Will vehicle electrification run low on power in 2026? Which technological trends will define the powertrain mix? Will Chinese brands succeed in Europe? An expert Autovista Group panel answers these questions in a webinar with Autovista24 editor, Tom Geggus.
The global new-car market has seen a cloudy 2025, with economic headwinds, trade wars and supply chain challenges. However, there have been some silver linings, including technological innovation and the launch of more affordable battery-electric vehicles (BEVs).
Autovista Group’s latest webinar, Global new-car market outlook 2026, explored these trends. The panel included chief economist, Dr Christof Engelskirchen, product director, Dr Anne Lange, and sales director, Dan Parnell.
Will electric headwinds persist in 2026?
So far, 2025 has seen some challenging economic headwinds. Examining forecast gross domestic product (GDP) for 2026, these conditions look set to continue, and even worsen in some cases.
On the other hand, inflationary rates do appear to have normalised. Most central banks look to be positioning inflation between 2% and 3%.
Meanwhile, the automotive industry is still recovering from the COVID-19 pandemic. Faced by protectionist trends and supply-chain challenges, Europe and North America are seeing registrations making a very slow return to 2019 figures. But with a continued push towards electric mobility, how has this affected the transition?
‘We are getting a lot of questions about whether there are strong headwinds to electrification,’ said Engelskirchen. ‘There are headwinds [in Europe], but the headwinds still translate into rising market shares for electric vehicles. This could be rising faster, but it is rising. Our forecast for 2026 is a 20% market share for battery-electric vehicles.’
In North America, policy shifts have moved away from supporting electrification. This lack of excitement in the powertrain has been factored into forecasts.
Meanwhile, plug-in hybrids (PHEVs) are forecast to continue to enjoy a growing share in China. Including extended-range electric vehicles (EREVs), this powertrain category is still eligible for new-energy vehicle subsidies.
EV Volumes anticipates that EREVs will enjoy success in China, whereas the powertrain is not as financially attractive in Europe.
Battery chemistry trends for 2026
Demand for electric powertrains is driving battery innovation, with chemistry just one area currently being explored. ‘The trend is moving towards affordability, and in the future that will impact which battery chemistries are the most popular,’ said Parnell.
Lithium iron phosphate (LFP) batteries can be expected to feature in a greater number of registered vehicles across all regions. This technology offers a good driving range while also being more cost effective to produce. This makes them ideal for the mass market. This trend is particularly noticeable in China.
This mass-market momentum is apparent in the launch of new electric vehicles (EVs), some of which are carrying smaller price tags. Affordable BEVs were launched around 2019 and 2020, such as the Volkswagen e-Up and the MG ZS EV.
However, the following three years saw a greater focus on premium models with large ranges and advanced technology.
‘We have seen recently, because volume needs to come into the market, there needs to be more affordability,’ said Lange. ‘We are getting back to a focus being on affordable vehicles and some models being released.’
On the other hand, PHEVs are larger, more complex vehicles. This is mainly because of their need for two powertrains. This means they are less likely to carry the mass market towards electrification.
Will Chinese brands succeed in Europe?
Brands from China are set to capture a greater share of the European EV market. However, the large volume of new brands, each with its own model range, raises several important questions. First, which ones will make a lasting impact in the region, and second, how will incumbent marques respond?
Build quality will be an important point for new entrants to consider, particularly in pursuit of the mass market. There will also be a need to approach the European market as a diverse automotive landscape with specific regional demands.
Meanwhile, European brands will need to tighten their production process to ensure maximum efficiency. A focus on more affordable models will also be key, with simple configurations. Playing to their advantages, these brands will need to leverage their existing reputation and production infrastructure.
Enjoyed Global new-car market outlook 2026? Then make sure to register for Autovista Group’s next webinar, 2026 residual value outlook: regional shifts and trends. This will take place on 21 January 2026 at 09:30 GMT, so sign up today.
The EU saw further registration improvements during October, with volumes continuing to grow. But which powertrains led the turnaround? Autovista24 special content editor Phil Curry examines the latest data.
The EU’s new-car market turnaround continued in October, with another month of growth for the sector.
In total, 916,609 new passenger cars were registered across the 27 member states, according to the latest data from ACEA. This was a 5.8% improvement compared to October 2024. The result was once again driven by electrified deliveries, with the internal-combustion engine (ICE) market continuing its fall.
October’s growth marks the bloc’s fourth consecutive month of improvement. However, the figures between January and October appeared precarious as the market moved into the final two months of 2025.
EU sprinting to the finish
The EU market suffered four monthly declines in the first half of 2025. This made the task of achieving annual growth far from easy. However, in September, the market clawed back to cumulative growth.
October’s result strengthened this position. After 10 months of the year, new-car totals reached 8,974,026 units. This represented a gain of 120,725 registrations and a year-on-year growth of 1.4%.
On the back of a fourth consecutive increase, signs are currently positive for the rest of 2025. However, with such a slim margin, a bad result could push the market down. At the same point in 2024, the EU’s new-car market was up by just 0.7%. The bloc also saw four months of declines in the 10-month period.
The market is in a stronger position for 2025. It currently has double the growth, in terms of percentage points (pp), compared to the first 10 months of 2024. It would take a very bad volume decline in both months to cause a full-year drop.
This year’s largest monthly volume loss, to date, was June’s 79,777-unit decline. The second-largest was February’s 30,168-unit drop. Combined, this still equates to a 109,944-unit fall in deliveries. This highlights the plummet required for the market to suffer a year-on-year fall in 2025.
So, what would happen if both June and February were taken out of the equation? Across the remaining eight months of 2025, the EU new-car market would be up 3.4%.
EVs boost EU market
October’s market increase owes much to the electric vehicle (EV) market. Made up of battery-electric vehicles (BEVs) and plug-in hybrids (PHEVs), the powertrains accounted for 29.4% of the month’s overall volume.
Without EVs, the overall EU new-car sector would have seen a 4% decline in the month. EV registrations totalled 269,434 units in the month. This translated to a rise of 40.2% year on year and an additional 77,260 deliveries. The result was the second-best of the year in terms of improvement, and the best in terms of volume.
Between January and October, plug-in models accounted for 25.5% of the new-car market, an increase of 5.3pp. In total, 2,292,648 EVs took to EU roads, a 28% rise year on year.
BEVs drive EU volumes forward
BEVs performed best in the month. The powertrain saw 173,173 units registered across the EU, a 38.6% increase year on year. This meant an additional 48,241 all-electric models made it to EU roads, the largest unit improvement of any powertrain.
The result meant that BEVs achieved an 18.9% market share in the month, up by 4.5pp compared to October 2024. This equalled their largest monthly share in the first 10 months of 2025. However, with the largest volume of the 10-month period, October was by far the powertrain’s best performance.
However, it was not completely plain sailing for BEVs in the month. There were declines in Belgium and Sweden, down 3% and 0.8%, respectively.
This does suggest uptake in these markets has slowed. However, it was not enough to dent the overall result. This was because the technology saw strong growth in other high-volume BEV markets. In Denmark, registrations rose by 29.3%, while in France, all-electric deliveries increased by 63.2%.
Germany also saw a notable BEV improvement of 47.7%. This was joined by the Netherlands, Italy and Spain, up 27.4%, 24.9% and 90.1%, respectively.
The most impressive performance came from Poland, with an increase of 319.9% year on year in October. Slovakia and Slovenia also posted triple-digit growth of 125.1% 208.1%, respectively. Yet these were based on very low volumes.
Between January and October, EU BEV registrations rose by 25.7%, with 1,473,447 units delivered. This has given the all-electric sector a 16.4% share of the overall total, up by 3.2pp year on year.
PHEV turnaround continues
PHEVs achieved the biggest year-on-year increase in the month, with a 43.2% rise in registrations. In total, 96,261 units were delivered, claiming 10.5% of the market, up 2.7pp. This was the technology’s highest volume of 2025 so far.
PHEVs started 2025 with two consecutive months of decline. Since then, the technology has been on an impressive run. It recorded double-digit improvement in every month since March, and has not dropped below the 31.2% growth recorded in April.
October’s PHEV performance was partly driven by Spain and Italy, which saw PHEV registrations up 145.6% and 112.1% respectively.
Germany saw a 60% year-on-year improvement. Meanwhile, the Netherlands also experienced a strong volume increase of 42.7%. Poland again saw a big jump, albeit against lower volumes, with 122.7% more PHEVs delivered.
But the powertrain did struggle in other key EV markets. France suffered a 14.4% decline in registrations, while Belgium experienced a 19% fall in volumes. This was not enough to derail PHEV progress. Yet, it may have contributed to the lowest overall growth since June 2025.
The PHEV market’s turnaround after February has been strong. After the first two months of 2025, it carved out a 5% registration decline and just a 7.4% market share.
Conversely, after 10 months, it recorded a volume increase of 32.4%. The technology captured 9.1% of overall new-car volumes, up 2.1pp. In total, 819,201 units were delivered to EU customers.
Between March and October alone, the powertrain saw an increase of 42.5%, emphasising its strong run of performances.
Hybrid domination continues
The EU’s hybrid market, made up of full and mild-hybrid powertrains, continued to lead the new-car sector in volume terms.
For the second time this year, the powertrain led the combined ICE market in terms of registration share. Its 34.5% hold of the total was up 1.1pp year on year. It was higher than the 32.9% taken by the combined forces of petrol and diesel registrations.
In total, 316,068 hybrid units were delivered in October, a rise of 9.4%. This equated to an increase of 27,192 units.
All but three of the 27 EU member states saw hybrid volumes rise during the month. The Netherlands saw a 3.2% decrease, alongside Estonia and Ireland, with declines of 48.2% and 11.2%, respectively. However, the latter two countries recorded volumes of under 1,000 units.
Across the first 10 months of 2025, hybrids saw growth of 15.6%, with 3,109,362 units registered. This is an increase of 420,317 units compared to the same period of last year. This gave the powertrain a 34.6% market share, up 4.2pp.
Adding the hybrid result to the EV total, in October, electrified models made up 63.9% of the overall market. This is a 7.4pp rise compared to the same period of last year. They registered 585,502 units in the month, up 21.7%.
Between January and October, electrified models saw 5,402,010 registrations, up 20.6%. After 10 months of 2025, they commanded a 60.2% share of the market, up 9.6pp.
Petrol and diesel struggles continue
While electrified vehicles pick up speed, petrol and diesel keep slowing. Only seven markets in the EU saw petrol volumes improve. Meanwhile, just three countries saw diesel increases.
This meant that the petrol market fell 14.3% in October, with 227,416 deliveries. The powertrain took a 24.8% share, down 5.8pp year on year. This was the lowest monthly market share of 2025 so far for the fuel type. Moreover, it marked the second month in a row that it achieved less than a quarter of the market total.
October’s result added to a year of declines for the powertrain. After 10 months of 2025, deliveries were down 18.3%, with 2,459,151 units registered. This left petrol’s share at 27.4%, a drop of 6.6pp year on year.
Meanwhile, diesel deliveries dropped 21.9% in October, as 73,830 units were taken to EU roads. This led the technology to an 8.1% market share, a drop of 2.8pp compared to the same period last year.
Across the first 10 months of 2025, diesel suffered a 24.5% fall in volumes, with a total of 821,178 units. This equated to a 9.2% market share, down 3.1pp year on year.
Combined, the ICE market saw a 16.3% decline in October with 301,246 registrations, a drop of 58,636 units. The powertrain group’s 32.9% market share was just 3.5pp ahead of the EV sector, and an 8.7pp decline year on year.
Between January and October, ICE deliveries fell 20%, with 3,280,329 registrations. This was 818,454 units lower than the same period of 2024. Petrol and diesel volumes made up 36.6% of overall new-car deliveries after 10 months, a fall of 10.3pp.
In recent years, touchscreens and digital interfaces have transformed the car interior. However, with issues surrounding safety, usability and residual values (RVs), are knobs, switches and buttons set to reclaim the dashboard? Autovista24 web editor James Roberts explores the topic.
As the automotive industry evolves, so does the interior of vehicles. Over the last couple of decades, the design of car interiors has become increasingly digitised. Carmakers have trended towards using fewer physical elements such as buttons and switches, instead prioritising central screens and haptic controls.
From housing essential analogue instruments such as speedometers and fuel gauges, the dashboard has changed significantly over the last century. The 1980s and 1990s heralded a growing digital influence, and this trend has continued at a revolutionary pace.
The growth in electric vehicle (EV) adoption has been central to this shift. Additionally, prioritising screens provides a cost-saving measure for manufacturers. Whether electrified or powered by an internal-combustion engine (ICE), car dashboards have experienced a profound shake up. But have things moved too fast?
Too digital too soon?
‘There has been a very clear trend towards reducing or even eliminating physical buttons in recent years,’ stated Christoph Ruhland, director of business development at Autovista Group. One example of this trend is Tesla. The brand’s large infotainment screens with their drawing pad abilities became a popular concept.
‘Tesla initiated this development and pushed it to an extreme with the facelift of the Model 3, where it removed the indicator stalk entirely. This proved highly impractical in everyday driving and has since been reversed,’ Ruhland commented.
Tesla’s embracing of an almost entirely digital environment pushed established automotive design leftfield, and proved hugely influential. Over the last 15 years, major manufacturers including Hyundai, BMW, Mercedes-Benz, and Volkswagen (VW) have followed this trend. However, as larger screens and digital elements began dominating, the shift proved too radical for some customers.
Source: Tesla
‘Many buyers, especially in the used-car market, were just getting used to the idea of touchscreens for basic functions. Suddenly, almost all of the ‘minor’ functions; infotainment, heating, ventilation, air conditioning and heated seats, were only accessible via touchscreen menus. For drivers, this was a step too far, too fast,’ stated Robert Redman, senior market analyst, consulting services at Autovista Group.
Digital decisions
Hyundai emerged as one of the first major manufacturers to change its approach to digitisation. Initially, the Korean carmaker widely embraced touchscreens, even adding them to steering wheels in a concept car.
‘As we were adding integrated infotainment screens in our vehicles, we also tried putting touchscreen-based controls, and people did not prefer that,’ admitted Ha Hak-soo, vice president of design North America, Hyundai, as reported by InsideEVs.
Source: Hyundai
Hyundai’s U-turn towards physical controls has been evident in the updated Tucson. A 2024 refresh saw a haptic control stick added to the SUV, as well as physical dials for climate control. This is a theme mirrored in electric siblings such as the Ioniq 5 and Ioniq 6.
‘The real question is not whether digitalisation was too fast, but how much of it is actually sensible and usable,’ said Ruhland. ‘Some functions were moved to screens mainly for cost reasons, and this has sometimes been unhelpful for real-world usability. Digitalisation only makes sense when it genuinely improves the driver’s experience.
Big names getting physical
Along with Hyundai, a raft of major OEMs cooled their touchscreen transition and cockpit digitisation in recent years.
Magnus Östberg, head of software at Mercedes-Benz, told Autocar that data pointed to physical buttons being better. This blunt appraisal hints at much wider, nuanced trends. Östberg outlined a vision for a balance between physical controls and a data-driven, software-defined environment.
Volkswagen (VW) has been a notable player in the changing approach towards an overtly digital interior. The brand faced criticism following the rollout of capacitive steering wheels and touch sliders in 2019.
This centred around models including the Golf Mk8 and the electric ID. series. It even filtered into Ford models based on VW’s MED platform, such as the Ford Explorer. Criticism centred on accidental inputs and difficulty using touch-sensitive controls, soon making automotive headlines. This year, Thomas Schäfer, CEO of Volkswagen, confirmed the return to physical buttons on the steering wheel in VW models.
Source: VW
This is something the carmaker has emphasised will continue across future models. This includes providing a digital experience that ‘supports the driver, rather than competing for attention.’ VW revealed to Autovista24 that future interiors will combine ‘tactile clarity with intelligent digital support. Physical where it matters, and digital where it adds value.’
‘Our goal is to make every interaction in a VW feel instantly natural,’ Andreas Mindt, head of Volkswagen brand design, told Autovista24. ‘Customers told us clearly what they expect: intuitive controls, essential physical buttons, and digital functions that support rather than overwhelm. This balance of tactile clarity and smart technology is the foundation of our future interiors.’
Safety dictating design?
User experience and consumer preference aside, one key feature is forcing the future of vehicle interiors: safety.
The European New Car Assessment Program (Euro NCAP) recently focused on safety concerns linked to digital and touchscreen proliferation. From January 2026, a coveted five-star safety rating can only be achieved via the implementation of prominent physical elements.
These include physical controls for five critical functions spanning indicators, hazard lights, horn, windscreen wipers and the eCall emergency system. This signals a significant milestone in how manufacturers will approach the in-car digital and physical balance.
‘The updated rules place much stronger emphasis on safe driver engagement and on the ability to operate essential functions with minimal distraction,’ added Ruhland. ‘This development is not only driven by safety protocols, but also by the simple reality that physical switches often provide better usability in dynamic driving situations.’
While not legally binding, Euro NCAP ratings provide a powerful marketing tool, guiding wider automotive safety trends.
‘As a result, manufacturers targeting the highest safety ratings will need to reintroduce strategically placed physical controls for key functions, supported by voice commands where they genuinely reduce distraction and add value. The likely outcome is a more balanced approach in the coming years. Digital interfaces where they make sense, but physical controls where safety and intuitive operation demand them,’ highlighted Ruhland.
Residual value impact
Increased digital and touchscreen elements are nothing new. As a result, their desirability in the used-car market is a major factor. Particularly when it comes to the impact on RVs. Functionality has proven a key factor in RV determination.
‘Ease of use has always been important when it comes to cockpit controls,’ Redman outlined. ‘The actual location and functionality will vary from model to model, of course, but most buyers are driving their car for three or four years, or increasingly longer terms, so will soon learn the changes in their ‘new’ car.
Source: BYD
‘However, the ease of use and accessibility will have a bearing on the first impressions, and systems that appear overly complicated can be off-putting at first, and this will affect saleability and impact RVs,’ he said.
Additionally, the desirability of digital functionality varies across the world. Many Chinese EV manufacturers trend towards cockpit standardisation. This creates a uniform appearance across brands that hampers individuality.
Ruhland stated: ‘The result is a form of monotony that makes it difficult for brands to differentiate themselves. Manufacturers will now need to rediscover a clearer family identity inside the vehicle. A distinctive cockpit can be as important to brand perception as the exterior design.’
Space for differentiation
There is some space for differentiation in Europe, and physical controls can help shape this. Premium brands continue to explore a more bespoke and individual approach to cockpit design. For many European OEMs, physical controls can convey a sense of luxury and refinement, reinforcing brand identity. According to Ruhland, ‘high-quality buttons offer a level of precision, feedback and the way they feel to the touch that a touchscreen cannot replicate.’
‘In our work, we have identified around 30 drivers of RVs, and cockpit design directly impacts a number of them,’ added Ruhland. ‘These include emotion and appeal, timelessness, interior attractiveness, perceived quality, suitability for everyday use, and practicality and ergonomics, to name the most important ones.
‘The influence is real, but it should not be overstated. A vehicle that offers no physical controls at all is likely to have disadvantages in the used-car market, as it may be seen as less intuitive and less user-friendly.
‘However, once a car offers a healthy balance between digital interfaces and physical buttons, the impact on RVs becomes more or less neutral. Additional high-quality physical controls that improve usability and provide a more premium impression can even be supportive of RV performance,’ Ruhland said.
Digital cost saving
Cleaner aesthetics and enhanced user experience may seem the obvious driver for a simplified interior. However, this is not the most important factor. The shift towards digital interfaces has been driven significantly by strategic and economic needs.
Streamlining multiple functions into a digital mode can replace many wired and manufactured components. This can ultimately ease the need for materials and wider supply chain demands.
‘If we are honest, the main driver behind this development has not been ergonomics or better usability, but cost,’ added Ruhland. ‘Every button requires hardware, wiring, and ongoing software support, and removing them saves money.’
‘I believe the future will be a hybrid interface that combines a mainly digital cockpit with physical controls where they genuinely add value,’ added Ruhland. ‘Digital screens will remain the core of the interaction, but physical buttons will support key functions that benefit from immediacy, tactility or reduced distraction.’
Coupled with this, digitisation has catalysed the introduction of over-the-air (OTA) updates. This is another means of saving money, reducing the need for recalls, and streamlining feature upgrades or fixes.
‘I suspect that we have already reached a good balance between physical and touchscreen controls,’ commented Redman. ‘Drivers need to be able to quickly and safely access certain functions, such as infotainment, heating, ventilation and wipers while driving.
‘This is not going to change in the future as drivers still need to be able to prioritise their primary focus on the process of driving and negotiating traffic and not be distracted trying to negotiate a menu to demist their windscreen,’ he concluded.
Which brands are driving electric vehicle (EV) sales across Europe, China and the worldwide market? What does the latest Nexperia development mean for carmakers? Autovista24 editor Tom Geggus unpacks the news in The Automotive Update podcast.
In this episode, Autovista24 considers how one carmaker has dominated global EV sales in 2025. Its figures were boosted by success in the plug-in hybrid (PHEV) market, despite the powertrain stagnating in some regions.
In contrast, some challengers saw demand dip, while one German brand experienced sales increases. Plus, the latest twist in the Nexperia story.
BYD dominated the Chinese and global EV market between January and September. The brand took a commanding share of worldwide plug-in sales, with a balanced volume of battery-electric vehicles (BEVs) and PHEVs.
The Song Plus, known as the Seal U in some markets, topped the global PHEV market after nine months of the year. This was helped by the model leading the European PHEV market in September. It also held first in the UK’s cumulative PHEV standings. Despite this, the marque’s annual PHEV deliveries dropped between January and September.
This marked part of a wider declining trend in PHEV sales, seen in China and across the global market. Conversely, the technology’s demand in Europe was strong three quarters into 2025.
EV manufacturer struggles
Despite only selling BEVs, Tesla also saw deliveries dip. This fall was particularly pronounced in Europe. However, its Model Y and Model 3 were still the best-selling EVs worldwide after nine months of 2025.
On the other hand, Volkswagen (VW) saw EV sales soar. The brand enjoyed strong growth in Europe, with a particularly positive performance in Germany. VW models also led the country’s BEV and PHEV charts.
This contributed to its solid global EV growth. Yet, due to increased competition, its market share only saw a minor rise. This trend affected many brands worldwide.
Nexperia’s latest announcement
The Dutch government confirmed it will suspend the order with which it took control of the semiconductor maker Nexperia.
‘In light of recent developments, I consider it the right moment to take a constructive step by suspending my order under the Goods Availability Act regarding Nexperia, in close consultation with our European and international partners,’ said the Netherlands’ economics affairs minister Vincent Karremans.
‘In the past few days we have had constructive meetings with the Chinese authorities. We are positive about the measures already taken by the Chinese authorities to ensure the supply of chips to Europe and the rest of the world.
‘We see this as a show of goodwill.’ He went on to day that ‘we will continue to engage in constructive dialogue with the Chinese authorities in the period ahead.’
However, Nexperia clarified that Zhang Xuezheng is still suspended and is not acting as the CEO. Instead, CFO Stefan Tilger will continue to act as interim CEO. Additionally, voting rights in the shares in Nexperia, indirectly held by Wingtech, cannot be exercised by the Chinese company.
Carmakers have recently faced the potential disruption of semiconductor supply and the related parts. However, with this latest development, automotive companies can breathe a little easier that some progress has been made.
The UK’s electric vehicle (EV) market is under pressure to perform in 2025. But how are new entrants and the introduction of the Electric Car Grant (ECG) helping to drive sales? Autovista24 special content editor Phil Curry examines the data.
The UK’s EV market, made up of battery-electric vehicles (BEVs) and plug-in hybrids (PHEVs), is continuing to grow. Sales have benefited from new entrants and the reintroduction of incentives.
In total, 522,489 EVs were sold in the country nine months into 2025, according to the latest data from EV Volumes. This equated to a 32.2% increase year on year. Of the two powertrain technologies, BEVs were more popular, accounting for 66.9% of all plug-in deliveries in the UK.
With 349,704 deliveries between January and September, the BEV market increased by 29.6% compared to the same period of 2024. Meanwhile, the PHEV sector recorded 172,785 sales, signalling a 37.7% improvement.
BEVs are under pressure to perform in the UK at present. The zero-emission vehicle (ZEV) mandate requires 28% of a carmaker’s deliveries to be either BEV or hydrogen fuel-cell models. SMMT data revealed that BEVs only made up 22.1% of the UK’s entire new-car market three quarters into 2025.
BYD leads new entrant boost
Over the last few years, the UK has become an attractive prospect for new entrants to the European automotive market. Many of these brands are subject to EU import tariffs, with a focus on BEVs built in China.
Of these new entrants, the most impressive performance came from BYD. Between January and September 2025, it sold the third-largest number of EVs in the UK, reaching 35,474 units. This was up 574.4% compared to the same period in 2024.
The marque has been helped by its popularity in the plug-in hybrid market. Over the first three quarters of the year, the UK’s best-selling PHEV was the BYD Seal U, with 16,129 deliveries. It accounted for 9.3% of all PHEVs sold, leaving the industry stalwart, the VW Tiguan, in second.
The rest of the carmaker’s tally came from the BEV market. While not placing in the annual top 10 chart after three quarters of the year, BYD did make inroads with the Sea Lion 7 in September. It was the sixth best-selling BEV in the month, moving 2,019 units. This was impressive for a model that only started deliveries in January, ending the month with a 2.8% market share.
Jaecoo impresses as another new entrant
Another impressive new entrant is Jaecoo. It only offered one model in the UK across the first nine months of 2025: the J7 PHEV. With deliveries first recorded in March 2025, it took third in the annual PHEV top 10 with 12,463 units. This puts it just 110 units behind the VW Tiguan, meaning it could end the year as the second-best-selling PHEV.
September was the model’s best month on the market, with 4,855 deliveries, allowing it to take second. This meant the Jaecoo J7 held 12.6% of the PHEV market in the month. Alongside the BYD Seal U, it was one of two models to achieve a double-digit market share in September.
However, Jaecoo’s reliance on one model over three quarters of 2025 did impact its position in the brand ranking. In September, the carmaker placed ninth. Yet this position could be boosted by the introduction of the Jaecoo 5 later this year.
Jaecoo’s sister brand, Omoda, saw 6,154 sales between January and September, placing it 23rd in the brand chart. The carmaker has not fully focused on the EV market, with its Omoda 5 model offered with BEV or petrol powertrains.
There are also other new entrants to the UK market that are still expanding their operations. These include Leapmotor, Chery, Xpeng and Geely. More brands mean more choice for consumers, something that can help spur the EV market forward.
Incentivising the market
In July 2025, the UK government announced the introduction of the Electric Car Grant. This incentive scheme sees up to £3,750 offered against the list price of a new BEV.
This plan includes two tiers, with manufacturers required to nominate their passenger cars and light-commercial vehicles to be eligible. Models will either qualify for a discount of £3,750 (€4,299) or £1,500.
The grant level is based on strict sustainability criteria. This includes the level of CO2 emitted during the production process, supply-chain emissions, and the use of renewable energy sources.
Battery production emissions account for 70% of the criteria targets, with vehicle assembly emissions weighted at 30%, the RAC reports. The carbon intensity of the electricity grids where production takes place is also considered. Additionally, only BEVs with a list price of under £37,000 will be eligible.
Currently, only three vehicles qualify for the maximum discount. These are the Ford Puma Gen-e, the Ford E-Tourneo Courrier, and the Citroën ë-C5 Aircross Long Range. Both Ford models were added to the list at the end of August, while the Citroën became eligible at the beginning of November. There are a further 38 models in the second tier, eligible for a £1,500 discount.
Is the Electric Car Grant working?
At first glance, it appears the ECG has had little impact on the UK’s BEV market. In September, the two best-selling models were the Tesla Model Y, with 4,273 units, and the Tesla Model 3, with 3,720 deliveries. The former lost volume compared to 2024, by 26.3%. However, the Model 3 jumped by 100.5% year on year.
Yet the Ford Puma Gen-e was the third-best-selling BEV in September. This was the first full month of the model’s eligibility for the ECG discount. Having gone on sale in April 2025, the Puma Gen-e did not achieve more than 635 deliveries until September. On reaching this month, it achieved a volume of 3,144 units.
The UK often sees a bounce in passenger car sales in September due to the plate-change effect. However, the Puma Gen-e achieved a month-on-month improvement of 1,383%. In comparison, the Ford Explorer saw an increase of 67.9%, while the Ford Capri achieved 109.6% growth.
Therefore, it does seem that Ford has benefited from its BEV model being eligible for the full ECG discount.
The only other ECG-approved model that made September’s top 10 BEV chart was the Skoda Elroq. Having come to market in January 2025, it saw 1,671 sales in the month, placing it eighth. This was its highest total of the year but was comparable with its 1,206 sales in March. So, it seems the model’s position is based more on the model’s popularity than its £1,500 grant.
The rest of September’s top 10 BEV table was made up of models that are not eligible for the ECG. Therefore, it may be a while before the full effect of the grants becomes clear.
Tesla domination continues
Across the first nine months of 2025, the Tesla Model Y led the market with 18,310 sales. This gave it a 5.2% market share. Close behind was the Tesla Model 3, with 16,605 deliveries and a 4.7% hold of the all-electric total.
The two US models have a commanding lead ahead of the third-placed Audi Q4 e-tron. This saw 11,087 sales in the nine-month period, for a 3.2% market share.
In the PHEV market, behind the top three, the Ford Kuga placed fourth, some way behind the Jaecoo J7. With 8,305 sales, it achieved a 4.8% share of the total PHEV volume after three quarters of 2025. It was ahead of the MG eHS, which managed 5,739 deliveries and a 3.3% market share.
As a leading European electric vehicle (EV) market, the fortunes of Germany’s carmakers are key to the continent’s plug-in success. But while some domestic brands are thriving, others are not. Tom Hooker, Autovista24 journalist, reviews the figures.
Germany’s EV market has enjoyed a positive 2025 so far, recording a year-on-year improvement of 46.3% between January and September. This equated to 596,585 sales, according to EV Volumes. Plug-in delivery pace was even stronger in the third quarter alone, with a 56.7% surge to 210,903 units.
These figures cemented the country’s position as the third biggest EV market worldwide three quarters into the year. It followed only China and the US. It led Europe’s EV efforts, ahead of other major new-car markets such as the UK and France.
Battery-electric vehicles (BEVs) and plug-in hybrids (PHEVs) have helped push the EV market forward in 2025, but for different reasons.
BEVs experienced a 37.8% rise in volumes across the first nine months of the year. This means 104,081 more all-electric models took to German roads compared to the same period of 2024.
While PHEVs recorded lower volume improvements compared to 2024, their relative growth was significantly higher. The powertrain’s sales soared by 64.1% to 216,962 units from January to September.
Demand has picked up pace throughout the year, with an 86.3% improvement in September alone. EV Volumes does include extended-range electric vehicles in its plug-in hybrid figures.
Looking ahead, Germany’s EV market is forecasted to grow by 16.7% in 2026. Plug-in models are expected to take a 33% share of the overall new-car market, with BEVs alone capturing 22.1%.
Will incentives impact EVs?
Germany’s new purchase incentives may help achieve this growth. Coming into effect in 2026, this will be the first time since December 2023 that these subsidies have been available. However, little is currently known about the details of these subsidies.
The country also recently presented a first draft of the Masterplan Ladeinfrastruktur 2030. The document outlines the German government’s strategy to coordinate and accelerate the deployment of publicly accessible EV charging infrastructure.
The plan’s 41 measures look to boost demand and investment, simplify and accelerate implementation, as well as increase price transparency. Improving electricity grid integration and enhancing user-friendliness are also covered.
VW’s EV dominance
Volkswagen (VW) dominated Germany’s EV market during the first nine months of 2025, with 113,607 units delivered to customers. This was nearly double the total of its nearest competitor and represented an improvement of 134.9% year on year.
The brand took a controlling 19% share of its domestic EV market, up 7.1 percentage points (pp) year on year. The VW brand also sold the largest volume of EVs in the third quarter alone, recording a 121% increase to 37,605 deliveries.
The best-selling BEV and PHEV models nine months in 2025 both hailed from the carmaker. The VW ID.7 sat atop the all-electric table, with 25,101 sales and a 6.6% market share. It also made up 22.1% of VW’s overall EV volumes.
Its sibling, the ID.3, was just 2,227 units behind. However, the hatchback chipped away at the ID.7’s lead after topping September’s monthly standings. It managed a 146.6% year-on-year increase to 2,979 deliveries. The ID.4 placed fifth in the January to September BEV chart, thanks to 16,031 units.
Meanwhile, VW’s Tiguan captured 5.5% of the PHEV market from January to September, holding first place with 11,848 sales.
The VW Passat took fourth in the PHEV table, posting 9,302 deliveries. While not in the top 10 in the first three quarters, the VW Tayron has been ramping up volumes. It captured sixth in the September monthly results with 1,052 units.
Solid EV growth for BMW
BMW sold 61,023 new EVs in Germany from January to September, an uptick of 32.5% year on year. Despite double-digit growth, its share slipped by 1.1pp to 10.2%. Its performance in the third quarter was nearly identical to its result across the first nine months of the year, as it sat second with 22,461 units.
Its best-selling EV model was the iX1, accounting for 20.5% of the carmaker’s total. After nine months of 2025, the BEV placed seventh in the standings with 12,489 sales. BMW’s i4 also enjoyed demand, as the all-electric sedan achieved 8,043 deliveries from January to September.
Elsewhere, the BMW 5-Series sat sixth in the PHEV table after nine months into 2025, with 7,491 units. Yet, it could only manage ninth in September’s monthly chart. It was outperformed by the BMW X3, which came fourth with 1,176 deliveries.
Mercedes-Benz loses ground
Unlike the first two brands in the table, Mercedes-Benz has seen its EV volumes stagnate so far in 2025. Its 55,795-unit total after nine months of the year represents a 0.5% decline.
However, looking at the manufacturer’s third-quarter results alone, things seem more positive. Mercedes-Benz delivered 19,798 new EVs to customers from July to September, equating to a 7.4% growth year on year.
The carmaker accounted for 9.4% of overall EV sales in the three months. This contrasted with the same period one year ago, when it led Germany’s plug-in market with a 13.7% share.
Spearheading the brand’s electric efforts between January and September was the E-Class. It sat in third in the PHEV table with 9,393 sales after nine months. The GLC also appeared in the standings in eighth, recording 7,115 deliveries. The duo made up 29.6% of the brand’s overall EV volumes.
Although not featured in the top 10, the EQA BEV also recorded strong sales across the first nine months of 2025. It accounted for 13.1% of Mercedes-Benz’s total plug-in figure, thanks to 7,283 sales.
Cupra claws up the table
Charging behind Mercedes-Benz was VW Group brand, Cupra. The marque achieved a 133% year-on-year growth in EV sales after three quarters of 2025, with 45,379 units. This translated to a 7.6% share, up from 4.8%.
However, its improvement was less pronounced from July to September. The brand recorded an 86.1% rise in plug-in sales, placing it sixth in the quarterly chart.
Of its five EV models available in Germany, four featured in either the BEV or PHEV cumulative table. The Cupra Born led the way, as the all-electric hatchback recorded 14,859 deliveries after nine months of the year. It landed sixth in the BEV chart and accounted for almost a third of Cupra’s entire EV total.
The BEV also took sixth in September’s monthly chart, as it was joined by the Tavascan. The SUV placed seventh, with 1,296 units, equating to a 251.2% growth year on year. This was the best improvement of any model in September’s all-electric top 10.
Meanwhile, the Formentor held up well against its PHEV competitors. It sat in fifth after three quarters of 2025, posting 7,669 sales. It was joined by the Cupra Leon in seventh and the Cupra Terramar in 10th, with 7,330 and 6,709 units, respectively.
Skoda’s 2025 EV success
Another VW Group brand to make the EV top 10 across the first three quarters was Skoda. It placed fifth, just 224 units behind Cupra. The brand recorded the best year-on-year growth of any carmaker in the top 10, with volumes surging by 147.7% to 45,155 units. This meant its share jumped from 4.5% to 7.6%.
Skoda’s growth in the third quarter was slightly slower, at 90.6%. Yet, it achieved the fourth-best EV volume between July and September, just 142 units ahead of Audi.
Skoda’s success so far in 2025 can mostly be attributed to its Enyaq and Elroq SUVs. The two represented 76.5% of the carmaker’s total between January and September.
They also captured third and fourth, respectively, in the BEV standings between January and September. While the Enyaq had a higher total of 18,485 sales, its younger sibling posted stronger results in recent months. The Elroq took third in September’s monthly chart, with 2,565 deliveries, while the Enyaq finished fifth.
Can Audi catch up?
Audi sat in sixth in the cumulative EV table, 2,999 units behind its nearest competitor. The domestic marque’s growth has not been as strong as the two other VW Group-owned brands ahead of it.
However, its market share still increased by 0.3pp to 7.1%, as its deliveries rose 52.7% to 42,156 units. Audi also performed well in the third quarter, taking fifth thanks to a 90.1% uptick in demand.
Its two highest volume EV models rounded out the BEV chart after nine months. This was the Q4 e-tron in ninth with 9,214 sales, and the Q6 e-tron in 10th with 9,166 sales. The two SUVs accounted for 43.6% of the carmaker’s total plug-in volumes.
Volvo’s strong PHEV contender
The seventh most popular EV brand after nine months of 2025 was Volvo. Volumes dropped 5.6% to 26,270 units, as its share consequently fell by 2.4pp to 4.4%. The third quarter was similar, with Volvo enduring an even steeper 14.2% loss in volumes to 7,956 units.
The manufacturer did see one silver lining, however. Its XC60 was second in the PHEV chart after the first three quarters of 2025. The crossover recorded 9,949 sales in this period, trailing the VW Tiguan by just 1,899 units. The XC60 was responsible for 37.9% of Volvo’s EV volumes.
Solid EV growth for Hyundai
Hyundai posted 24,193 EV sales between January and September, putting it eighth in the EV standings. The growth meant its share ticked up by 0.1pp to 4.1%. Its delivery pace slowed marginally in the third quarter, with a 45.4% improvement to 8,745 units.
The brand did not feature any models in the BEV or PHEV cumulative table after three quarters of the year. Instead, its volumes were spread relatively evenly across its EV range. The Inster BEV topped the pack, with 8,052 sales.
Behind, Ford managed a 104.6% improvement in EV volumes across the first three quarters of 2025. This equated to 23,638 new models sold and a 1.2pp rise in share to 4%. Apart from VW, it was Germany’s fastest-growing EV brand in the third quarter alone, with sales surging by 114.8%.
The Ford Kuga placed ninth in the PHEV standings after nine months. Its 6,817-unit total represented 28.8% of the carmaker’s EV total.
Yet, it was not Ford’s best-selling plug-in. That title was taken by the Explorer BEV, which posted 7,608 sales from January to September. This gave it a 32.2% share of Ford’s plug-in figure.
Tesla was 10th in the EV standings between January and September, with 14,843 units. The brand has struggled in Germany in 2025 so far, with a 50.3% slump in EV volumes. This caused its share to plummet from 7.3% to 2.5%. However, taking figures from July to September, its sales saw a less severe drop of 30.7%.
The Model Y led the European and global EV markets after three quarters of 2025, as well as placing strongly in China. However, it did not experience the same success in Germany. Even with a fourth-place finish in September’s monthly BEV table, the crossover placed eighth in the cumulative chart.
As Europe’s electric vehicle (EV) market grows, newer entrants such as BYD are establishing themselves. Autovista24 journalist Tom Hooker examines the latest figures from EV Volumes.
EV sales in Europe have continued to charge forward, with a year-on-year uptick of 27.1% between January and September. According to EV Volumes, a combined total of 2,720,459 battery-electric vehicles (BEVs) and plug-in hybrids (PHEVs) were sold.
This growth was spearheaded by a 34% improvement in the third quarter, as 926,519 new EVs were delivered.
So far this year, PHEVs have recorded greater growth rates than BEVs. EV Volumes does include extended-range electric vehicles in its plug-in hybrid figures. PHEVs enjoyed a 31.5% rise in demand during the first nine months of 2025, with 919,112 deliveries. This is an improvement from the 21.7% growth in the first half of the year.
Monthly PHEV volumes have ramped up throughout 2025, peaking with a 55.7% increase in September, reaching 130,179 sales. This marked the powertrain’s best year-on-year growth since June 2021, and its highest monthly figure since December 2022.
This means PHEV’s share of the EV market increased to a 33.8% slice between January and September. This was a 1.1 percentage point (pp) rise from its position during the same period of 2024.
BEVs saw greater volumes across the first three quarters of the year. A total of 1,801,347 all-electric models took to European roads from January to September. This was an improvement of 25% year on year.
The technology saw 257,297 deliveries in September alone, capping a ninth consecutive month of double-digit growth. This was its highest monthly total since December 2022 and marked a 20.3% increase compared to one year prior.
So, with growth in almost every month so far this year for both powertrains, which brands have capitalised, and which have fallen behind?
Chinese brands increase EV share
Chinese brands have undoubtedly increased their EV presence in Europe. Many carmakers from the country have seen their market shares rise this year, as volumes have surged.
One example is BYD, which recorded a 302.6% year-on-year EV sales improvement over the first three quarters of 2025. This means out of the top 10 best-selling EV brands in Europe this year, it is comfortably the fastest-growing.
BYD was eighth in the EV sellers ranking between January and September. The carmaker’s 119,085-unit total translated to a 4.4% market share, up 3pp compared to the first three quarters of 2024.
Between July and September, the Chinese brand’s volumes rose by 284% to 48,336 registrations. This placed it seventh in the quarterly table, with a 4.8% market hold, up from 1.8% during the third quarter of 2024.
Seal U steals the show
The highlight of BYD’s EV range was the Seal U plug-in hybrid. It led Europe’s year-to-date PHEV market for the first time in September, moving past the VW Tiguan with 45,837 units. This also marked the first time a model from a Chinese brand has led Europe’s cumulative PHEV or BEV standings.
This was thanks to a 10,089-registration tally in September alone. This made it the month’s third-best-selling EV in Europe, behind only the Tesla Model Y and Tesla Model 3.
Xpeng has also made significant progress in Europe this year. The brand’s volumes soared by 185.3% to 12,729 units after nine months of 2025. Its G6 SUV has been its best performer, with 8,751 so far this year.
Meanwhile, Lynk & Co saw a 20.8% increase in deliveries from January to September, with 6,351 registrations. The majority of the carmaker’s volume came courtesy of its 01 PHEV.
Barriers to entry remain
The entrance of new brands does not come without hurdles, however. BEVs produced in China still face steep EU import tariffs, which were imposed in October 2024. This means increasing their European EV presence is not easy. Carmakers may consider localising production or raising list prices.
Some brands are focusing on plug-in hybrids. While PHEVs are subject to the regular 10% EU import duty, the technology does navigate around the BEV tariff rate.
For example, PHEVs made up 85.1% of Lynk & Co’s EV sales. Conversely, Xpeng focused solely on BEVs, which represented 100% of its EV deliveries. BYD had a more balanced strategy, with PHEVs accounting for 40.1% of its EV total.
VW doubles down on EVs
Volkswagen (VW) continued to sell the greatest volume of EVs in Europe after the first nine months of 2025. The brand’s total of 305,746 deliveries equated to a 104.6% surge. In turn, VW’s market EV share rose by 4.2pp to 11.2%.
The German marque’s pace is not slowing down. It recorded the most EV registrations in Europe from July to September, with 101,683 units equating to an 84.8% year-on-year improvement.
The brand has seen many of its EV models perform well this year. In the BEV market, the VW ID.3 sat fourth after the first three quarters of 2025, with 57,699 units. The ID.4 took seventh, followed by the ID.7 in eighth, with 56,186 and 53,570 registrations, respectively.
For nine months in 2025, the VW Tiguan has been in a hotly contested battle at the top of the PHEV market. It sat in second with 45,277 deliveries, putting it just 560 units behind the BYD Seal U.
BMW’s comfortable position
BMW’s EV sales recorded a 15.6% improvement from January to September, posting 245,276 deliveries. It was secure in second position at the end of September. The brand trailed VW by 60,470 units, while sitting ahead of third by 60,046 deliveries.
The manufacturer captured 9% of the European EV market. However, due to increased competition, this was a 0.9pp drop compared to the first three quarters of 2024. In the third quarter alone, its share fell by 1.3pp to 8.7%. This was despite a 17% rise in volumes to 80,809 units, which placed it in second.
However, the brand only placed one model in the cumulative top 10 of both the BEV and PHEV rankings. The BMW iX1 was the 10th best-selling BEV in Europe, with 46,775 deliveries, 3,446 units behind ninth. Meanwhile, the BMW X1 landed fifth in the PHEV standings, posting 30,314 deliveries from January to September.
Stagnation for Mercedes-Benz?
Mercedes-Benz was the third German brand to make Europe’s EV top three. This was thanks to 185,230 sales across the first three quarters of the year.
However, this was down 0.6% compared with the same period of 2024, mainly caused by a poor first quarter. Consequently, its share in the first nine months of 2025 dropped from 8.7% to 6.8%.
Yet, Mercedes-Benz managed a 5.4% increase in registrations between July and September, with 63,412 units. Should Mercedes-Benz be able to replicate this result in the last three months of the year, it could avoid a full-year decline.
Just one of its models sits in the BEV or PHEV top 10, namely the Mercedes-Benz GLC plug-in hybrid. The SUV is in seventh in the year-to-date BEV standings with 25,847 units. It was closely followed by the MG eHS, just one delivery behind in eighth.
Tesla banks on Model Y
Tesla deliveries took a 29.2% drop in Europe between January and September, equating to a loss of 71,131 units. Meanwhile, its share slumped by 5.1pp to 6.3%. Yet, the brand still took fourth in the year-to-date table, with 172,582 units.
Tesla’s decline was less pronounced in the third quarter, with a 20.4% drop, to 62,557 registrations.
The Model Y and the Model 3 made up 99.3% of Tesla’s sales in Europe after three quarters of 2025. The crossover comfortably led Europe’s all-electric market after nine months of the year, with 109,524 units.
Meanwhile, the Model 3 moved up to second in September. It sat 47,738 deliveries behind its sibling, recording 61,786 registrations from January to September. Both models also locked out the top two spots in the month’s BEV table, despite their volumes falling year on year.
Audi’s growing EV presence
Audi moved up to fifth in Europe’s year-to-date EV standings, thanks to 151,005 deliveries. This represented year-on-year growth of 14.2%. However, its share fell by 0.6pp to 5.6%. In the third quarter alone, the German marque enjoyed a 33.4% uptick in demand to 51,034 units, placing it in sixth.
No Audi models featured in the BEV or PHEV top 10 tables after nine months of the year. However, the Q6 e-tron did place 10th in September’s monthly all-electric standings, with a 253.9% delivery surge to 5,323 units.
Yet, it was the Audi Q4 e-tron that was the brand’s most popular EV model after three quarters of 2025. It represented 29.3% of the carmaker’s overall plug-in figure.
Falling EV registrations for Volvo
Volvo suffered a 17.3% fall in EV sales from January to September, dropping to sixth in the year-to-date table. Its 147,339-unit total gave it a 5.4% share of the market, down from 8.3%.
The manufacturer endured an even steeper decline of 17.8% in the third quarter alone, with volumes dropping to 44,849 units. Its market hold in this period was 4.4% down from 7.9% in the third quarter of 2024.
Its Volvo XC60 sat in third in the year-to-date PHEV table with 42,555 units, just behind the VW Tiguan. The model landed fourth in September’s monthly standings, pipped by the Jaecoo J7. The SUV made its first-ever appearance in the PHEV top 10, with a record 6,122 registrations.
Skoda’s mixed EV performance
Skoda posted a 129.3% surge in plug-in deliveries during the first nine months of 2025. It sat seventh in the cumulative table with 145,385 units, as its share grew by 2.3pp to 5.3%.
This improvement was foreshadowed in the third quarter. The brand saw a 95.7% rise in volumes between July and September alone, putting it fifth. Two BEVs have led Skoda’s EV efforts, although they faced contrasting fortunes.
The Elroq moved up to third in the year-to-date BEV table, with 58,680 registrations, just 3,106 units behind second. It also took third in September’s monthly BEV standings, with 9,972 deliveries.
Its older sibling, the Enyaq, fell two spots to sixth in the cumulative BEV chart, with 56,581 units delivered.
Cupra and Renault fall
BYD’s improvement came at the expense of Cupra and Renault, who were victims of the continent’s competitive nature. The brands dropped to ninth and 10th, respectively, in Europe’s EV standings after the first three quarters of the year.
This was despite a volume increase of 80.4% for the former, as its share grew from 2.9% to 4.2%. Meanwhile, Renault’s EV registrations surged by 82.8%, equating to a 1.3pp rise in share to 4.1%. Yet, neither brand featured in the third quarter’s EV top 10.
The combined total of the Renault 5 and Alpine A290 represented over half of Renault’s EV total between January and September. The hatchback sat fifth in the BEV chart after three quarters of 2025, with 56,642 deliveries.
Cupra’s most notable model was the Formentor, which secured ninth in the PHEV top 10 after three quarters of the year. This was thanks to 21,480 deliveries.
China’s plug-in hybrid (PHEV) market appears to be slowing following another month of struggling growth. But how are these performances affecting domestic brands? Autovista24 special content editor Phil Curry examines the data.
In September, China’s PHEV market, including range-extended electric vehicles, once again showed signs of a slowdown. Its 0.4% year-on-year improvement was the lowest result since a 51.4% decline in June 2020, according to EV Volumes data. Meanwhile, the BEV market grew once again in September. In total, 836,711 models were sold, which equated to a rise of 26.5%.
Between January and September, China’s PHEV market saw 3,859,629 passenger car sales, a 21% increase year on year. At the end of the first half of 2025, this growth was at 35.7%, highlighting the powertrain’s third-quarter struggles.
Meanwhile, the BEV market saw an improvement of 37.4% across the first nine months of 2025.
The overall Chinese electric vehicle (EV) market rose by 30.3% over the first three quarters of the year. However, this was down by 10.1 percentage points (pp) compared to the growth in the first half of 2025.
The PHEV problem
Some of the most popular PHEV models in China suffered declines in the third quarter. Combine this with the growth recorded at the end of 2024, and the last quarter of 2025 may prove difficult.
The market’s issues have caused problems for some Chinese brands, especially those with a stronger PHEV offering. Both Li Auto and Aito have posted overall declines after three quarters of the year.
BYD, which dominates the PHEV market, saw its numbers fall between July and September, coinciding with the PHEV slowdown. For the second consecutive month, the BYD Song Plus did not make the monthly top 10, hampering its sales growth.
The PHEV sector could play a crucial role in determining how certain brands perform for the rest of the year. Meanwhile, a strong BEV market is helping some domestic marques go from strength to strength.
BYD’s third-quarter PHEV struggles
Nine months into 2025, BYD sold the largest volume of EVs of any brand in China. But its growth slowed dramatically in the third quarter. With 52.6% of its sales coming from PHEVs, is it responsible for the sector’s poor form in the same three-month period?
Between July and September, the carmaker saw volumes drop by 19.4%. This meant its figures for the nine-month period grew by just 2.5%. In the first half of 2025, the brand’s numbers were up by 19.9%
With a 24.9% EV market share in the first three quarters of 2025, it is comfortably the region’s plug-in leader. However, its hold has slipped by 6.8pp compared with the same period last year.
It is the PHEV market where BYD has struggled the most. Six of BYD’s PHEVs made the top 10 in September this year. Of these, four models lost volume year on year, while the Qin Plus recorded an improvement of 41%. Meanwhile, the BYD Sea Lion 06 first recorded sales in June this year.
But the brand’s problems are not just related to plug-in hybrids. In the BEV market, the BYD Seagull placed fifth in September as its sales shrank by 47.3% year on year.
However, this was countered by the BYD Yuan Up in fifth, which enjoyed a 61.8% improvement. Furthermore, the BYD Dolphin saw a 41.7% uptick in demand in eighth.
The carmaker is focusing on export markets, while it maintains a diverse portfolio of products in its domestic market. For now, BYD can rest on its laurels, with no real challenger yet in sight.
Geely’s standout performance
The standout brand so far this year has been Geely, including its Galaxy subsidiary. The carmaker has seen volumes increase by 234.7% in the first nine months of 2025. This equated to an 8.8% market share, up 5.4pp.
Geely took a stronger footing in the BEV market, with 69.5% of its EV sales coming from all-electric models. This was thanks to the Geely Geome Xingyuan, which was the best-selling BEV in China between January and September. It made up 59.1% of Geely’s BEV deliveries in the period, and 41.1% of its total sales in the nine months.
But Geely has endured PHEV struggles too. The Galaxy Starship 7, which led the market in January, has since slipped down the charts. The model did not place in the top 10 during September and sat in 10th in the cumulative results after nine months.
Yet the new Galaxy A7 may offer some hope. It made its way into the top 10 for the first time in August and placed again in September. Still, Geely’s performance after three quarters owes much to the Geome Xingyuan, which is likely to be China’s best-selling BEV at the end of 2025.
Wuling and Tesla’s rollercoaster ride
Wuling, incorporating its Baojung subsidiary, has seen inconsistent results so far this year. Yet after three quarters of 2025, the carmaker still saw volumes improve by 44.1%. Its market share sat at 5.9%, up by 0.5pp.
Like Geely, Wuling’s volumes came mostly from the BEV market. Of its EV sales, 94.1% were all-electric. The Wuling Mini was China’s third-best-selling BEV between January and September.
It was helped by its chart-topping performance in September, beating the Tesla Model Y by 570 units. This was an impressive result, considering the US brand’s quarterly push, which often sees it lead in the month.
Tesla was the fourth best-selling brand after three quarters of the year. The brand saw its volumes fall by 6.1% year on year between January and September 2025. Meanwhile, market share dropped by 1.8pp.
With a 100% focus on the BEV market, Tesla is not affected by the fluctuation in the PHEV sector. Its Model Y has performed well, but it is not leading the market as it has in the past.
Additionally, the Model 3 has seen its popularity decline. In September, its deliveries fell by 15.2% year on year, despite the brand’s end-of-quarter push.
Leapmotor leaps forward
Between January and September, Leapmotor took fifth in the brand table for EV sales, following a strong third quarter. It jumped domestic rival Chery, which took fifth in the first half. Leapmotor’s success was largely thanks to its BEVs. These models accounted for 78.6% of its EV sales, meanwhile Chery’s all-electric cars only accounted for 29.5%.
These results are more impressive considering neither brand was present in the BEV or PHEV cumulative model tables. It seems each has a higher volume of models that are popular further down the table.
In total, Leapmotor’s sales were up 116% between January and September, with a 3.8% market share. This was up by 1.5pp year on year. Chery, meanwhile, saw growth of 126.6%, with a 3.8% hold of the EV market too. This was up 1.4pp compared to the same period in 2024.
Seventh in the brands table went to Li Auto. The carmaker also struggled, with volumes down 12.3% year on year. With 92.2% of its sales coming from PHEVs, it appears the marque has been affected by the powertrain’s slowdown.
Xpeng was next, with volumes rising by 213.6% over the first three quarters. This gave the brand a 3% market share, jumping by 1.8pp. Aito was another to struggle, with a 3.6% decline in volumes. The carmaker is another with a majority of its sales coming from PHEVs. This may have led to its overall share falling by 1.1pp, to 2.9%.
Xiaomi saw the biggest gain of all carmakers in the top 10 after nine months of 2025. The BEV-focused marque saw volumes grow 281.8%, with its market share up 1.8pp, reaching 2.8%.
September surprise
China’s BEV market saw a surprising result in September. The Wuling Mini led the way thanks to 51,743 sales, a jump of 78.9% year on year. It led the Tesla Model Y, which saw 51,173 deliveries.
The US brand usually leads the end-of-quarter months thanks to its reporting style. The Model Y was able to achieve a 6.2% volume increase. However, this was not enough to top the BEV chart across January to September, symbolising its ongoing struggles.
Meanwhile, the Geely Geome Xingyuan placed third in the month. The model saw its first sales take place in the same month of 2024, albeit in small amounts. It achieved a 5.7% share of total BEV sales in September.
In the first nine months of 2025, the Geome Xingyuan continued to lead. It was 50,671 units ahead of the Tesla Model Y in second, having lost a little ground in the month. The Wuling Mini closed on the US crossover, trailing by just 5,851 units after nine months.
PHEV strength despite struggles
Despite the PHEV market’s struggles, the top two models performed well. Leading the pack in September was the BYD Qin Plus, with 28,201 sales. This was a 41% increase compared to the same month in 2024.
Following this was the Aito M8. In its sixth month on the market, it achieved 21,000 deliveries, giving it a 4.2% market share. Just 229 units behind in third was the BYD Destroyer 05. It achieved 19,771 sales, although this was a 1.7% year-on-year decline. It still held 4% of the market, a 0.1pp drop.
The results meant the BYD Qin Plus extended its lead at the top of the cumulative PHEV chart. However, a strong performance from the BYD Seal 6 in September saw it overtake the struggling BYD Song Plus to sit second. The latter model did not place in September’s PHEV top 10.
Battery-electric vehicles (BEVs) led plug-in hybrids (PHEVs) in the electric vehicle (EV) mix nine months into 2025. But which brands and models led the global market? Autovista24 editor Tom Geggus explores the data.
The global EV market recorded 15,183,434 sales between January and September, according to the latest data from EV Volumes. This equated to a year-on-year increase of 30%.
This was helped by a 23.2% uptick in September when 2,122,838 plug-in units were delivered. As a result, the market stabilised after February’s 51.6% increase was followed by six months of shrinking sales growth.
Across the first nine months of 2025, EV growth and volumes have been driven by BEVs. The powertrain recorded 9,755,151 sales in the period, up 33.3% year on year. Meanwhile, PHEVs saw a delivery increase of 24.6% with 5,428,283 models hitting the roads. EV Volumes includes range-extended electric vehicles in this powertrain category.
BEV sales grew by 30.6% in September alone, with the powertrain’s biggest volume month of 2025 so far. This helped to pull up the overall EV market. Meanwhile, the PHEV performance continued to slide, with a 10.5% increase recorded in September, the lowest result for the powertrain so far in 2025.
The monthly BEV delivery total has cleared one million sales every month since March. PHEVs, on the other hand, broke the 700,000-volume mark for the first time in 2025 during September. All-electric cars represented 64.2% of the EV market between January and September, up 1.5 percentage points (pp) year on year.
Battle of the brands
BYD enjoyed a wide lead in the global EV market across the first nine months of 2025. It accounted for 19.3% of all plug-in vehicle sales as its volumes grew by 15.3% to 2,928,446 units. It took more than twice the market share of its next closest competitor, Tesla.
However, this is not a straightforward success story for the Chinese carmaker. As the market becomes increasingly competitive, BYD’s share shrank by 2.5pp compared with the first nine months of 2024.
BYD does offer a huge number of both BEVs and PHEVs, which have consistently placed high up the rankings. The brand offers seven of the top 10 best-selling PHEVs between January and September.
The BYD Song Plus, also known as the Seal U, came first in the PHEV table three quarters into 2025. It recorded 262,445 sales and took a 4.8% share. It was followed by the BYD Qin Plus with a 3.5% share and 192,479 sales. The Song Pro was next with 175,263 deliveries and 3.2% of the market.
Then came the Seal 6 in fourth with a 3.1% share and 167,577 sales. The Qin L was sixth with 132,794 sales and 2.4% of the market. The Destroyer 05, also known as the Seal 05, finished seventh with a 2.2% share and 120,790 sales. The Song L came eighth with 2% of the PHEV market thanks to 110,129 deliveries.
BYD’s BEV bump
While capturing fewer spaces in the global BEV top 10, BYD still held more spots than any other brand. Between January and September, it took four positions in the table. The BYD Seagull, also known as the Dolphin Surf, was the world’s fourth most popular all-electric model. It recorded 292,579 sales with a 3% market share.
The Yuan Plus, also known as the Atto 3, came seventh with a 1.9% share after selling 184,300 units. The Yuan Up, otherwise known as the Atto 2, came eighth with a 1.8% share and 174,137 deliveries. The Dolphin sat in ninth with 162,744 sales, capturing 1.7% of the global BEV market.
BYD’s powertrain split between January and September was well balanced, with PHEVs making up 50.2% of its EV sales. Accordingly, its two leading models were the Seagull BEV and the Song Plus PHEV. The former accounted for 10% of its EV sales, while the latter made up 9%.
A contrasting brand
The second-best-selling EV brand could not be more of a contrast with BYD. Instead of selling a wide range of models, evenly split across electric powertrains, Tesla offers only a handful of BEVs.
The Model Y continues to lead the carmaker’s sales figures, making up 66.4% of its deliveries in the first nine months of 2025. The Model 3 followed not far behind, accounting for nearly a third of its sales at 30.4%. Meanwhile, the Cybertruck, Model X and Model S contributed a fraction towards the brand’s total.
Tesla controlled the top two positions in the global BEV market nine months into 2025. The Model Y accounted for an unchallenged 8.3% of all-electric car sales, with 808,173 units delivered between January and September. Meanwhile, Model 3 followed in a distant second with a 3.8% hold and 369,756 sales.
Led by these popular BEVs, Tesla sold 1,216,655 units in the first nine months of 2025. This meant the BEV-only brand made up 8% of the global EV market, staying ahead of its competitors. However, it also saw increasing competition as its share dropped by 3.1pp compared to one year prior.
Third for Geely
BYD and Tesla’s market share was eroded by the likes of Geely in the first three quarters. The brand’s results, which include Galaxy, put it third in the global EV ranking between January and September. The carmaker took a 5.6% share of the market, up by 3.5pp from the same period in 2024.
Geely has enjoyed triple-digit growth in every quarter so far this year. With 844,630 units delivered between January and September, this equated to a sales increase of 238% year on year. However, this was slightly lower than the year-to-date growth of 286.3% recorded in June and 274.6% in March.
The brand’s results leant more heavily towards all-electric propulsion, as 69.8% of its EV sales were of BEV models. Much of this was down to the Geely Gerome Xinguan, which took third in the BEV top 10. It recorded 343,514 deliveries, making up 3.5% of the market. The all-electric car also accounted for 40.7% of the brand’s overall EV sales.
The Galaxy Starship 7 took 10th in the PHEV table in the first nine months of the year. It accounted for 1.8% of the market and 11.8% of the brand’s total deliveries.
Only two models in the PHEV top 10 did not come from BYD or Geely. The Aito M8 finished in ninth, recording 104,327 sales and capturing 1.9% of the market. Above it, the Li Auto L6 took fifth with 135,068 sales and a 2.5% market share.
The brand took 10th in the overall ranking, delivering 312,167 EVs, down 13.8% year on year. Its grip weakened by 1pp accordingly. So, which brands captured the rest of the top 10 EV brand table across the first three quarters of 2025?
The BEVs building global brands
Wuling, including Baojun, sold the fourth largest volume of EVs between January and September. This meant a market share of 3.8%, up by 0.3pp. This was thanks to 576,134 EV sales, up 42.8. Its Wuling Mini took fifth in the global BEV rankings with a 2.9% hold and 287,082 deliveries.
The model was followed by the Xiaomi SU7 in sixth with 2.3% of the BEV market, recording 219,810 deliveries. With a 1.4% share, the Xpeng MO3 climbed to 10th with 131,812 sales. The model has climbed the table since first recording sales in August last year.
This allowed Xpeng to take ninth in the overall EV ranking as it sold 313,258 units overall, up 215.4% year on year. The carmaker saw the second largest increase in market share in the table, up 1.2pp to 2.1%.
Just 0.4pp ahead in eighth was Leapmotor with a 2.5% share and 386,141 sales, up 126.5%. In seventh was another Chinese brand, Chery, having recorded 388,142 deliveries, equating to a year-in-year increase of 132.6%. Its grip on the EV market tightened by 1.2pp to 2.6%.
It drew up close to one of two European brands in the table. In sixth, BMW accounted for 2.6% of all plug-in sales across the world, down 0.8pp. Its sales were only up by 1.9%, with 399,163 EVs delivered.
The only other European brand to land a top 10 spot was Volkswagen in fifth. It claimed 2.8% of the market, up from 2.7% at the same point last year. With sales up by 32% to 419,882 units, it enjoyed slightly better growth than its German competitor. Alongside BYD, Tesla and Li Auto, these brands will need to pull out all the stops to keep their market share from slipping further towards the end of 2025.
Germany’s new-car market resurgence continued in October, as it achieved a fourth consecutive month of growth. The latest figures represent a significant improvement in form, helped by consistently strong electric vehicle (EV) registrations. Tom Hooker, Autovista24 journalist, breaks down the data.
A total of 250,133 new cars were delivered to customers in October, up 7.8% year on year. This equated to a gain of 18,141 units, according to KBA data.
Commercial registrations accounted for most of the market at 65.6%, with a 5.9% uptick in demand. Meanwhile, the private channel saw an even greater growth of 11.8%, making up 34.4% of total deliveries.
‘October 2025 marked another strong month for the German passenger car market. This continued the recovery trend seen in previous months, as October’s increase signalled sustained momentum,’ said Robert Madas, Autovista Group’s regional head of valuations.
‘However, in the year to date the market only showed a slight growth of 0.5% to 2,360,481 units,’ he added.
Germany’s new-car market returns to growthÂ
October signalled the first time in 2025 that the year-to-date figures grew year on year. A slow recovery followed a 4.7% decline between January and June. Germany has now joined the UK and Spain in the black, separating itself from the woes of Italy and France.
However, the UK and Spain have a considerable buffer separating them from dipping into the red. Meanwhile, Germany is not out of the woods just yet. The country saw just 12,415 additional units leave forecourts across the first 10 months of the year.
Since 2021, November has been a slightly higher volume month for new-car registrations in Germany. Apart from 2024, the same goes for December. So, even a minor slip-up, akin to the single-digit declines in February and March, would jeopardise the market’s overall result.
Moreover, the country’s growth is heavily dependent on the performance of just two powertrains. Without them, October’s result would have flipped into a 5.9% descent.
EV market excelsÂ
‘This overall registration growth was primarily driven by a surge in EV deliveries, underlining a shift toward alternative drive systems,’ stated Madas.
Combining battery-electric vehicle (BEV) and plug-in hybrid (PHEV) figures, the EV market enjoyed a registration rise of 52.1% during October. This added to the powertrain group’s perfect growth streak so far in 2025.
A total of 83,371 new EVs were delivered to customers in the month. This was the highest total since August 2023. During this period, results were skewed by the ending of commercial customer purchase incentives for BEVs in September 2023.
October’s high watermark equated to a 33.3% EV share. This was its largest slice of the overall market in 26 months. Considering there are no purchase incentives currently influencing registrations, this result is substantial. It can be seen as a natural gauge of consumer interest and carmaker strategies.
The share was also a 9.7 percentage point (pp) increase compared to October 2024. EVs sat 4.7pp behind the internal combustion engine (ICE) market, the smallest gap between the two so far this year. In January 2025, the gap was 20.8pp.
Further boosts on the way for EVs?Â
‘This acceleration highlights the success of current CO₂ reduction strategies, as internal-combustion engine registrations continue to decline. The announced EV purchase incentives are expected to further boost demand, even though details remain unclear,’ Madas explained.
‘Industry experts urge swift, concrete action to expand charging infrastructure and cut electricity costs. They also warned that delays and high public charging prices are stalling EV adoption,’ he said.
From January to October, 683,333 new EVs took to Germany’s roads. This was a 47.2% increase year on year, and a gain of 219,254 units. The powertrain group accounted for 28.9% of the market, up 9.1pp.
EVs trailed the ICE market share by 13.2pp in the cumulative figures. Although this is a bigger gap than in October, it is much smaller than the 33.9pp difference recorded during the same period last year.
BEVs close to record resultÂ
Representing 62.9% of the EV market in October, BEVs had another positive month of registrations. The technology recorded 52,425 deliveries, its highest volume total since December 2023, when private purchase incentives for BEVs ended. In fact, last month’s figure was just 2,229 units behind.
The figure translated to a 47.7% improvement, the fourth consecutive month of double-digit BEV growth. It captured 21% of overall registrations, up 5.7pp year on year. Furthermore, it was the powertrain’s highest share since December 2023, which was 22.6%.Â
Volumes of all-electric vehicles increased by 39.4% across the first 10 months of 2025, with 434,627 deliveries. BEVs represented 18.4% of the market, up 5.1pp year on year.Â
PHEV market’s phenomenal growthÂ
While accounting for a smaller portion of the EV market, PHEVs continued to see the greatest growth of any powertrain in Germany.
The technology witnessed its 10th straight month of double-digit growth in October, with a 60% uptick in deliveries. This was the smallest PHEV improvement since February 2025, proving its strong demand compared to 2024.
Yet, the powertrain’s 30,946-unit total in October was its highest volume month since December 2022. However, this month saw a skewed result due to the looming termination of incentives, handing the technology a 22.2% share.
Since then, diesel-powered cars have taken a larger slice of the overall market than PHEVs. This was except for last month, when the latter recorded a 12.4% share and edged out the fuel type by 0.2pp.Â
Unsurprisingly, this was the highest PHEV share since December 2022 and represented a 4.1pp increase from 12 months ago. Looking at the first 10 months of 2025, the powertrain saw a 63.4% growth, with 248,706 registrations. This gave the technology a 4pp increase in share to 10.5%. It trailed diesel by 3.8pp in the cumulative figures.
A new low for ICE?Â
The decline of petrol and diesel has been relatively consistent across Europe’s major new-car markets this year. For both fuel types, October’s result in Germany was no exception. However, upon close inspection of the figures, a startling new low became apparent.
Combining petrol and diesel volumes, the ICE market accounted for 38% of overall registrations last month. This was the powertrain group’s lowest share since December 2022, an incentive-affected period. It also equated to a 9.6pp drop year on year.
This came alongside a 13.8% decline in volumes to 95,168 units. The decline from January to October was more severe, at 21.2%. This meant 267,863 fewer ICE models were delivered, bringing the total to 993,120 registrations. In turn, the grouping’s market share fell from 53.7% to 42.1%.
Petrol loses groundÂ
Breaking things down, petrol-powered models suffered a 12.9% decline in October, with 64,706 registrations. This was the powertrain’s ninth double-digit drop so far this year. Consequently, the fuel type endured a 6.1pp downturn in share to 25.9%. This was petrol’s lowest market hold since December 2022.
Totals spanning the first 10 months of the year provided an even bleaker image. Registrations fell 22.5% to 654,657 units. This was 190,606 deliveries fewer than one year prior. Petrol-powered models made up 27.7% of total volumes, down 8.3pp. After starting 2025 as the most popular powertrain, it has dropped 0.9pp behind hybrids, which includes full and mild versions.
Like its ICE sibling, October marked the lowest monthly share for diesel-powered cars since December 2022, sitting just 1.4pp higher. Its 12.2% market hold was down 3.4pp year on year, too.
Last month was the fuel type’s seventh month of double-digit decline in 2025, with a 15.8% fall to 30,462 units. The result came after three consecutive months of single-digit drops.
From January to October, diesel’s drop was slightly better than petrol’s. The powertrain posted an 18.6% decline to 338,463 deliveries. This gave the diesel a 14.3% share, down from 17.7%.
Are hybrids losing out to EVs?Â
Amid strong EV growth and relentless ICE declines, hybrids have remained consistent. The technology capped 14 months of consecutive growth in October, thanks to a 7.6% rise in volumes to 70,652 units. This meant it took a leading 28.2% share of the market, 2.3pp ahead of petrol.
This may seem positive at first. However, October presented the lowest hybrid market share since May. It also denoted a 0.1pp drop compared to 12 months ago, its first year-on-year decline since December 2022.
So, even with petrol’s continued fall, which remains the second-most-popular powertrain, hybrids have not been able to increase their dominance. Despite lower volumes, the increasing share for BEVs and PHEVs has come at the expense of ICE models and hybrids.
Over the first 10 months of 2025, hybrids accounted for 28.6% of the market, up from 26%. It enjoyed a 10.3% increase in volumes to 673,922 units.
Adding hybrids to the EV total, the electrified market continued its perfect run of double-digit improvements so far this year. Its most recent 27.8% growth gave the powertrain group a 61.6% share, up 9.7pp from October 2024.
In the year-to-date, the electrified market recorded a 26.3% rise. This equated to a gain of 282,203 units, overcoming the losses incurred by ICE models by 14,340 registrations. It made up for 57.5% of overall volumes, up from 45.8%. Â
While it waits for a potential incentive boost, Italy’s electric vehicle (EV) market is struggling. Registrations are up, but volumes are low, and the situation is impacting the wider market. Autovista24 special content editor Phil Curry examines the latest data.
Italy’s new-car market remained stable in October, according to industry association ANFIA. Registrations were down by 0.5% in the month, with 125,961 passenger cars delivered. This equates to a drop of just 638 units compared to October 2024.
The deficit would have been larger if not for the performance of EVs. Made up of plug-in hybrids (PHEVs) and battery-electric vehicles (BEVs), these powertrains helped push Italy’s registration figures close to the black. Without them, the overall market would have suffered a 5.7% decline.
Reliance not an option
With volumes remaining low compared to other markets, Italy cannot rely on EV uptake to bring the new-car sector forward. Pending incentives may change the landscape, but could arrive too late to improve the yearly performance.
The country’s passenger car market has struggled this year. Just March, April and September have recorded growth so far across 2025. This has kept year-to-date figures down against 2024, with a devastating decline in June having a serious impact.
Since then, the market has been trying to rebalance its annual volumes. Despite the decline, October’s deliveries did help reduce the gap. Italy’s new-car sector was down 2.6% year on year between January and October. In total, 1,293,967 units made their way to customers. This was 0.3 percentage points (pp) better than September’s year-to-date decline of 2.9%.
The country continues to lag behind pre-COVID-19 pandemic levels. Spain’s October figures were above 2019 volumes, and the UK is expecting 2025 numbers to register an improvement. Italy remains far behind, however.
Last month’s totals were 20% down on October 2019, while in the first 10 months of this year, volumes are 20.4% lower, according to ANFIA.
Italy’s powertrain problem
Like other major European markets, Italy is seeing struggles with petrol and diesel registrations. However, the country has recorded a slower decline in diesel registrations. But as carmakers move away from the technology, and supply to the new-car market has dropped, so too has diesel.
Petrol registrations have also been in freefall this year, across all major European new-car markets, including Italy. But while internal-combustion engine (ICE) sales have dropped, Italy has been unable to replace them with EV volumes.
Both Spain and the UK, the two best-performing overall markets so far this year, have seen similar ICE struggles. However, their plug-in registration growth has exceeded ICE losses. Meanwhile, Germany has used hybrids to help offset the petrol and diesel decline.
While Italy’s EV numbers are up year on year, they are still low across the first 10 months of 2025. Often on par with Spain, this year Italy looks to be the worst-performing of the European big five.
Italy waits for incentives
Part of the problem comes down to incentives. While Spain’s MOVES III subsidy programme is still mostly active, Italy’s discounting plan has been surrounded by uncertainty.
Announced by the Ministry of Environment and Energy Security (MASE) in August, the application portal opened on 22 October. This was too late to affect the month’s numbers.
The scheme has seen €600 million set aside for new BEV purchases. Private individuals could receive up to €11,000 depending on income. A Euro 5 ICE model also needed to be scrapped. Small businesses could receive up to €20,000 per vehicle.
The long wait between the subsidy’s announcement and its implementation may have caused buyers to pause before purchasing. Additionally, applications must be made before the vehicle is bought. This means that, depending on delivery times, registration results may not be forthcoming.
But there appeared to be an appetite for the incentives. All of the scheme’s funds were accounted for roughly 24 hours after it went live, with 55,680,000 vouchers generated.
There have also been issues with the application platform itself. ‘Unfortunately, despite the time that had passed between the announcement and its actual usability, a robust platform was not implemented, which instead generated considerable confusion, especially among dealers,’ commented Roberto Vavassori, president of ANFIA.
‘Working with other automotive associations, we reported the situation to the Ministry, and after a temporary shutdown, the tool’s functionality was only reactivated at midday on 31 October.’
BEVs not proving popular
While BEV growth was impressive in Italy during October, the volume itself was not. Registrations of all-electric models were up 24.9% compared to the same month last year. However, this equated to just 6,280 units, a rise of 1,250 deliveries.
This meant BEVs took 5% of the total registrations tally in the month, up 1pp compared to October 2024. However, this is the lowest market share of all powertrains, including the ‘others’ category.
Between January and October, BEV registrations were up 26.5%. With a total of 67,335 units, this equated to a rise of 14,087 deliveries. The powertrain secured 5.2% of the market in the first 10 months of 2025, up 1.2pp, but remains the lowest of all powertrains.
The figures suggest a growing appetite for BEVs. However, the results of Italy’s incentive programme cannot come soon enough for the market.
Phenomenal PHEVs not enough
While BEV registrations are increasing, PHEVs continue to be the most popular EV powertrain. In October, deliveries were up 112.1% compared to the same month last year. In total, 9,086 units made it to Italian roads, up by 4,802 deliveries.
Yet despite this growth, the technology’s market share remains in single digits. Last month, this jumped by 3.8pp to 7.2%.
Over the first 10 months of 2025, PHEVs have impressed. Deliveries are up 76.5%, with 77,957 units finding their way to customers. Although this equated to a relatively small market share of 6%, it did signal a year-on-year increase of 2.7pp.
Combined, the EV market saw growth of 65% in October, thanks to the impressive PHEV performance. In total, 15,366 models were delivered, a difference of 6,052 units year on year.
This equated to just 12.2% of the monthly total, highlighting the struggle EVs are facing. While this marked a 4.8pp jump, it was the lowest plug-in share out of the big five European markets. Compared to Spain, the most similar in terms of volumes over recent years, Italy’s EV market was 10.2pp lower in the month.
Between January and October, 145,292 EVs were registered, a 49.1% increase. This gave the powertrain group an 11.2% hold of total volumes, up 3.9pp year on year.
ICE pulls Italy down
Petrol’s slide continued in October. In total, 28,998 units were registered in the month, a decline of 17.2%. The fuel type remains Italy’s second-most popular powertrain, with a 23% market share. This was down by 4.7pp compared to the same month last year, however.
Petrol has lost volume in every month of 2025 so far. This means its 325,627-unit total in the first 10 months was 16.9% down. It has managed to retain over a quarter of the market, however, with its 25.2% share down by 4.3pp.
Meanwhile, diesel suffered a dramatic 29.3% drop in October, although this still allowed for a five-figure result. In total, 11,745 units left forecourts, a decline of 4,857 units. Its 9.3% market share was enough to easily beat both EV powertrains, despite a 3.8pp fall year on year.
Between January and October, diesel saw a 31.4% decline in volumes to 127,401 units. While down 4.2pp, its 9.8% market share was still more than those of BEVs and PHEVs.
Combined, the ICE market dropped 21.1% in October, with 40,743 registrations. This was a deficit of 10,879 units, a figure that could not be overturned by the extra 6,052 EV deliveries. ICE models held 32.3% of the market, down by 8.5pp.
Over the first 10 months of 2025, ICE deliveries fell 21.6%, with 453,028 registrations. This was down by 124,485 units, while the technology’s market share fell 8.5pp, to 35%.
Italy’s hybrid help
While EV registrations were low and ICE deliveries dropped, hybrid volumes, including full and mild-hybrids, continued to lead.
In October, 57,629 hybrid models took to Italian roads, an increase of 6.4%. The technology was the most dominant in the country, with a 45.8% share of the market. This grew by 3pp compared to October 2024.
While this growth was lower than that of BEVs and PHEVs, it is compared to the high volumes achieved last year. Over the first 10 months of the year, hybrids recorded 575,460 deliveries, a rise of 8.9%. Its 44.5% market share increased by 4.7pp year on year.
Adding hybrids into the EV mix, registrations of electrified vehicles saw growth of 15% in October, with 72,995 deliveries. However, the 9,517-unit improvement was still not enough to overcome the 10,879-unit loss that the ICE market endured. The technology’s dominance continued to grow, however, with a 58% market share up 7.9pp.
Despite a 94,889-unit improvement and 15.2% year-on-year growth, electrified models have been unable to prevent Italy’s year-to-date slide. The powertrain group saw 720,752 units delivered in the period, equating to 55.7% of the market. This was a jump of 8.6pp compared to the same period in 2024.
On the gas
Adding to the pressure on EV performance, Italy’s ‘others’ category, made up of liquified petroleum gas (LPG), compressed natural gas (CNG) and hydrogen fuel-cell vehicles, outperformed both PHEVs and BEVs in October.
The category saw 12,223 registrations in the month, with a 6.3% year-on-year improvement. This gave the powertrain group a 9.7% share of the delivery total, up 0.6pp.
From January to October, the category delivered 120,187 new models to customers. This was a drop of 4.4%, after a rollercoaster year. But its 9.3% share, while down 0.2pp, is still more than that of the two plug-in powertrains.
How can Elon Musk ensure a record-breaking pay package? What are the results of a new consumer survey? Plus, get up to speed with the latest residual used-car value trends across Europe. Autovista24 editor Tom Geggus goes behind the week’s headlines in The Automotive Update podcast.
In this latest episode, an overview of the big numbers that shaped Elon Musk’s unprecedented trillion-dollar deal. Plus, analysis of Boston Consulting Group’s wide-ranging automotive consumer survey. There is also an exploration of some key technology developments, and a comprehensive overview of the latest trends in Europe’s major used-car markets.
Tesla’s CEO, Elon Musk, has gained shareholder approval for a pay package worth $1 trillion, around €863 billion. Over 75% of voters agreed that 400 million additional shares will go to Musk if he can meet certain targets, according to the BBC.
This includes delivering 20 million vehicles, as well as bringing one million self-driving Robotaxis into commercial operation. He must get 10 million subscriptions to Tesla’s ‘Full-Self Driving’ feature and have one million robots in operation.
Financially, the company will need to earn $400 billion in profit while its overall market value must reach $8.5 trillion. Achieving each of these goals will gain the CEO 1% of stock, according to Reuters. This means he will still profit, even if he misses the larger targets. However, Musk will not receive a salary under the deal.Â
Major global automotive survey
Boston Consulting Group has published the results of a survey conducted across 10 countries, reaching 9,000 consumers. What Car Buyers Want: A Global Guide for Automotive OEMs highlighted several major buyer trends.
Key findings included a growing openness towards Chinese cars. In Europe, Spain, Norway and Germany saw 19%, 18% and 16% of respondents open to Chinese models, respectively. Elsewhere, 36% of Brazilians were willing to consider buying one. It also found that younger buyers are embracing digital, with 44% of 18-to-30-year-olds open to buying a car entirely online.
Automotive technology developments
Carizon, a joint venture between Volkswagen (VW) Group’s Cariad and Horizon Robotics, will develop in-house chips. They will process camera and sensor data for advanced driver-assistance systems (ADAS) in VW’s next-generation cars destined for the Chinese market. The chips are expected to land within three to five years.
Polestar confirmed it will integrate Google Maps’ live lane guidance into its driver display. A rollout across Polestar 4 models in the US and Sweden is planned in the coming months.
Xpeng is teaming up with Amap, an arm of Alibaba, to launch a robotaxi service, Reuters reports. Additionally, the carmaker is expected to launch three models, with a trial operation in 2026. Also next year, Waymo is planning to launch in Detroit, Las Vegas and San Diego.Â
Europe’s newest car category?
The European Commission is expected to announce a new vehicle category between quadricycles and other cars this December, according to Reuters.
The new category would mean smaller electric vehicles no longer need as much safety equipment and technology as larger models. It is something European carmakers have been pushing for since Chinese brands started gaining ground in the region.
European used-car market unpicked
The Monthly Market Update revealed persistent trends across Europe’s used-car markets in October. Residual (RVs) values fell both month on month and year on year across many markets. These values were measured as a percentage of retained new-car list price (%RVs) after 36 months and 60,000km.
Values have deflated in recent years following the inflation recorded during the COVID-19 pandemic, when supply stalled and demand accelerated. Regional experts expect %RVs to continue declining over the next three years. However, this descent is predicted to slow in 2026 and 2027.
