In Europe, Sales of Hybrid Vehicles Soar, While Electric Vehicles Fall Short of Projections
In the first half of 2025, the European Union (EU) witnessed a significant rise in electric vehicle (EV) registrations, with hybrid-electric vehicles capturing 35.3% of the market and remaining the preferred choice among EU consumers.
A total of 1,285,486 units of hybrid-electric cars were registered in the first four months of 2025, representing a 20.8% year-to-date growth. Registrations of new hybrid-electric cars rose notably in the four biggest markets: France, Spain, Italy, and Germany.
Electric vehicle registrations in the EU increased significantly, reaching a market share of 15.6%, up from 12.5% in H1 2024. This growth reflects a 22% year-on-year increase with 869,271 new EV registrations. Battery electric vehicles (BEVs) led this growth, with new registrations rising by 34% compared to the same period in 2024.
Plug-in hybrid electric vehicles (PHEVs) also saw growth, with registrations rising 7.8% YTD in April 2025, reaching a total of 287,850 units. PHEVs now represent 7.9% of total car registrations in the EU, up from 7.2% in the same period last year.
Germany, Belgium, and the Netherlands recorded robust gains in battery-electric vehicle registrations, while France saw a drop. Germany, in particular, showed a significant increase of 46.6% in PHEV registrations. Spain also saw a notable growth of 42.8% in PHEV registrations.
The combined market share of combustion gasoline and diesel cars fell again to 38.2%, down from 48.4% over the same period in 2024. The market share for gasoline cars dropped to 28.6%, down from 35.6% during the first four months of 2024. The diesel car market declined 26.4%, resulting in a 9.6% market share for diesel vehicles in April 2025 YTD.
In July 2025, EVs and PHEVs together accounted for 34% of new car sales in some EU markets (e.g., Ireland), surpassing petrol (26%) and diesel (17%). This underscores the accelerating adoption of electric and hybrid vehicles across the EU.
The trends highlight a clear pivot toward fully electric vehicles, with BEV sales outpacing PHEV growth. Sharp regional differences are also evident, influenced by incentive schemes, taxation, and charging infrastructure availability.
Overall, the EU market for hybrid and electric vehicles is expanding robustly in 2025, driven mainly by BEVs, with expected continuing growth influenced by national policies and infrastructure development.
- The growing popularity of electric vehicles (EVs) in the EU is not only seen in their increased market share but also in the finance sector, with investments in EV technology and infrastructure on the rise, aiming to support the industry's expansion.
- The energy sector is also affected by the increase in EV registrations in the EU, as the demand for clean energy solutions rises, in response to the growing number of electric vehicles on European roads.
