European new passenger car registrations climbed 11.1% year-over-year in March, reaching 1.58 million units, according to data from the European Automobile Manufacturers’ Association (ACEA).
Electrified Vehicles Drive the Surge
Battery electric vehicles (BEVs) and plug-in hybrids propelled the overall increase, with BEV sales jumping 41.7% and plug-in hybrids rising 15.3%. In contrast, petrol vehicle registrations fell 10.2%.
Plug-in hybrids captured the largest market share at 38.6% in the first quarter across Europe, followed by petrol at 22.6% and BEVs at 19.4%.
Tesla and BYD Post Strong Gains
Tesla recorded an 84.3% surge in registrations, delivering 52,600 units. Chinese automaker BYD saw even sharper growth, with sales up 147.6% to 37,580 units, fueled by rising popularity of its plug-in hybrid models.
Shifting Market Dynamics
The data underscores a pivot among European consumers toward electrified powertrains amid a broader market slowdown. Tesla maintains a dominant position, but analysts note it requires fresh models to sustain momentum. BYD’s aggressive expansion with affordable Chinese brands positions it to challenge established market leaders and reshape Europe’s automotive landscape.
