Electric vehicle demand continued to boost the European automobile market in May, with Chinese brands further gaining market share.

Glonghui June 23 — According to data released on Tuesday by the European Automobile Manufacturers’ Association (ACEA), growth in the European auto market in May continued to be supported by demand for electrified vehicles, offsetting a sharp decline in petrol and diesel car sales and enabling Chinese brands to further expand their market share. Car registrations, which serve as a proxy for sales, recorded a 3.6% increase in new vehicle registrations across the EU, the UK, and the European Free Trade Association in May, reaching 1,152,523 units. In the first five months of this year, registrations grew 4.5% compared to the same period in 2025. Electrified vehicles dominated market momentum. Registrations of battery electric vehicles (BEV), plug-in hybrid electric vehicles (PHEV), and hybrid vehicles rose by 39.1%, 13.2%, and 8.2%, respectively, together accounting for more than two-thirds of all new car registrations in May. The association stated in a press release: “In major European markets, consumer demand for various electrified technologies remains robust and continues to benefit the market, while newly introduced and revised tax incentives and stimulus measures have supported this trend.” By contrast, demand for traditional internal combustion engine vehicles has clearly softened, with petrol and diesel car sales both declining by around 19%. During the transition in the automotive industry, traditional European carmakers have lost some market share. Registrations for Renault, Stellantis, and Volkswagen fell by between 1% and 3%, reflecting intensifying market competition. In contrast, Chinese automakers posted significant growth. Leapmotor’s sales in May soared 465.1%, while Chery and BYD increased by 244.1% and 136.6%, respectively. Among other automakers, Geely and SAIC rose by 12.6% and 13.9%. Tesla extended its rebound for the fourth consecutive month, with registrations growing 107.9% to 28,610 units, marking a robust recovery after more than a year of decline.