European Car Market Trends – May 2025
The European car market saw significant developments in May 2025, particularly in the realm of electric vehicles (EVs) and carbon dioxide (CO2) emissions. Here are the key findings:
Electric Vehicle Adoption
- Battery electric vehicles (BEVs) accounted for 16% of new registrations in May 2025, down 1 percentage point from April.
- The Hyundai pool saw a notable increase in BEV share, rising 7 percentage points above its 2024 average to 18%.
- The BMW pool maintained the highest BEV share at 23%, followed by Mercedes-Volvo-Polestar at 22%.
- Plug-in hybrid electric vehicles (PHEVs) held steady at 9% of new registrations.
CO2 Emissions
- Average CO2 emissions among manufacturer pools were 102 g CO2/km in May 2025.
- Manufacturing pools remain 9 g CO2/km away from the 2025-2027 target of 93 g CO2/km.
- The Tesla-Stellantis-Toyota and Volkswagen pools, with a combined 59% market share, reduced their target gap by 1 g CO2/km.
- Volvo and Cupra showed significant over-compliance, with CO2 emissions 28 g and 16 g below their targets, respectively.
Market Performance by Country
- Total passenger car registrations fell 12% in France and Belgium compared to May 2024.
- Spain saw a 19% increase in new registrations.
- Combined BEV and PHEV market shares reached 25% year-to-date in 2025.
- Norway led with a 96% combined share, followed by Denmark (66%) and Sweden (60%).
Global EV Trends
- Southeast Asia, particularly Thailand and Vietnam, showed strong growth in BEV sales.
- Vietnam’s BEV share rose to 36% of new car registrations in Q1 2025.
- Latin America, with countries like Colombia and Mexico, also experienced notable growth in EV adoption.
- Türkiye saw BEVs account for 13% of new registrations in Q1 2025.
The European car market continues to evolve, with varying trends across different regions and vehicle types. The data suggests a complex landscape for electric vehicle adoption and CO2 emissions reduction efforts.
