Europe’s passenger car market witnessed another month of growth in August 2025, with new registrations rising by 5% year-on-year to 790,177 units across the Europe-28 region, according to JATO Dynamics. The upswing was driven by strong performances in Germany (+5%), Poland (+15%), Spain (+18%), and Austria (+25%).
A key driver of growth was the continued momentum of electrified vehicles. Battery electric vehicle (BEV) registrations climbed 27% compared to August 2024, pushing the segment’s market share to a record 20.2%. So far this year, 1.54 million BEVs have been registered in Europe. Plug-in hybrid vehicles (PHEVs) outpaced even that growth, with sales surging 59% to 83,900 units and capturing a 10.6% market share.
“Demand for BEVs remains robust, though the growth rate should be viewed in context given the level of promotion across Europe,” said Felipe Munoz, Global Analyst at JATO Dynamics. “Italy’s quieter August also played a role in inflating market share figures.”
Chinese brands continued their aggressive expansion in Europe. More than 43,500 units were registered by Chinese automakers last month—a 121% year-on-year increase. Combined, they outsold both Audi (41,300 units) and Renault (37,800 units). MG led the pack, recording higher registrations than Tesla and Fiat, while BYD overtook Suzuki and Jeep. Jaecoo and Omoda also outperformed legacy brands such as Alfa Romeo and Mitsubishi.
BYD’s push into PHEVs was particularly notable, with 11,064 units registered in August compared to just 779 a year earlier. Three Chinese models—BYD Seal U, Jaecoo J7, and MG HS—featured in the top 10 PHEV rankings.
Volkswagen maintained its dominance with the T-Roc, which topped the overall model ranking with nearly 14,700 registrations—up 14% year-on-year. Its sibling, the Tiguan, placed fourth (+23%), while the Hyundai Tucson secured sixth (+28%). Despite a 38% year-on-year decline, the Tesla Model Y remained Europe’s best-selling electric vehicle between January and August 2025.
The latest data underscores how rapidly Chinese automakers are reshaping Europe’s competitive landscape while electrified vehicles—both BEVs and PHEVs—continue to gain ground in the mainstream market.
