Decreased new car registrations observed in May 2025, with a year-to-date total of -0.6%, while battery-electric models account for 15.4% of the market share.
In the first five months of 2025, the European Union automotive market has witnessed a significant shift towards electrified vehicles, with traditional petrol and diesel cars experiencing a substantial decline in market share.
According to the latest data from the European Automobile Manufacturers' Association (ACEA), battery-electric vehicles (BEVs) have made a significant leap, accounting for 15.4% of the market share, up from 12.1% in May 2024 YTD. BEV registrations increased by 26.1% compared to the same period in 2024, totaling approximately 701,089 units in the first five months of 2025[2][3].
Plug-in hybrid electric vehicles (PHEVs) are also on the rise, holding an 8.2% market share, up from 7.1% in May 2024 YTD. PHEV sales showed a 15% growth, with 375,182 new registrations in the EU by May 2025[2].
Hybrid-electric vehicles (HEVs), including non-plug-in hybrids, are the market leaders, commanding a 35.1% share, increasing nearly 20% year-on-year and representing the highest share among all types[2][3].
Petrol cars, on the other hand, have seen a significant drop in market share, accounting for 28.6% compared to a combined petrol and diesel share of 48.5% in May 2024 YTD. This means petrol and diesel cars combined lost about 10.4 percentage points of market share in one year[2][3].
Diesel cars have also declined, dropping to a 9.5% market share from a higher contribution within the combined petrol/diesel 48.5% in May 2024. Diesel market share is decreasing faster and may soon be overtaken by PHEVs[2].
Spain, Italy, France, and Germany saw growth in hybrid-electric car registrations, while France saw a decline in petrol car registrations, with a drop of 34.3%. Germany, Belgium, and the Netherlands saw gains in battery-electric car registrations, while France saw a decline[4].
Year-on-year (YOY) registrations for May increased by 1.6% compared to the same month last year, and hybrid-electric cars also experienced a YOY increase of 16% in May 2025. Plug-in-hybrid electric cars had a YOY increase of 46.9% in May 2025, marking the third consecutive month of strong growth[1].
This shift towards alternative drive systems in the European automotive market reflects a strong trend towards electrification, with electrified vehicles (BEVs, PHEVs, HEVs) gaining noticeable ground while traditional petrol and diesel vehicles decline in market share[2][3].
References: [1] ACEA (2025). New passenger car registrations in the European Union in May 2025. Retrieved from https://www.acea.be/press-releases/new-passenger-car-registrations-in-the-european-union-in-may-2025 [2] ACEA (2025). Electrified vehicles continue to gain ground in the European Union. Retrieved from https://www.acea.be/press-releases/electrified-vehicles-continue-to-gain-ground-in-the-european-union [3] ACEA (2025). Market share of different types of vehicles in the European Union in May 2025 YTD. Retrieved from https://www.acea.be/statistics/new-cars/registrations-by-fuel-type [4] ACEA (2025). National registrations of new passenger cars in the European Union in May 2025. Retrieved from https://www.acea.be/statistics/new-cars/registrations-by-country
- The rise in electrified vehicles (BEVs, PHEVs, HEVs) in the European Union automotive market has been significant, with finance from the industry backing the shift towards technology that powers these vehicles.
- The decline in petrol and diesel cars market share is indicative of the growing importance of technology, finance, and the industry's role in fostering a more sustainable future for the European Union's automotive market.
