monthly data from GANVAM. This was an increase of 4.4% compared to figures from 2024.

Spain’s used-car market did not have as smooth a 2025 as its new-car sector, however. Declines in April, May and November pulled figures back. However, the year finished strong, giving the country a good starting point for 2026.

The fourth quarter of the year saw 614,872 transactions, a rise of 4.5% compared to the same period in 2024. October saw a 4.4% rise, with 210,332 used cars changing hands, according to Autovista24 analysis. However, November’s sales dipped by 1.1% to 187,208 transactions.

But the market bounced back in December, as 217,332 used cars made their way to customers. This was the best monthly volume of the year and represented a 9.9% year-on-year rise. With November’s decline, the only low point in the last half, transactions increased by 5.8% to 1,125,521 sales.

A problem with age

According to GANVAM, fleet renewal remains a challenge. Sales of three-to-five-year-old models increased by 8.8% across 2025. Transactions of models over 10 years old improved at a slower rate of 4.6% between January and December. Yet they accounted for 57.3% of Spain’s used-car total. This means that the average age of a used car sold in the country was 11 years old.

Therefore, GANVAM and fellow Spanish industry body Falconauto are calling for an effective scrappage incentive strategy. This would help remove older, more polluting models from Spanish roads. By tying scrappage into the activation of subsidies for the purchase of new electric vehicles (EVs), this process could be accelerated.

Diesel remains on top

Diesel transactions fell by 0.8% across 2025, according to GANVAM. However, it was still the most popular powertrain in the used-car market, making up 49.9% of transactions. Petrol was responsible for 36.3% of sales, with volumes increasing by 2.3%.

The volume of hybrids, plug-in hybrids (PHEVs) and battery-electric vehicles (BEVs) only accounted for a small percentage of the market. However, these transactions increased rapidly. BEVs saw an improvement of 53.3% year on year, making up 1.3% of total transactions.

By age, newer models were the best-sellers when it came to BEV transactions. Those models less than a year old represented 26% of all-electric sales in the year. Models between one and three years of age accounted for 32.1% of those sold. Meanwhile, PHEVs saw growth of 43.7% compared to 2024, with a 2% market share.

Used-car market stronger in Italy

Italy’s used-car market ended 2025 as the second-fastest growing of Europe’s big five. This was contrasted with its new-car market, which struggled throughout the year.

According to industry association ANFIA, a total of 5,648,961 transactions took place between January and December. This was up 3.3% compared to 2024, equating to an extra 181,029 sales, according to Autovista24 calculations.

Only one month in the year saw a decline in used-car transactions, with May recording a dip of 3.9%. This was not enough to dent the market’s progress, with September’s 10.5% jump.

The fourth quarter of the year proved steady, with a 1.6% rise in cars changing hands. A total of 1,505,900 transactions took place between October and December. This meant a better-performing second half of 2025, with a 3.6% rise in sales.

October saw 552,410 deliveries, an increase of 1.8% compared to the same period in 2024. November was the second-worst performing month of the year, with 470,157 transactions resulting in a 0.3% increase. December saw 483,333 used-car sales take place. This was good enough for a 2.7% rise compared to 12 months prior.

Further growth for UK

The UK’s used-car market ended 2025 with a flourish, as figures improved for the third consecutive year.

In total, 7,807,872 used cars changed hands between January and December, an increase of 2.2% compared to 2024. The latest figures from the SMMT show growth in each quarter of the year, as buyers continued to turn to older cars to meet their needs.

Just February and November saw dips, down 0.3% and 0.2% respectively. These results did little to impact the overall market, however.

A total of 1,769,501 transactions took place between October and December, a year-on-year rise of 1.3%. October was the strongest month of the three in terms of volume, with 674,801 sales and a 0.8% increase. November saw a 0.2% decline as 606,182 models changed hands.

While representing the lowest transactions of the year, December’s 488,518 total was a rise of 4.1%. This was the second-largest volume increase after March’s 6.9% rise.

These results meant the second half of the year saw an improvement of 2.1%, just 0.1pp lower than the result between January and June.

Petrol leads the way

Petrol increased its transaction volume in 2025, with 1.5% more sales taking place. In total, 4,430,901 units changed hands in the 12-month period. This gave the powertrain a 56.7% market share.

Meanwhile, diesel fell 3.3% year on year to 2,586,279 transactions. The fuel type represented 33.1% of total sales in 2025. This performance came in stark contrast to the new-car market, where diesel registrations fell 15.6% with just 103,906 deliveries taking place.

This could be due to a decline in the availability of diesel cars, rather than demand. As supply into the used-car market falls, the high used-diesel sales may be contributing to the country’s ageing car parc.

The figures show that interest in the internal-combustion engine (ICE) market is far from over. In total, 89.9% of transactions in 2025 were petrol or diesel-powered models.

EVs increase their presence

However, the strongest growth came from full-hybrid (HEV) and BEV powertrains. With more supply into the used-car market, electrified deliveries are continuing to improve.

HEVs saw 407,531 units sold in 2025, a rise of 33.1%. They gained a 5.2% market share in the 12-month period. Meanwhile, BEVs saw 274,815 models changing hands, a rise of 45.9% year on year. This was good enough for a 3.5% share of total used-car transactions in the year.

PHEVs, however, declined by 4.4%, with just 88,032 transactions, making up 1.1% of sales. Electrified drives accounted for 9.9% of total sales in 2025. It is likely this growth will continue throughout 2026. More models will become available from the new-car market, increasing supply into used-car channels.

France falls flat

After a strong start in January, the French used-car market experienced a steady year in 2025, according to information from AAA Data. The high 7.7% year-on-year increase in the first month of the year was not beaten, although December’s 6% surge came closest.

Overall, results middled, with the market experiencing a small, 0.8% increase across the 12-month period. The fourth quarter saw a similar rise of 0.8%, as December’s strong result was reined in by declines in October and November.

In October, 483,743 used cars changed hands, resulting in a decline of 1.1%. This was followed by a 2% drop in November, with 423,704 transactions. December’s 6% rise was thanks to 452,149 sales.

This was enough to help used-car transactions in France limp over the line with growth. This was in contrast to the country’s new-car market, which fell by 6.1% last year.

According to AAA Data, the used-car market has been characterised by a shortage of newer models since the COVID-19 pandemic. Transactions of used cars under five years old declined by 7% in 2025, impacted by drops in new-car registrations. In total, 1,552,835 models in this age range changed hands.

However, cars over 10 years old saw sales jump by 6%, likely adding to the country’s increasing average car parc age. With 2,644,957 transactions, they made up the majority of used-car deliveries. Meanwhile, models aged between five and 10 years record 1,198,640 transactions, a 1% increase year on year.

ICE domination continues

While the electrification of the French used-car market continued, ICE models still dominated sales in 2025. According to AAA Data, diesel transactions fell by 4%, making up 45% of total deliveries in the year.

Meanwhile, petrol models recorded a 3% decline in the year, taking a 39% market share. This means ICE cars accounted for 84% of the country’s used-car total in 2025.

Used electric cars accounted for 3% of the market between January and December, with volumes rising 30%. Meanwhile, hybrid deliveries took 12% of the total.

Germany sees stable demand

Germany’s used-car market remained stable in 2025, helped by a strong result in December. This came after two months of decline that threatened to push the sector into a year-on-year loss.

In total, 6,512,427 used-car transactions took place in the year, according to the KBA. This was a rise of just 0.5% compared to 2024. Much like the country’s new-car market, transactions of used cars saw a rollercoaster year, with a equal number of monthly declines and increases.

The fourth quarter of 2025 saw sales rise by just 0.4%, with 1,560,389 transactions taking place according to Autovista24 calculations.

The quarter started with a 2.8% decline in October, as 558,790 passenger cars were sold. November also saw a drop in volumes of 3.2%. However, the market bounced back in December, with an 8.8% rise proving to be the strongest growth of the year. This was thanks to 485,953 transactions.

This boosted the second half of 2025 to an improvement of 0.7%, meaning Germany’s used-car market finished the year growing. However, the country will be hoping for more stability in transactions during 2026.

Will Hungary see automotive growth in 2026?

Following three years of economic underperformance and uncertainty, Hungary faces a challenging 2026. Barnabás Kovács, head of valuations for Hungary at Autovista Group, explores the numbers with Autovista24 editor Tom Geggus.

Industrial production and investment in key sectors continue to be strained. High energy prices and taxation have put extra pressure on businesses. Meanwhile, households are struggling with affordability. Higher costs, perceived inflation, and economic uncertainty have led consumers to save rather than spend where possible.

After three consecutive years of weak GDP performance, the country’s economy is expected to grow by to 2.4% in 2026. This could support a modest recovery in consumer demand.

The National Bank of Hungary (NHB) confirmed the average rate of inflation in the country was 4.4% across 2025. This year, the institution expects inflation to rise by 3.2%.

Interest rates were cut to 6.5% in September 2024, and no changes have been made since then. ING believes the NHB could cut rates down to 6.25% on 24 February, with another cut to 6% possible in March.

Regarding financing, the most competitive car loans on offer currently come with approximately 10% interest. Meanwhile, some higher rates are closer to 18%. Dealers long for lower rates of between 3% and 5%, which would encourage a more promising market.

Registration growth continues in Hungary

Thanks to lower results in the early 2020s, the Hungarian new-car market continued to record growth in 2025. Passenger car registrations increased by 6.4% year on year to 129,440 units, as confirmed by ACEA. This was 20.1% higher than in 2023.

Pure internal-combustion engines (ICEs) and mild hybrids (MHEVs) continued to dominate the market. The fuel types accounted for 70.8% of all new-car sales. Meanwhile, full hybrids (HEVs) took a 14.8% share. Suzuki maintained market leadership over these powertrains with locally produced models, followed by Toyota and Skoda.

New EV growth in Hungary

Hungary’s BEV market saw significant growth, with sales up 28.5% year on year and a share of 8.5%. All-electric demand was boosted by various incentives. This included purchase subsidies, as well as company tax, registration tax and ownership tax benefits, according to the European Alternative Fuels Observatory (EAFO).

Tesla was the leading brand in the BEV market, followed by BYD and BMW. The most popular models were Tesla Model Y, Kia EV3 and Tesla Model 3.

The PHEV market showed slower growth of 25.3%, taking a 5.5% market share. These powertrains were heavily driven by corporate buyers, accounting for 74% of PHEV and 80% of BEV registrations.

Last year, the Hungarian new-car market experienced a significant influx of Chinese car brands, led by BYD. The carmaker is about to produce the Dolphin Surf and Atto 2 at its new Szeged plant in Hungary. Other key players expanding their presence include Chery’s Omoda and Jaecoo, Nio, Leapmotor and SAIC-owned MG.

Growth expected in 2026

This year, Hungary’s new-car market is forecast to grow slightly following post-COVID-19 volatility. While new-car sales may see a modest increase, the market faces pressures from high consumer prices and strict emission standards. This is despite Hungary’s currency, the forint, strengthening to its highest level in recent months.

HEVs can be expected to continue dominating the new-car market in 2026. The government’s BEV incentive scheme for business fleets has been extended again. It will now run until 15 April, and with a budget of over 5 billion forints (€13,175,000).

The EAFO expects a new subsidy scheme to be introduced for private buyers this year. However, no date has yet been confirmed. With or without them, it is doubtful that these vehicles could gain a significant market share in Hungary.

Imports increase in Hungary

The number of used cars imported into Hungary nearly matched last year’s new car registration total at 128,155 units. This level was 15.5% higher than in 2024 and 21.3% above 2023.

On average, an imported car is now 12 years old. Meanwhile, the total market saw average age hit 16.3 years in 2025, which has been growing slowly. Nominal prices are continuously crawling upwards because of the increasing demand and limited supply. Even the improving exchange rate cannot offset this phenomenon.

Most buyers are looking for more affordable vehicles, opting primarily for Euro 4 and Euro 5 cars. Among these models, naturally aspirated petrol engines are the most popular propulsion systems. Diesel is also popular for larger vehicles and covering long distances. Tesla has a high ranking as a BEV brand, with the Model 3 considered a reliable choice.

Germany continues to be a primary import market for Hungary, thanks to reliability and a wide selection of cars. Belgium is another major source, which sees well-maintained, regularly serviced cars in good condition.

Elsewhere, Italy brings rust-free bodies, and the Netherlands imports well-maintained cars with detailed, manipulation-free online registration.

What was Europe’s best-selling new EV in 2025?

European deliveries of battery-electric vehicles (BEVs) and plug-in hybrids (PHEVs) reached new highs in 2025. For both powertrains, however, the best-selling model did not hail from a domestic carmaker. Autovista24 journalist Tom Hooker reveals the two EV champions.

Europe’s historic EV performance in 2025 was a joint effort between BEVs and PHEVs. Both technologies contributed to the continent’s record-breaking plug-in growth, with double-digit improvements of around 30% year on year.

BEVs enjoyed a 29.9% sales increase to 2,598,165 units, according to EV Volumes’ latest data. This was the powertrain’s biggest full-year percentage growth since 2021.

PHEVs saw a smaller volume of 1,283,160 units. However, this represented a steeper rise of 34.2% compared to 2024, the technology’s best year-on-year improvement in four years. The result marks a significant comeback for PHEVs, which suffered full-year declines in 2022, 2023 and 2024.

PHEV’s notable volume growth translated to a bigger slice of the EV market. Plug-in hybrids made up 33.1% of all new EV deliveries in Europe during 2025. This was an increase of 0.8 percentage points (pp) year on year, and 0.2pp ahead of its 2023 share.

While BEVs remained dominant, the powertrain’s share fell from 67.7% in 2024 to 66.9% in 2025.

BEV’s remarkable growth

All-electric cars witnessed a remarkable increase in deliveries during December, which gave the EV figures a final boost. Volumes surged by 52.3% year on year to 311,801 units.

This was the biggest percentage growth recorded since August 2023. The result also completed a 12-month run of consecutive double-digit improvements.

PHEV’s December was also impressive, with a total of 127,251 sales equating to a 40.1% increase year on year. This result displayed consistency, the determining factor in the technology outpacing new BEV growth in 2025.

PHEVs started the year poorly, with two declines in January and February. Since March, however, the powertrain recorded 10 double-digit gains, six of which surpassed the 40% mark. Meanwhile, BEVs only managed to clear this threshold in December.

New EV sales by country

Amid relatively balanced new BEV and PHEV growth, some countries saw their EV market shares surge, while others stalled. Within Europe’s new all-electric car market, Germany recorded the highest number of sales. 20.8% of BEVs sold in Europe last year were delivered in Germany, up 1.9pp year on year.

The UK, which led Europe’s BEV market in 2024, fell to second despite a double-digit improvement. It accounted for 18.2% of all BEV sales in Europe, down 0.9 pp.

Third was France, which saw a steeper share decline of 1.8pp to 13%. Norway finished fourth, enjoying the biggest year-on-year volume increase of any country in the top five. Sales soared by 50.7%, as its share rose by 0.9pp to 6.6%.

The Netherlands came fifth, with its market hold decreasing by 0.5pp to 6.1%, even with deliveries improving by 20.6%.

In the PHEV market, Germany also topped the standings, again helped by strong sales growth. Its share surged by 4.2pp to 24.2%. The UK followed with a 17.6% hold, stable from 2024.

After posting the sixth-highest new PHEV volumes in 2024, Spain jumped to third in the table, thanks to a 118.3% rise in sales. Consequently, its market share went from 6.1% to 10%.

France faced falling PHEV deliveries in fourth. This caused its share to slump, dropping from 15.2% in 2024 to 8.6% in 2025. Italy was fifth with a 7.6% market share, up 2.1pp year on year. The country witnessed an 85.7% uptick in PHEV sales during 2025.

Europe’s best-selling new EV revealed

While EV adoption speeds varied across European countries last year, one model emerged as a clear champion.

After taking the title in 2022, 2023 and 2024, the Tesla Model Y was victorious in 2025. With 150,605 sales, the crossover was not only the best-selling BEV, but the best-selling EV overall. It captured 5.8% of the all-electric car market, and it sat 56,518 units ahead of its closest competitor.

Following its usual quarterly reporting pattern, the Model Y also dominated the BEV standings in December. This was thanks to 23,732 sales. However, despite its lead, its volume represented a 17.4% decline year on year.

This forms part of a waning trend for the Model Y in Europe. The crossover’s full-year sales total marked a drop of nearly 60,000 units compared to 2024. It also represented a loss of over 100,000 units from 2023.

Skoda’s new SUV secures second

Second place was claimed by the Skoda Elroq, which posted 94,087 units between January and December 2025. This was an impressive feat considering the compact SUV began series production in January 2025.

Sales showed no signs of slowing in December, with a best-ever monthly total of 12,645 units. This was enough to put it in second in the monthly BEV table.

The combined sales of the Renault 5 and Alpine A290 took third in the full-year standings, with 90,770 units. Like the Skoda Elroq, European deliveries began in 2024, building into a record result in December 2025. The hatchbacks saw 11,903 deliveries during the month, up 86.4% year on year, securing third.

The Tesla Model 3 finished fourth in 2025, posting 86,612 sales. Unusually, the sedan ended the year with a delivery drop compared to November. This contradicts the BEV’s regular trend of recording higher sales at the end of the quarter. Yet, its 11,227-unit total was still enough for fourth in December, despite representing a 26.9% fall year on year.

Last-minute position changes

Fifth went to the Volkswagen (VW) ID.3, as it posted 78,899 deliveries in its fifth full year on the market. December was its highest volume month, with 8,451 new models leaving dealerships, its best figure since June 2024. This also equated to a 76.1% improvement year on year, putting it sixth in the monthly standings.

Just 576 units behind was the Skoda Enyaq, with 78,323 sales in 2025. Of this total, 7,437 units came in December alone, a 2.9% increase on 12 months prior and its highest monthly volume since March 2025. However, with other models seeing steeper growth in December, this was only enough for ninth place.

A further 335 units back was the VW ID.4, with 77,988 deliveries. Like many other BEVs, December marked a high point for the model in 2025. Its 8,565-unit total was its best since July 2023 and equated to a 57% rise on December 2024. It placed fifth in the monthly table, just ahead of its sibling, the ID.3.

Record results

Another all-electric offering from VW’s ID range secured eighth with 76,528 sales: the ID.7. It achieved a new monthly delivery record in December, with 8,359 units, up 49.2% year on year.

Overall, five VW Group models featured in Europe’s BEV best-sellers table in 2025. Additionally, Audi’s Q4 e-tron and Q6 e-tron models placed 11th and 12th.

BMW’s iX1 took ninth, with 67,618 deliveries. This was helped by a strong December, where the SUV placed seventh. A total of 8,423 new models left dealerships, its best-ever monthly figure and up 55.1% year on year.

The Kia EV3 rounded out the full-year standings in 10th, as the crossover SUV posted 66,350 sales in 2025. The model failed to make December’s table.

Instead, placing 10th in December was the Audi Q4 e-tron, with 7,180 sales. This was an increase of 19.6% year on year and meant five models from VW Group made the monthly top 10.

BYD’s new PHEV champion

Europe’s PHEV market crowned a new champion in 2025: the BYD Seal U. The SUV led the way with 66,611 sales from January to December, giving it a 5.2% share. It marked BYD’s maiden win in Europe, as the PHEV fended off strong competition from domestic models.

The model also topped December’s monthly standings, with 8,606 deliveries translating to a year-on-year increase of 213.9%.

Its closest rival, the VW Tiguan, was 6,109 units behind across the year, with 60,502 new models leaving dealerships in 2025. The model recorded 4,827 sales in December, an improvement of 28.5%.

Third went to the 2024 victor, the Volvo XC60, which recorded 58,979 deliveries. The PHEVs’ sales pace slowed in December, as it suffered a 6.5% decline to 5,981 units.

New sales trail off

Some distance behind in the full-year standings was the Ford Kuga in fourth, with 44,500 sales. This was still more than it achieved in 2024 when it placed second, highlighting the increased competition in Europe’s PHEV market.

Volumes trailed off in the final quarter of the year, culminating in a weak December. The Kuga delivered 2,722 units in the month, its lowest figure since May 2024.

The Mercedes-Benz GLC enjoyed a much stronger end to 2025, finishing in fifth with 39,373 units. It finished in the same place in December’s standings, with 4,576 deliveries. This was the fourth consecutive month where sales passed the 4,000-unit threshold.

Just one unit behind in the yearly table was the MG eHS. This was a lucky escape for the GLC, as the MG eHS stormed to second in December’s table with surging sales. Its 6,000-unit total was up 223.6% compared to 12 months prior. The result also marked the PHEV’s largest-ever monthly volume.

These moves came at the expense of the BMW X1, which took seventh in the full-year table. The model posted 39,226 units in the 12-month period. As its closest rivals placed highly in December, the SUV could only manage eighth. The X1 suffered a 19.5% year-on-year drop in the month to 3,083 units.

Jaecoo’s accelerating progress

The Toyota C-HR claimed eighth in 2025 with 35,356 units. In December, the PHEV enjoyed a 114.1% sales jump to 3,194 units. Taking ninth was the Jaecoo J7, thanks to 29,587 deliveries in 2025.

Strong monthly results towards the end of 2025 helped to accelerate its progress, including a sixth-place finish in December. Rounding out the yearly table was the Cupra Formentor, which took 10th. The PHEV posted 29,327 deliveries from January to December.

Key new EV market trends

This meant that the top 10 best-selling PHEVs in Europe last year were all SUVs. This contrasted with the BEV chart, which included other segments such as hatchbacks.

However, compared to the BEV best-sellers list, the PHEV top table featured a higher variety of brands. For the latter, 10 different carmakers filled the top 10 spots, while six marques placed in the BEV standings.

These trends could change by the end of this year, as new EVs continue to enter the market. Competition is set to increase as volumes grow further. This will make it harder for individual models and brands to solely dominate the BEV or PHEV standings.

Which brand dominated the European EV market in 2025?

Amid historic electric vehicle (EV) growth in Europe during 2025, one brand emerged as a comfortable winner. Behind, some carmakers enjoyed significant improvements, while others faced big declines. Autovista24 journalist Tom Hooker reviews the winners and losers.

Europe’s EV market performance in 2025 was record-breaking, for many reasons. The continent recorded 3,881,325 battery electric vehicle (BEV) and plug-in hybrid (PHEV) sales from January to December. This equated to an additional 924,422 units compared to 2024, according to EV Volumes.

The figure also marked a year-on-year improvement of 31.3%, the steepest growth achieved since 2021. So, following a marginal decline in 2024, this can be seen as a strong rebound for European EV sales.

One million EV sales surpassed

This bounce-back was helped by soaring volumes in the latter part of the year. For the first time, Europe recorded more than one million sales in a single quarter. Between October and December, a total of 1,150,986 new EVs were delivered. This was 203,691 units higher than the previous record set in the second quarter of 2025.

The figure translated to a staggering growth of 40.9% year on year. This was the continent’s best improvement since the third quarter of 2021.

Furthermore, it ensured double-digit growth in every quarter of 2025. Volumes lifted up gradually throughout the year, starting with a 20% rise from January to March. This was bettered by 27.4% and 35.5% increases in the second and third quarters, respectively.

This culminated in a surging December performance, which saw the highest number of EV sales ever achieved in one month. With a total of 439,052 units, the result overcame a long-standing record set back in December 2022.

This figure represented a year-on-year sales increase of 48.5%, the biggest monthly percentage growth seen since August 2022. December’s increase was complemented by significant improvements in October and November of 36.6% and 36.4%, respectively.

Europe’s best-selling EV brand

Among surging EV growth in Europe, Volkswagen (VW) comfortably posted the most sales. The marque enjoyed a 86.8% year on year rise to 426,325 units. Out of the top five best-selling EV brands in Europe, this was the highest percentage increase recorded.

Consequently, its market share soared from 7.7% to 11%, becoming the only carmaker to surpass the 10% threshold in 2025. VW’s full-year performance was consolidated by a strong fourth quarter, topping the table with a 52% year on year improvement.

Overall, 2025 was a comeback year for VW, which previously led the continent’s EV standings in 2021. It went on to place third in 2022 and 2023, before dropping to fifth in 2024.

VW’s success can be attributed to three models from its ID range. This was the ID.3, ID.4 and ID.7. These models accounted for 54.8% of the brand’s EV total, with the ID.3 recording the highest share of the trio at 18.5%. The ID.4 and ID.7 made up for 18.3% and 18% of volumes, respectively.

Another model that performed strongly was the VW Tiguan, which accounted for 14.2% of VW’s EV sales in 2025.

The carmaker will be hoping that an electric model offensive can help it to retain its top spot in 2026. The much-anticipated ID.Polo, previously called the ID.2, will make its debut in spring 2026. It is one of six new EVs planned for launch this year.

Could the Neue Klasse drive volumes?

BMW made it a fourth-consecutive year of second-place finishes in 2025. The brand’s market share fell by 1.2 percentage points (pp) due to increased competition, ending the year at 8.7%. This came despite a 15.6% improvement in sales to 337,298 units.

BMW’s sales consistency was also shown in the final quarter of 2025, as the manufacturer posted a 15% EV sales increase.

The marque’s best-selling plug-in over 2025 was the BMW iX1, representing 20% of its overall total. The i4 and X1 also enjoyed solid volumes, with 13.7% and 11.6% shares, respectively.

Like VW, BMW will hope to continue its upward momentum into 2026, thanks to new models. The iX3, the first EV to use the Neue Klasse platform, will hold its official European market launch on 7 March. The second Neue Klasse EV, the i3, is expected to enter series production in the second half of 2026.

EV dominance for German brands

Mercedes-Benz claimed third in the cumulative table. So, for the first time since 2021, Europe’s top three best-selling EV brands came from Germany. However, with a 1.6% rise to 261,438 units, Mercedes-Benz did not enjoy the same sales pace as VW or BMW. Unsurprisingly, its market share dropped by 2pp to 6.7%.

A wide range of EV models contributed to its figures. Capturing 16% of plug-in volumes, the Mercedes-Benz EQA posted the highest sales, followed by the GLC with a 15.1% share. The Mercedes-Benz EQB also had a positive year, accounting for 13.3% of overall deliveries.

The new generation of the brand’s GLC SUV could help the brand improve on its marginal growth. Deliveries are expected to begin in mid-2026 for some countries, such as the UK. The new electric GLB also opened its order books in Europe after celebrating its global debut at the Brussels Motor Show.

Mercedes-Benz’s electric SUV range will be expanded further with the new generation of the C-Class and GLA. Both models will celebrate their premieres this year. Elsewhere, the updated CLA Shooting Brake will host its European market launch in March 2026.

This comes after the saloon version of the new CLA began deliveries in 2025. The latter may have played a part in the manufacturer’s 6.1% sales growth from October to December.

Tesla’s European EV troubles

Tesla was the fourth best-selling EV brand in Europe in 2025. This was a disappointing result for the BEV-only carmaker, which took the title in 2022, 2023 and 2024.

A total of 238,511 new Tesla models were delivered between January and December, its lowest full-year figure since 2022. The number also equated to a 27.1% slump year on year. Its market share also plummeted from 11.1% to 6.1%. Tesla placed seventh in the fourth quarter standings with a 22.2% sales drop.

Unlike the other carmakers in the top 10, Tesla’s volumes in 2025 were almost solely driven by two models. This was the Model Y and Model 3, which made up 99.4% of the brand’s total. The former recorded the majority of sales, with a 63.1% share, while the Model 3 accounted for 36.3% of deliveries.

Both BEVs received a new, lower-cost version at the end of 2025. According to Reuters, the Model Y Standard launched in October. This was followed by the Model 3 Standard in December, the news outlet wrote.

Audi’s fourth-quarter flourish

Just 8,613 units behind Tesla in the full-year standings came Audi. The German marque achieved 33.3% growth in 2025, as 229,898 new models left dealerships. Despite a double-digit improvement, its market share only saw a marginal rise of 0.1pp to 5.9%.

Of Europe’s top five best-selling EV brands, Audi ended the year well. Sales surged by 95.9% year on year in the fourth quarter.

Three of Audi’s e-tron BEVs made up most of the brand’s cumulative figure. This was the Q4 e-tron, the Q6 e-tron and the A6 e-tron. The trio accounted for 64.9% of Audi’s EV sales, while the Q4 e-tron alone made up 27.2%.

Towards the end of 2025, the marque launched a new entry-level variant of the SUV, which may help maintain its sales pace this year.

The Q6 e-tron and A6 e-tron achieved market shares of 24.9% and 12.8% within the carmaker’s stable, respectively. Outside of the e-tron model range, the Audi A3 also posted positive figures, making up 11.6% of Audi’s total volumes.

While the brand’s best-sellers came from larger segments last year, future volumes may be boosted by an upcoming entry-level BEV. Production of the model is planned to start in 2026.

Triple-digit EV growth

Fellow VW Group brand Skoda secured sixth in the full-year standings, jumping up from ninth in 2024. Volumes soared by 109.1% compared to one year prior, with 212,721 deliveries. This translated to a market share of 5.5%, up 2.1pp year on year.

Sales pace slowed slightly in the final quarter, with the Czech brand posting a 74.2% increase.

Skoda could continue its rise this year, with the introduction of the Epiq. The all-electric city SUV will be fully unveiled in the first half of 2026. Meanwhile, a large all-electric SUV, called the Peaq, is scheduled to hold its world premiere this year.

On the other hand, Volvo endured a 13.1% EV delivery decline in 2025, landing seventh. With 207,098 sales, it trailed Skoda by just 5,623 units. The manufacturer made up 5.3% of total EV volumes, down 2.8pp year on year. It placed ninth in the fourth quarter standings, after a 2.1% fall in sales.

Volvo will be hoping to bounce back in 2026, aided by the introduction of a new BEV model called the EX60. Following the success of the smaller EX30, the mid-size SUV is scheduled to begin deliveries this summer.

BYD’s rapid EV expansion

BYD comfortably recorded the steepest growth out of Europe’s top 10 best-selling EV brands in 2025. Sales surged by 271.8% year on year to 187,112 units, enough for eighth in the table. In turn, its market share jumped from 1.7% to 4.8%.

The Chinese brand managed an even higher placing of fifth in the fourth quarter standings, as volumes improved by 222.8%.

BYD’s EV range will be bolstered by the BYD Atto 3 Evo, a comprehensive update of its existing BEV SUV. Deliveries in some markets, such as Belgium and Luxembourg, are expected to start in spring 2026.

Renault also enjoyed a strong finish to 2025 in ninth. The marque delivered 172,700 new models between January and December, ensuring an improvement of 87.3% year on year. It took a 4.4% market share, up 1.3pp. Renault saw greater sales growth in the fourth quarter, with a 95.3% increase compared to the same period in 2024.

The brand’s new Twingo city car may help maintain sales pace heading into this year. The BEV opened its orders to the general public in January 2026.

Closing out the full-year standings was Cupra. The carmaker delivered 155,220 EVs from January to December, translating to a 69.3% increase year on year. Consequently, its share rose by 0.9pp to 4%. Along with fellow VW Group brands, Cupra is also launching a small BEV in 2026, called the Raval.

Narrowly missing out on a top 10 finish in 2025 was Ford. The American marque finished just 712 units behind Cupra in the full-year table. This was despite a strong end to 2025, with an 87.1% delivery improvement in the fourth quarter alone.

Spain returns to new-car market growth, but is trouble ahead?

Spain was the most impressive new-car market of Europe’s big five last year and started 2026 with growth. But behind the positivity, is there a volume challenge ahead? Autovista24 special content editor Phil Curry examines the data.

Spain’s new-car market resumed its upward trajectory after a stumble in December. The country saw 73,103 registrations in January, according to industry association ANFAC.

This represented a 1% increase compared to 12 months prior. Despite the slow growth, however, it displays promising signs for the market. In January 2025, new-car deliveries were boosted by replacement schemes. This was in the wake of Storm Dana, which hit the country at the end of 2024.

ANFAC states the relief programme saw an additional 3,995 units delivered in the first month of 2025, funded through the Reinicia Auto Plan. Excluding these registrations from the January 2025 figures would have resulted in a 6.8% improvement last month.

Uncertainty ahead for Spain?

However, the country’s new-car market is also facing uncertainty. New incentive plans for electric vehicle (EV) purchases are yet to be finalised. The former MOVES III subsidies drove plug-in sales and the overall market forward in 2025. Until incentives are implemented, this may place pressure on volumes.

A delay in activating EV subsidies could hinder the private sector, where buyers can be more price sensitive. While EV list prices declined in 2025, they remained more expensive than ICE models on average in Spain, according to GANVAM.

The private channel did see registrations decline by 6.4% year on year to 35,775 units in January. Business sales fall by 2.4% in January, with 27,312 deliveries. Only sales to rental companies saw an increase, with volumes up 63.5% to 10,016 units.

‘It is true that rental car purchases have been key, but private buyers are also holding strong,’ outlined Félix García, director of communications and marketing at ANFAC.

‘We in the sector insist that there is currently no support whatsoever for electric vehicles. The Auto+ Plan has not been published, nor is the extension of the 15% income tax deduction for the purchase of an electric vehicle in effect,’ he continued.

‘It is necessary to provide certainty to the market and consolidate the transformation towards electromobility. It is an unstoppable trend, as can be seen in the fact that diesel’s market share is steadily declining and was below 5% [in January].’

Trouble ahead for BEVs in Spain?

Registrations of battery-electric vehicles (BEVs) increased by 26.9% in January, reaching 6,472 units. This was enough for an 8.9% market share, up by 1.8 percentage points (pp) according to Autovista24 calculations.

BEV deliveries were boosted by the reintroduction of MOVES III in 2025. Between May and August, the powertrain saw triple-digit percentage improvements. Double-digit rises followed since then.

In January, the market was due to hear a funding criteria announcement for the new Plan Auto+, which was first unveiled in December 2025. This was expected to set out how Spain’s central government will handle the expected €400 million subsidy scheme.

However, the European Alternative Fuels Observatory noted that industry stakeholders have highlighted ongoing uncertainties. These centre on the environmental criteria for determining eligibility. Electrive reported that Spain’s Ministry of Economic Affairs want to adopt a system similar to France’s current EV incentives.

This would calculate the entire carbon footprint of a vehicle. It also means that models built outside of the EU would be ineligible for funding, according to La Tribuna de Automoción.

The debate around the criteria of the plan has stalled the official approval and publication. This could impact BEV sales and registrations going forward. Drivers may wait to see what financial aid will be offered, and which brands and models it will apply to.

‘The lack of a support plan for the purchase of electric vehicles has discouraged many sales and prevented the generation of orders for the coming months,’ confirmed Raúl Morales, communications director of Spanish dealer body Fanonauto.

‘That is why it is so important that the details of this plan, especially the amounts and their retroactive application, are communicated as soon as possible. This will give buyers confidence and allow us to overcome the market stagnation we are already seeing in January,’ explained Morales.

PHEVs continue forward

The plug-in hybrid (PHEV) market continued its strong growth in January. In total, 8,740 units were delivered to customers, a rise of 66.7% year on year.

This gave the powertrain a 12% market share, up by 4.8pp year on year. While this was a good result, January marked the first time since April 2025 that volumes missed triple-digit percentage growth.

The confusion around the Plan Auto+ scheme does seem to be impacting the market. Morales highlighted that many registrations in January came from sales in December. This was during the MOVES III period, which ceased on the last day of 2025.

It seems that the market relied on the previous incentive scheme to uphold volumes last month. Yet, as these sales coast out, there could be problems ahead for the market. The industry is likely hoping for a quick resolution to the bottleneck holding up the latest incentives.

Combining BEV and PHEV registrations, the EV market recorded a total of 15,212 deliveries in January. This was an increase of 47.1% compared to 12 months prior, according to Autovista24 calculations. The technology saw a market share of 20.8%.

Spain’s ICE slide continues

Petrol’s slump continued into January, as buyers continued to move away from the powertrain. A total of 16,533 units were delivered in the month, a decrease of 22.5% year on year.

The fuel type accounted for 22.6% of overall volumes, a drop of 6.8pp year on year. However, despite this fall, it is still comfortably the second-best powertrain after hybrids.

Meanwhile, diesel registrations fell by 33.7%, as just 3,299 units took to Spanish roads. This was enough for a 4.5% market share, down by 2.4pp.

Combined, the internal-combustion engine (ICE) market dropped by 24.6% compared to January 2025, according to Autovista24 calculations. The technology’s market share also fell closer to EVs’ hold, reaching 27.1% in the month. This was a fall of 9.2pp and meant the gap between the two groups was just 6.3pp.

Hybrid dominates new-car share

The hybrid market, made up of both full and mild hybrid powertrains, achieved an 8.9% improvement, according to Autovista24 calculations. This gave the technology a 48.7% market share, a rise of 3.6pp.

Adding hybrids to the EV total, registrations of electrified models increased by 18.1%, based on Autovista24 analysis of available data. This led to a 69.5% market share, up 10.1pp.

However, Spain’s new-car market must be prepared for the impact of incentive uncertainty. With no EV subsidies currently in place, the market’s performance remains in question.

The Automotive Update: Major carmaker partnerships on the cards?

Which carmakers are considering partnerships? What are the fastest-selling used cars across Europe? How might the EU’s automotive package impact battery-electric vehicle (BEV) sales? Autovista24 editor Tom Geggus reveals all in The Automotive Update podcast.

In this episode, an update on a potential partnership between major automotive manufacturers. Plus, a look at how used-car markets performed across European countries during January. Finally, what are the latest views on the EU’s automotive package?

Subscribe to the Autovista24 podcast and listen to previous episodes on Spotify, Apple and Amazon Music.

Potential automotive partnerships?

Ford and Geely are in partnership talks, according to a number of people familiar with the matter, Reuters has reported. 

Discussions are apparently advancing, particularly around manufacturing locations. Geely may be able to use Ford’s factory in Spain to produce vehicles for the region, navigating import tariffs.

Sources close to the matter also revealed a possible framework for exploring autonomous driving and other technologies. This could help curb costs at a time when development is steering decision making.

Separately, Renault is expected to build a small electric vehicle engine with parts from Shanghai e-drive, as reported by L’Argus. The entry-level drive component will be built at the carmaker’s site in Cléon, Northern France. It will also be used in Dacia and Mitsubishi models.

A new production line is anticipated in early 2027 and is set to produce 120,000 units annually. Renault currently imports Shanghai e-drive components for its Twingo model, according to Reuters.

Fastest-selling used cars

European used-car markets could soon see increased demand, as revealed in the latest Monthly Market update. Consumer price indices appear resolutely high as affordability remains a sticking point.

Meanwhile, new-car list prices continued to climb in Europe last month. Austria, France, Germany, Italy, Spain, Switzerland and the UK all recorded year-on-year increases. Some used models are already seeing quick selling times.

Austria saw the fastest model-selling time of the observed markets with the Audi Q3. In Switzerland and the UK, the Tesla Model Y sold the fastest. The Toyota Yaris moved quickly in France, while its stablemate, the Toyota Corolla, saw fast sales in Spain. Meanwhile, the Volvo XC40 spent the least amount of time on dealership forecourts in Germany.

Automotive package update concerns

Sustainable mobility group, Transport and Environment (T&E), has released a position paper citing potential results of changes to emissions targets.

In mid-December last year, the European Commission published its automotive package proposal. This outlined possible changes to the current new-car emissions targets. Key to this was the possibility of internal-combustion engine (ICE) vehicle sales in the EU after 2035. 

T&E claim that moving the 2035 CO2 reduction target from 100% to 90% will reduce the expected BEV share from 100% to 85%. It also believes the package will introduce greater uncertainty. The paper outlined that BEV sales could fall by between 50% and 95%, depending on the powertrain strategy. 

Additionally, adopting an average target between 2030 and 2032 is also expected to have a negative impact. T&E forecast a 10-percentage point reduction in the BEV share in 2030, down to 47% 

Slow start to 2026 for French new-car market

After a difficult 2025, the French new-car market will be looking to bounce back in 2026. Battery-electric vehicles (BEVs) enjoyed some success, but were there any other green shoots of recovery in January’s registrations? James Roberts, Autovista24 web editor, assesses the latest data.

The new-car market in France underwent a slow start to 2026. In January, a total of 106,805 new vehicles were registered, according to Autovista24 analysis of PFA and AAA data. This marked a year-on-year decline of 6.9%.

The French new-car market recorded its worst January in 15 years, according to PFA. However, this excludes January 2022 during the semiconductor shortage crisis. Compared with 12 months ago, the drop in volumes amounted to 7,867 vehicles.

Understanding BEV gains in France

In 2025, any gains for BEV adoption were weighed down by wider declines in new-car volumes. This was exacerbated by a terminal fall in registrations of internal-combustion engine (ICE) vehicles, and wider market inertia.

Despite this, BEV uptake gathered significant late-year momentum in France, and this seems to have continued into 2026. BEVs emerged as the only powertrain to record growth in January 2026.

In total, 30,308 BEVs join France’s car parc, according to Autovista24 analysis of PFA and AAA data. This ensured a 28.4% market share, 11 percentage points (pp) up on January 2025. However, behind these apparently positive figures lies a complex picture.

BEV demand propped up by incentives?

Since late September 2025, electric vehicle (EV) adoption in France has been assisted by social leasing. This scheme was rolled out to help lower-income households access new BEVs at reduced monthly costs.

Aligned with this, commercial fleets have helped lift BEV registrations in recent months. These buyers are supported with a combination of tax reduction, infrastructure support and regulatory incentives. This makes BEVs an attractive option for fleets.

Despite these policy-led catalysts, which are undoubtedly firing BEV numbers, natural demand is harder to generate. Marie-Laure Nivot, analysis for AAA Data, underlined that: ’The peak in electric car sales recorded in January demonstrates the influence of purchase incentives and obscures the market picture.’

Emanuele Cappellano, head of Stellantis Europe, recently provided a stark assessment of the wider European BEV market and the appeal of buying an all-electric vehicle.

‘In Europe, profit margins are shrinking and are on the verge of becoming negative. This is a major concern for us today. There is no natural demand for electric vehicles,’ he said, according to Car Dealer. ‘Demand only arises when there are subsidies in various countries or when car manufacturers reduce prices by burning cash,’ he added.

Hybrids start where they left off

In 2025, hybrids, made up of full and mild hybrid models, took a considerable percentage of new-car markets across the EU. France was no exception, underlining a consumer powertrain preference.

This trend continued in January, as 51,171 full and mild hybrids took to French roads. This marked a marginal 0.5% year-on-year drop in volumes. However, the powertrain accounted for 47.9% of the overall market.

Hybrids continued to provide the bulk of electrified registrations in France. Together with PHEVs and BEVs, electrified models secured 80.8% of the market, a new high watermark. This momentum could be difficult to sustain should BEV demand fall and hybrid volumes stagnate or drop off.

While BEVs and hybrids performed relatively well, PHEVs started 2026 in a year-on-year deficit. 4,821 PHEVs left French forecourts, albeit with a small fall of 0.6%, equating to 31 units. In terms of market share, PHEVs captured 4.5%, up 0.3pp on January 2025.

Despite this, the bumper BEV return helped facilitate 32.9% market share for plug-in vehicles, an 11.3pp jump. With 35,129 new BEVs and PHEVs rolling out of dealerships in January, this helped continue a trend established in late 2025. 

Petrol and diesel continue to fall

The arrival of a new year continued an old story for ICE registrations in France. In parallel with most of Europe’s new-car markets, both petrol and diesel sales continued to diminish in January.

In total, 15,326 new petrol vehicles were sold in France during the month. This ensured a dramatic year-on-year plummet of 14,648 units, down 48.9%. Despite the decline, the fuel type commanded a 14.3% market share, down 11.8pp. This made petrol the third most popular powertrain choice in France.

Diesel declines have become part of the French new-car market narrative. Just 2,521 units reached customers in January. As a result, it accounted for 2.4% of the overall market, just 0.1pp above the ‘other’ category. This includes hydrogen fuel-cells, super ethanol, natural gas, and liquified petroleum gas vehicles. However, when it comes to the used-car market in France, demand for diesel vehicles continues.

Combined ICE figures were eclipsed by both plug-in and electrified registrations in January. The combination of new petrol and diesel units hit a low of 17,847, underpinning a 48.9% year-on-year slump. As a result, the ICE market share equated to just 16.7%, 13.8pp down on January 2025. 

The Automotive Update: EV boost for EU new-car market and Tesla ditches models while embracing AI

Which powertrain helped grow the EU’s new-car market last year? How has the automotive industry reacted to a major new international trade deal? Plus, Tesla halts production of two models. Autovista24 special content editor Phil Curry analyses the biggest stories in The Automotive Update podcast.

In the latest episode, a look into which powertrains soared, and which ones stalled in the EU new-car market last year. Also, details of a major new trade deal between the EU and India. Plus, are electric vehicle (EV) sales in Spain on shaky ground?

Also in this week’s episode, Tesla plans to stop production of two models. Plus a look at Chinese carmaker Chery’s plans to manufacture vehicles in the UK.

Subscribe to the Autovista24 podcast and listen to previous episodes on Spotify, Apple and Amazon Music.

EV sales help foster EU growth in 2025

The EU new-car market ended 2025 on a positive note, with registrations up 1.8 % year-on-year across the 27 EU member states. This result was helped by six-straight months of volume increases to close out the year. 

Figures from ACEA show EVs, made up of battery-electric vehicles (BEVs) and plug-in hybrids (PHEVs), play an increasingly important role. Across the full year, almost 2.9 million plug-in models took to EU roads, claiming around 27% of the market. 

BEVs alone accounted for 17.4% of total deliveries in the year. However, new petrol models still accounted for a significant portion of registrations, taking over a quarter of the whole EU new-car market.

Hybrids, made up of both full and mild hybrids, dominated the EU’s new-car market in 2025. It ended the year as the most popular choice amongst buyers for the first time. 

Spain stood out with double-digit new-car growth, helped by strong sales of EVs, boosted by incentives. Germany, the EU’s largest market, also saw a modest return to growth. Conversely, France and Italy both saw declines in new-car registrations for the year.

Problems for Spain’s new EV incentive framework?

In December, the Spanish government announced the ‘PlanAuto+’, otherwise known as Auto 2030 Plan, would replace the country’s long-standing MOVES incentive scheme for EVs. The new plan was set to begin at the start of 2026, however, the funding criteria has yet to be published. 

This has sparked fears a funding vacuum could be created, with potential market stagnation.

Under the new framework, subsidies were set to be managed by the central government rather than autonomous regions. The new plan is set to provide €400 million in direct purchase subsidies for EVs in 2026. This would align the annual budget with previous MOVES funding allocations. 

However, according to electrive, the release is being blocked by the country’s Ministry of Economic Affairs. This aim is to follow a path similar to France, where incentives are linked to a vehicle’s total CO2 footprint. 

Initially, the Auto 2030 Plan was intended to prioritise EVs manufactured in the EU without excluding other models. However, the criteria are now set to be tightened further.

EU carmakers upbeat about India trade deal

ACEA has welcomed the conclusion of negotiations for a free trade agreement between the EU and India. 

According to the automotive industry body, the deal will greatly help European automobile exports enter a market of four million passenger cars circumnavigating prohibitively high import tariffs of up to 110%. 

The agreement does feature important restrictions such as quota limitations and residual tariffs that will limit the potential benefit to some extent. A full assessment of the detailed terms of the deal will begin in the coming weeks. 

Meanwhile, India has become a top priority for Renault. This is due to the market’s potential for growth. The carmaker also sees increasing accessibility for EU firms after the trade deal, the French carmaker’s chief growth officer has said. 

Tesla to pivot towards AI and scrap two models

Tesla is planning to scrap two models as the brand looks to accelerate a charge into robotics and artificial intelligence (AI).

The announcements came as Tesla’s fourth-quarter results highlighted the damage to the carmaker across the year

The Financial Times reported that Tesla is to end production of the premium Model S and Model X in the next quarter. Plans are also afoot to convert its California factory into a manufacturing hub for its Optimus robots. The company plans to invest $2 billion (€1.7 billion), in Elon Musk’s xAI business.  

Chinese EV-maker Chery to enter UK

Chinese carmaker Chery could use a UK plant, owned by JLR, to manufacture cars in the country, according to the Financial Times.  

The proposals would see Chery use an existing manufacturing facility to build its EVs in Britain, according to two people familiar with the discussions.

The UK has been actively courting Chery to make its vehicles in the country for the last few years, three people close to the talks added. 

Chery’s Omoda and Jaecoo models are the fastest-growing Chinese brands in the UK. The country has attracted an influx of affordable vehicles from BYD and other Chinese carmakers in recent years. Many are discouraged by higher tariffs imposed by the EU on China-built EVs. 

Chery recently entered the UK market itself, with the Tiggo 7, Tiggo 8 and Tiggo 9 models.