European new car sales increased in May as strong demand for electric and hybrid vehicles offset a sharp decline in petrol and diesel models.
Registrations across the European Union, European Free Trade Association countries and the United Kingdom rose by 3.6% year-on-year to 1.15 million vehicles, according to data published by the European Automobile Manufacturers’ Association.
Electric Vehicle Registrations Surge
Battery-electric vehicle registrations climbed by 39.1% in May to 268,487 units.
Demand for plug-in hybrid vehicles also remained strong, with registrations increasing by 13.2% compared with the same month last year.
The latest figures show that electrified vehicles continue to gain market share across Europe as consumers gradually move away from traditional combustion-engine cars.
Petrol and Diesel Car Sales Decline
While electric and hybrid vehicle demand strengthened, registrations of conventional cars fell sharply.
Petrol-powered vehicle registrations declined by 19.1% year-on-year. Diesel vehicle registrations recorded a similar drop of 19%.
The contrasting figures highlight the continuing transformation of Europe’s automotive market as electric vehicles become a larger part of total new car sales.
Tesla Registrations More Than Double
Tesla was among the fastest-growing major car brands in Europe during May.
The US electric vehicle manufacturer recorded 28,610 registrations across the EU, EFTA region and UK. This represented an increase of 107.9% compared with the same period a year earlier.
Tesla’s European market share rose to 2.5% from 1.2%.
During the first five months of 2026, the company registered 118,068 vehicles, marking a year-on-year increase of 57.2%.
BYD Expands Its European Market Share
Chinese electric vehicle manufacturers also continued to strengthen their presence in Europe.
BYD recorded 32,380 registrations in May, an increase of 136.6% from the previous year.
The company’s market share climbed to 2.8%, compared with 1.2% a year earlier.
Between January and May 2026, BYD registered 135,307 vehicles in Europe. This represented growth of 145.2% compared with the same five-month period in 2025.
Chery and Leapmotor Record Rapid Growth
Chery Automobile delivered the fastest growth among major car manufacturers covered by the industry data.
The Chinese automaker’s registrations surged by 244.1% year-on-year to 27,412 vehicles in May.
Leapmotor reported an even larger percentage increase, with European registrations climbing by 465.1% during the month.
The rapid expansion of Chinese manufacturers demonstrates the increasing competition facing established European and US car brands in the region’s fast-growing electric vehicle market.
