Electric vehicle registrations in Europe continue to slow as the sector's market share fell further in July, according to the latest industry data.
Following a slowdown in BEVs recorded in the first half of 2024, data compiled by Jato Dynamics shows that BEV registrations fell 6% year-on-year across 28 European countries, despite an overall increase in registrations. The company's research showed that 139,300 new BEVs were registered in July, with their market share falling from 14.6% in July 2023 to 13.5% last month.
BMW topped the BEV brand rankings last month with 14,869 units sold, up 35% year-on-year. In comparison, Tesla sold 14,561 units in the same economy, down 16% year-on-year. While the Model Y remains the best-selling BEV model in Europe with 9,544 units sold, BMW's iX1, i4 and i5 all posted strong sales in July, with the new iX2 selling over 1,300 units. BMW's electric model sales are clearly outperforming their Mercedes and Audi peers.
Overall, European car demand grew 2% last month compared with July 2023. A total of 1.03 million vehicles were registered in the region, bringing year-to-date registrations to around 7.9 million, according to Jato data.
Growth was particularly notable in Portugal (+27%), Poland (+19%) and Slovakia (+12%). Small increases were also recorded in the UK (+3%), Italy (+5%) and Spain (+5%). In contrast, vehicle registrations fell in Germany (-2%), France (-2%), Belgium (-7%), the Netherlands (-4%) and Ireland (-5%).
SUVs also continued their decade-long surge, accounting for 54% of all registrations in July, a new record for the segment. 554,000 new SUVs were registered last month, up 6% on July 2023. As a result, SUV sales so far this year have reached 4.2 million, up 5%.
The Volkswagen Group took the lead in this segment, leading the market with 26% of SUV registrations, followed by Hyundai-Kia with 12% and Stellantis with 11.5%. Compact SUVs saw the strongest demand, with registrations increasing by 3% to 210,600 units. Growth in this segment was also driven by B-segment SUVs, whose registrations increased by 14% to 204,300 units. Full-size SUVs and luxury SUVs increased by 23% and 32% respectively to 27,600 and 5,022 units, respectively. Meanwhile, mid-size SUVs fell by 7% to 106,500 registrations.
Felipe Munoz, global analyst at Jato Dynamics, said: “Uncertainty about EV incentives and the future remains a barrier for consumers considering an EV purchase. These factors, along with low EV residual values, led to a decline in sales in July.”
On SUVs, he adds: “European consumers have more choice than ever before, and SUVs are becoming a more comfortable and attractive option for many. This, plus the rise in affordable models, is encouraging consumers to switch from traditional segments to SUVs.”
