Europe’s new-car market grew again in May 2026. According to ACEA data, registrations in the EU, EFTA countries, and the UK reached 1,152,523 vehicles, up 3.6% compared with May 2025.
Volkswagen Group stayed in first place, while Stellantis and Renault followed. Chinese brands also made strong gains, led by BYD, Chery, and Leapmotor.
Europe’s Car Market Returns to Growth
The European Union posted a 3.2% increase in May. EFTA markets grew by 1.4%, while the UK rose 3.6%.
Among Europe’s biggest markets, Italy had the best result with a 7.6% increase. France also grew by 3.7%, while Germany was almost flat at +0.1%. Spain was the only major market to fall, down 0.8%.
Hybrids Are Still the Top Choice
Hybrids remained the most popular powertrain in Europe. From January to May 2026, hybrid vehicles held a 37.8% market share with nearly 1.8 million registrations.
Battery-electric cars also grew strongly. BEVs reached a 20% market share with more than 950,000 registrations, up from 15.3% one year earlier.
Plug-in hybrids rose to 9.7% of the market. Italy played a major role in this growth, with PHEV registrations up 84.9%.
Gasoline and Diesel Keep Falling
Traditional engines continued to lose ground. Gasoline car registrations fell 18.2%, dropping to a 22.4% market share.
Diesel also declined by 16.6%, falling to just 7.6% of the market. Together, gasoline and diesel now represent 30.1% of new-car registrations in the EU, down from 38% a year earlier.
Top Automaker Groups in May 2026
Volkswagen Group led the market with 300,299 sales, despite a 3.0% decline. Stellantis ranked second with 164,958 sales, followed by Renault Group with 110,124 sales.
BMW Group was one of the strongest major European groups, growing 4.1% to 82,277 sales. Mercedes-Benz also posted a small increase of 0.6%.
May 2026 Group Sales in Europe
| Group | May 2026 Sales | Change |
|---|---|---|
| Volkswagen Group | 300,299 | -3.0% |
| Stellantis | 164,958 | -2.3% |
| Renault Group | 110,124 | -1.0% |
| Hyundai Group | 86,444 | -2.4% |
| BMW Group | 82,277 | +4.1% |
| Toyota Group | 78,168 | -0.6% |
| Mercedes-Benz | 56,185 | +0.6% |
| Geely Group | 38,146 | +12.6% |
| BYD | 32,380 | +136.6% |
| SAIC Motor | 30,527 | +13.9% |
| Tesla | 28,610 | +107.9% |
| Chery Group | 27,412 | +244.1% |
| Ford | 25,290 | -28.3% |
| Nissan | 17,730 | -16.0% |
| Leapmotor | 9,945 | +465.1% |
Chinese Brands Are Growing Quickly
Chinese carmakers were the biggest growth story in Europe. BYD sold 32,380 vehicles, up 136.6%. Chery Group, including Chery, Jaecoo, Jetour, and Omoda, grew 244.1% to 27,412 sales.
Leapmotor had the fastest growth rate, rising 465.1% to 9,945 sales. Geely and SAIC also increased their European registrations.
Tesla also had a very strong month, with sales up 107.9% to 28,610 vehicles.
Ford and Nissan Had a Difficult Month
Not every brand performed well. Ford fell 28.3% in May, with 25,290 sales. Nissan dropped 16.0%, while Mitsubishi declined 44.7%.
These results show how fast the European market is changing. Hybrids and electric cars are gaining share, while Chinese automakers are becoming much stronger competitors.