Hybrids are consolidating as the best-selling models in Europe

New car registrations in the European Union fell by 0.7% in the cumulative period through July 2025 compared to the same period last year, according to the latest data compiled by the EU manufacturers' association, ACEA. However, July closed with a year-on-year increase of 7.4%, reflecting a slight recovery in demand despite the transition to electrification.

One of the most notable data points is the progress of electrified vehicles. Zero-emission vehicles reached a market share of 15.6% in the first seven months of the year, with 1,011,903 units registered, compared to 12.5% ​​in 2024.

Partly thanks to the comparison with a difficult 2024 for these models, Germany led the growth with a 38.4% increase in electric registrations. It was followed by Belgium (+17.6%) and the Netherlands (+6.5%). France, on the other hand, closed the period with a 4.3% drop, although it did achieve a temporary rebound of 14.8% in July.

Even so, conventional hybrids remain the preferred choice for European buyers. Between January and July, 2,255,080 units were registered, representing a 34.7% market share. France (+30.5%) and Spain (+30.2%) led the growth in this segment, while Germany (+10.7%) and Italy (+9.4%) also recorded significant increases.

Plug-in hybrids also performed very well, with 561,190 units registered and a market share of 8.6%, compared to 6.9% last year. Spain (+94.5%), Italy (+60.3%), and Germany (+59.2%) were the countries that contributed most to this increase, also experiencing five consecutive months of strong growth.

In contrast, traditional combustion engines continue to lose ground. Gasoline-powered cars fell 20.1% through July, with declines in all major markets. France was the hardest hit country, with a 33.6% drop, followed by Germany (-25.9%), Italy (-17.8%), and Spain (-12.6%). With 1,834,375 units registered, gasoline's market share fell to 28.3%, down from 35.1% last year.

Diesel, meanwhile, also continued to decline, falling 26.4% to a market share of just 9.5%. In July, year-on-year registrations fell 12% for gasoline and 15.2% for diesel, confirming the downward trend in fossil fuels.

Overall, the European market reflects a clear structural shift: electrified vehicles continue to gain ground, driven primarily by hybrids, while traditional gasoline and diesel engines are rapidly losing ground.

Although pure electric vehicles are growing rapidly, their 15.6% share is still considered insufficient within the framework of the energy transition objectives set by the Commission.