Sales of fully electric cars surpassed those of petrol vehicles in the European Union for the first time in December, marking a symbolic milestone for the continent’s automotive transition even as policymakers move to soften long-term emissions rules. Data released on Tuesday by the European Automobile Manufacturers’ Association (ACEA) showed that battery-electric vehicle registrations edged ahead of petrol models, reflecting shifting consumer demand and intensifying competition in the market.
The trend was not limited to the EU alone. Across the broader European market, which includes Britain and Norway, battery-electric cars also overtook petrol vehicles as total car sales recorded a sixth consecutive month of year-on-year growth. The figures underline the growing acceptance of electric mobility, even as the pace and profitability of the transition remain contested among manufacturers and governments.
The surge comes amid rising pressure from Chinese carmakers, including BYD, Changan and Geely, which have rapidly expanded their presence in Europe with competitively priced electric models. Their advance has forced established European brands such as Volkswagen and BMW to accelerate the rollout of new electric vehicles, intensifying a race for market share at a time when margins are under strain.
In December, the European Union unveiled plans to abandon what would have been an effective ban on new combustion-engine car sales by 2035. The move followed sustained lobbying from carmakers struggling with weak demand for electric vehicles, rising costs, competition from Chinese rivals and the impact of U.S. import tariffs. Despite this regulatory retreat, analysts and industry officials expect electric vehicles to continue gaining ground.
Chris Heron, secretary general of E-Mobility Europe, said European manufacturers are beginning to adapt by launching more affordable electric models, supported by fresh incentive schemes in individual countries. He said consumer acceptance is strengthening and expressed confidence that electric vehicle sales across Europe would continue to rise into 2026.
Sales data from December highlighted sharp contrasts among manufacturers. Registrations for Volkswagen and Stellantis rose by 10.2 per cent and 4.5 per cent respectively, while Renault saw a 2.2 per cent decline. Tesla registrations fell by more than 20 per cent during the month, even as China’s BYD recorded a surge of nearly 230 per cent, underscoring the shifting competitive landscape.
Overall car sales in the EU, Britain and the European Free Trade Association rose 7.6 per cent in December to 1.2 million vehicles, while full-year sales for 2025 increased 2.4 per cent to 13.3 million, the highest level in five years, though still well below pre-pandemic volumes. Within the EU alone, sales climbed 5.8 per cent in December and 1.8 per cent for the year.
Electrified vehicles dominated new registrations. Battery-electric, plug-in hybrid and hybrid electric cars saw December registrations rise by 51 per cent, 36.7 per cent and 5.8 per cent respectively, together accounting for 67 per cent of all new car registrations in the bloc. However, analysts caution that the decline in petrol sales partly reflects the reclassification of some vehicles as mild hybrids, which only marginally reduce emissions.
Independent automotive analyst Matthias Schmidt said that while the December figures represent an important psychological breakthrough, fully electric cars are still several years away from decisively overtaking combustion-engine models across Europe. Even so, he described the shift as a clear sign that the transition is under way, with momentum that is likely to persist despite political and economic headwinds.
