November Car Sales in Europe Decline, Weak Demand for Electric Vehicles

According to industry data released on Thursday, new car sales in Europe fell in November, particularly showing a slowdown in electric vehicle (EV) sales. This decline followed a slight increase in October and was attributed to significant drops in France and Italy, along with stagnation in Germany.

The European Automobile Manufacturers Association (ACEA) reported that the slowdown in EV sales was partially offset by an increase in registrations of hybrid-electric vehicles. For the third consecutive month, these registrations surpassed those of gasoline vehicles.

European car manufacturers are facing challenges such as low demand, high production costs, and the transition to EVs, while also dealing with intense competition from China.

In November, new vehicle registrations in the European Union, the United Kingdom, and the European Free Trade Association (EFTA) countries decreased by 2% year-on-year, totaling 1.06 million.

By brand, Volkswagen AG saw a 2.8% increase in registrations in the UK and EFTA, while Renault experienced a 9.2% rise. However, Stellantis recorded a decrease of 10.8%.

Battery electric vehicle (BEV) sales in the EU dropped by 9.5% in November, with significant declines in France and Germany. Meanwhile, hybrid electric vehicle (HEV) sales rose by 18.5%, marking growth for the third consecutive month.

Starting in November, Tesla and SAIC Motor, which are subject to new EU tariffs on Chinese-made cars, experienced declines in sales of 40.9% and 7.8%, respectively.

In November, electrified vehicles, including BEVs, HEVs, and plug-in hybrids (PHEVs), accounted for 55.8% of passenger car registrations in the bloc, up from 51.8% the previous year.