Vehicle sales exceeded all expectations in August 2023, although it is known to be less favorable to the market. The record-breaking rise of electric power is clearly visible.
In August, the European Union automobile market experienced spectacular growth, with a 21% increase in new vehicle registrations. This thirteenth consecutive month of growth marks a remarkable recovery, following the component shortages of last year.
But the highlight of the latest report from the Association of European Automobile Manufacturers (ACEA) is none other than the affirmed status of electric cars. For the first time, they exceeded the 20% market share mark in total vehicle sales. They thus dethrone diesel, becoming the third most popular choice among new car buyers.
The rise of electric cars
Last month, 787,626 new cars were registered in the European Union, an increase of 21% compared to the previous year. Some of the largest markets benefited from this increase, such as France (+24.3%), Italy (+11.9%), but also and especially Germany (+37.3%). Since the start of the year, new car registrations have increased by 17.9% overall, with 7.1 million models. This growth is very significant, but it is still lower than before COVID-19.
The big news of the month was the skyrocketing rise of battery electric cars, which captured exactly 21% of all sales, undoubtedly driven by the Tesla Model Y. Compared to August 2022, registrations have jumped by 118.1%, for a total of 165,165 vehicles. Growth is strongest in Germany (+170.7%).
Hybrid electric cars (larger battery charged by the engine, and not by a socket) remain the second choice of buyers, with growth of 29% in the EU (+38.7% in France) and a market share of 23.9%. Plug-in hybrids (an engine and a rechargeable battery) recorded slower growth (+5.5%), despite excellent performances in France (+40.5%), Sweden (+24.9%) or in the Netherlands (+44.7%). They are responsible for 7.4% of sales.
Gasoline models are not giving up, but diesel is faltering
If the electric market has a bright future ahead of it and the authorities are pushing to focus on more European models, we must not completely overlook gasoline cars. They remain the most popular choice, although their market share decreased from 38.7% to 32.7% in August.
Driven in particular by Italy (+25.3%) and France (+21.5%), the European market for gasoline cars increased by 2.1% last month. A slight increase, justified by the drop in registrations of vehicles of this type in most other EU markets.
On the other hand, the diesel car market continued to decline in August, a drop of around -6%. And while Germany recorded growth of 9.2%, diesel cars now only represent 12.5% of the new car market, compared to 16.1% in August of the previous year.
The EU car market is enjoying an impressive recovery, with double-digit growth and a rise in battery-electric cars. This trend towards electric mobility highlights the growing importance of the transition towards more environmentally friendly vehicles on the Old Continent.
Source : ACEA
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