Hybrid Cars Take the Lead in Europe as Petrol Loses Ground
Hybrid-electric cars have officially taken the top spot in Europe, beating petrol-powered vehicles for the first time, according to new data released on Tuesday.
In 2025, about 1.88 million new cars were registered across the European Union, a 1.8% increase compared to the previous year, figures from the European Automobile Manufacturers’ Association (ACEA) show. Still, the group noted that overall car sales are well below pre-pandemic levels.
Even with only modest growth, one clear trend stood out: buyers are moving away from petrol and diesel cars and choosing hybrids and electric vehicles instead.
Sales of hybrid-electric cars jumped 13.5%, making up 34.5% of all new car sales in the EU. That pushed hybrids ahead of petrol cars, which dropped to 26.6% of the market.
Fully electric vehicle sales surged 30%, reaching 17.4% of total sales. ACEA said this growth came after a weak 2024 and warned that EV adoption still needs to speed up if Europe wants to meet its climate goals.
Plug-in hybrids also gained ground, while petrol and diesel sales continued to fall. Together, petrol and diesel cars accounted for just 35.5% of sales, down sharply from 45.2% in 2024.
Among carmakers, Volkswagen Group strengthened its lead in Europe, with sales up 5.5%. Renault posted similar growth, while Stellantis — owner of brands like Peugeot and Fiat — saw sales fall 4.7%.
Chinese automakers made strong gains. BYD tripled its EU sales, though from a small base, and SAIC Motor, which owns the MG brand, increased sales by about a third.
Meanwhile, Tesla sales plunged nearly 38% in Europe. The drop comes as the brand faces reputational damage linked to CEO Elon Musk’s political positions, including his past support for U.S. President Donald Trump and public backing of Germany’s far-right AfD party.
Overall, the numbers show a clear shift in Europe’s car market — hybrids are now the preferred choice, and traditional fuel-powered cars are steadily losing ground.
