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EU Car Sales Slip to Start 2026 as EV Share Climbs

Electrified powertrains gained share despite a weak start for overall registrations.

Overview

  • ACEA reports EU new-car registrations fell 3.9% in January to 799,625 units, marking a soft opening to 2026.
  • Battery-electric registrations rose 24.3% to 154,230 for a 19.3% share, hybrids led with 38.6% (308,364), plug-in hybrids grew 28.7% to 78,741, and petrol and diesel declined sharply.
  • Germany remained the largest BEV market with 42,692 registrations as country trends diverged, with France up strongly and Belgium and the Netherlands down.
  • Tesla’s EU registrations edged down 1.6% to 7,187, some Chinese brands expanded in parts of Europe, and KBA data show Nio logged just one new BEV in Germany despite robust global deliveries and parent funding.
  • Analysts cite subsidy design, infrastructure and trade-policy uncertainty as key variables; Germany launched revised purchase incentives on January 1, and 2025 FCEV sales reached 16,011 globally, concentrated in China and South Korea.