European New Passenger Car Registrations and the Rising Role of Chinese EVs
TapTechNews July 3rd news, according to the statistical data of JATODynamics in 28 European markets, the total new passenger car registrations in Europe in May this year was 1,087,699 units, a year-on-year decrease of 2.5%, but still higher than 943,405 units in May 2022 and 1,082,934 units in May 2021.
JATODynamics global analyst Felipe Munoz said: Since the global pandemic outbreak, the European automotive market has only recovered to 75% to 80% of its original size. This has led to many factories in Europe not being able to operate at full capacity, providing a unique opportunity for Chinese automakers to sell cars in Europe and avoid tariffs.
TapTechNews noted that part of the reason for the decline in sales is the 10% decrease in the registrations of Battery Electric Vehicles (BEV) and Plug-in Hybrid Electric Vehicles (PHEV), and the registrations of such vehicles decreased from 250,530 units in May 2023 to 226,665 units in May 2024. Among them, the year-on-year decrease in pure electric vehicles was the largest at 11%, and the registrations dropped to 151,237 units, and the decrease in plug-in hybrid electric vehicles was 7%.
Munoz added: This negative result stems from the high prices of pure electric vehicles and plug-in hybrid electric vehicles, which are still unaffordable for most consumers.
Despite this, some pure electric vehicle models still performed strongly last month. BMW continues to gain market favor with its iX1, the new i5 and iX2. The sales of BMW's pure electric vehicles are about 1.6 times the sales of all electric vehicles of Audi or Mercedes. Volvo ranks third in the sales rankings in both May and so far this year with the EX30.
In May, the registration volume of pure electric vehicles made in China in the European market increased by 25% year-on-year to nearly 28,000 units. Munoz said: The Volvo EX30 is just one example of the excellent performance of cars made in China in the European market.
In contrast, the registration volume of electric vehicles made outside Europe decreased by 16% year-on-year. Munoz pointed out: In May, the market share of pure electric vehicles made in China jumped from 13.2% last year to 18.5%. It is worth noting that two Chinese models are among the top five best-selling pure electric vehicles in Europe in May. The increase in registrations may be related to the impending tariffs of the European Commission.
Volvo, BYD and Smart's registrations of pure electric vehicles increased the most significantly, while MG, BMW, Dacia and Polestar's sales decreased. MG's fuel vehicle sales performed better than its pure electric vehicles, with a 47% increase in May and a 61% increase so far this year. Munoz added: MG is turning its attention to non-electric vehicles to maintain its market share in Europe. This may be a response to the investigation of the European Commission and the impending tariffs.