Fully electric vehicle sales in EU overtake petrol for first time in December
Tesla lost further market share to rivals like China’s BYD and Europe’s Volkswagen as EV adoption accelerated across Europe amid policy uncertainty and intensifying competition.
Fully electric car sales in December overtook petrol for the first time in the European Union, even as policymakers proposed to loosen emissions regulations, data showed.
US battery-electric brand Tesla continued to lose market share to competitors, including to China's BYD and Europe's best-selling group Volkswagen, data from the European auto lobby ACEA showed on Tuesday.
Car sales throughout Europe sustained a sixth straight month of year-on-year growth, with overall registrations, a proxy for sales, hitting their highest volumes in five years in Europe in 2025, though they remained well below pre-pandemic levels.
Europe's car industry faces challenges, including competition from China, US import tariffs and difficulties in profitably meeting domestic regulations for EV adoption.
The EU unveiled in December a plan to abandon an effective 2035 ban on combustion engine cars, bowing to calls from struggling carmakers. Electric transport groups argue that a swift EV transition is necessary to curb CO2 emissions.
Analysts expect EVs to gain popularity despite the policy relaxation.
By the numbers
Sales in the EU, Britain and the European Free Trade Association rose by 7.6 percent to 1.2 million cars in December, and by 2.4 percent to 13.3 million overall in 2025, ACEA data showed.
Registrations at Volkswagen and Stellantis rose 10.2 percent and 4.5 percent, respectively, that month, while they fell 2.2 percent at Renault.
Registrations at Tesla fell 20.2 percent, but rose 229.7 percent at BYD.
Total EU car sales rose 5.8 percent to almost one million vehicles in December, and by 1.8 percent to 10.8 million in the year.
December registrations of battery electric, plug-in hybrid and hybrid electric cars were up 51 percent, 36.7 percent and 5.8 percent, respectively, to account collectively for 67 percent of the bloc's registrations, up from 57.8 percent in December 2024.