Europe’s June car sales jump 13% as EV demand surges

New car registrations across Europe rose 13.1% in June to 1.41 million vehicles, marking the strongest year-on-year gain since late 2023 as electrified powertrains continued to displace petrol and diesel models, according to data released Thursday by the European Automobile Manufacturers' Association (ACEA).Investing.com+1

The June figures pushed first-half registrations across the EU, EFTA nations, and the United Kingdom up 6.1% to 7.23 million vehicles, underscoring a recovery driven almost entirely by the shift toward electrification.Investing.com

Electric Vehicles Power the Market

Battery-electric vehicle registrations jumped 51% in June to 360,843 units, while plug-in hybrids rose 22.7% and conventional hybrids gained 17.1%. Together, electrified vehicles accounted for nearly 70% of all new registrations in the month, according to Reuters. Petrol registrations fell 12.2% and diesel dropped 16.9%.Global Banking & Finance Review+1

For the first half of 2026, BEVs reached a 20.7% market share in the EU, up from 15.6% a year earlier, while hybrids remained the bloc's most popular powertrain at 37.3%. The International Council on Clean Transportation noted that roughly 30% of cars sold in Germany and France in June were fully electric, with private buyers in Germany choosing BEVs for 41% of their new registrations.Investing.com+1

Germany's reinstated EV purchase subsidies, retroactive to January 2026 and offering grants of up to €6,000, have helped drive adoption in Europe's largest market. High fuel prices stemming from the Middle East crisis and the UK's zero-emission vehicle mandate have also supported demand, according to UBS.Forbes

Chinese Brands Accelerate

Chinese automakers continued their rapid expansion. BYD nearly tripled its June registrations from a year earlier, while Chery's sales rose 271% and Leapmotor sold roughly six times its year-ago volume. SAIC and Geely gained more than 50% and 11%, respectively.Global Banking & Finance Review+1

Tesla ↘ 1.30% also posted strong growth, with June registrations climbing 72.1%. Among traditional European manufacturers, Renault, Stellantis ↗ 0.35%, and Volkswagen recorded more modest gains of between 3.6% and 7.3%.Investing.com+1

Investment bank UBS and analyst firm GlobalData have cautioned that while first-half momentum has been strong, growth may decelerate in the second half of the year amid persistent geopolitical headwinds.Forbes