Europe’s new car market posted a modest 2.5% year-on-year increase in May 2025, registering 1,107,517 new vehicles across 28 European markets, according to data from JATO Dynamics. The year-to-date total now stands at 5,535,831 units, marking a slight 0.7% rise compared to the same period last year.
Chinese Brands Steer Market Momentum
While established European giants like Volkswagen Group (+3.3%), Renault Group (+4.6%), and BMW Group (+6.3%) showed steady growth, it was Chinese automakers that truly stole the spotlight. Chinese brands saw volumes skyrocket by 111% year-on-year, registering 65,808 units and accounting for 5.9% of total sales—up from 2.9% in May 2024.
“Despite the EU’s imposition of tariffs on Chinese electric vehicles, their car brands continue to post strong growth across Europe,” said Felipe Munoz, Global Analyst at JATO Dynamics. “Their momentum is partly due to their focus on alternative powertrains, such as plug-in hybrids and full hybrids.”
MG and BYD Make Big Moves
MG remained the leading Chinese brand, registering 29,400 units in May—up 30% year-on-year—surpassing Fiat in year-to-date sales. Meanwhile, BYD experienced a massive 397% surge in May sales and nearly outpaced Tesla, falling just 40 units short after having outsold it in April.
Other notable performers included Jaecoo, which outsold Honda with 7,449 registrations, and Omoda, which outpaced Mitsubishi with 4,213 units. Leapmotor recorded 1,723 units, outperforming Lancia but trailing sister Stellantis brands like DS. The Spanish-Chinese venture Ebro also outperformed legacy brand Lancia.
Struggles for Some European Icons
Not all brands shared the success. Maserati saw a 40% drop in registrations, while Lotus and Abarth declined by 48% and 78%, respectively. INEOS continued to gain traction, even surpassing Jaguar, which registered only 86 units in May.
Renault Clio Tops Model Rankings
The Renault Clio reclaimed the top spot among Europe’s best-selling models, posting a 12% rise in registrations. The Dacia Sandero, despite a 10% decline, held on to second place and continues to lead the year-to-date tally.
Other models performing well in May included the Volkswagen Tiguan and Dacia Duster. In contrast, the Volkswagen Golf and T-Roc saw declines of 18% and 10%, respectively.
Among new market entrants, the Skoda Elroq led with 9,200 units, followed by the Jaecoo 7 (7,449), BYD Seal U (7,100), and Renault Symbioz (6,743). Cupra Terramar, Audi Q6, and Volkswagen Tayron also made notable appearances on the list.
Rising Stars and Shifting Power
With MG, BYD, Jaecoo, and others challenging legacy players, May 2025 has made it clear that the European auto market is entering a new era. While traditional OEMs still hold sway, the rapid rise of Chinese brands—especially in the EV and hybrid segments—signals a significant shift in consumer preferences and competitive dynamics across the continent.
