In brief

• European car market registrations rose by 10 percent in September.
• Battery electric vehicles are the main driver of growth, with registrations up 70.3 percent in key European markets.
• Chinese carmakers are gaining market share, reaching 14.5 percent of registrations in September.
• Sales growth is driven, among other things, by high fuel prices and the development of electric technologies.

Vehicle sales dynamics in Europe

In September, over 1.36 million new passenger cars were registered on the continent, an increase of 10 percent compared to the previous year (Sprzedaż aut w Europie rośnie 10 proc. Chińskie marki zdobywają rekordowy udział w rynku – forexclub.pl). units (Te samochody zdobywają europejski rynek. Sprzedaż wzrosła o ponad 70 proc. – moto.pl). Sales in this part of the continent have risen for the eighth month in a row. The pace of growth accelerated, as in August the EU recorded an increase of 4.5 percent.

Electrification as the main driver of growth

The largest increase in registrations is seen in fully electric vehicles. In seventeen key European markets, 300.2 thousand such cars were registered in September, an increase of 70.3 percent year on year. The share of these vehicles in the market exceeded 32 percent. High fuel costs contribute to this trend: since the beginning of the year, the price of petrol in the EU has risen by more than 25 percent, and diesel has become almost 39 percent more expensive (Elektryki biją rekordy sprzedaży. Europa ma receptę na ceny paliw - Motoryzacja w INTERIA.PL – motoryzacja.interia.pl). The market is also supported by government subsidies in Germany and France and the emergence of cheaper electric models (Sprzedaż aut wrosła w Europie ósmy miesiąc z rzędu. Drogie paliwa zachęcają do kupna „elektryków” i hybryd – pb.pl). In Germany, every third new car is already electric (Niemcy i Chiny napędzają rekordową sprzedaż e-aut. Co trzeci nowy samochód w Niemczech jest elektryczny – Deutsche Welle).

Chinese expansion in the European market

Chinese car manufacturers are increasing their presence in the European market. In the third quarter, registrations of Chinese brands accounted for 12.7 percent of the market, meaning they outsold Japanese brands, whose share was 11.9 percent (Chińskie auta przed japońskimi. Pierwsza taka sytuacja w historii – WNP.pl) (Chinese carmakers outsell Japanese rivals in Europe for the first time - Los Angeles Times – latimes.com). In September, the share of Chinese brands reached a record 14.5 percent. Five years earlier, the share of Chinese brands did not exceed 1 percent. The expansion of Chinese manufacturers is supported by competitive prices and the rapid introduction of new models (Chińczycy przebili Japończyków. Auta z Państwa Środka pierwszy raz pokonały konkurentów na europejskim rynku – Puls Biznesu).

Summary of key September data

| Indicator | Value | | :--- | :--- | | New car registrations in Europe | 1.36 mln, +10 proc. y/y | | Registrations in the EU | 971 thousand, +9.3 proc. | | Fully electric cars (17 countries) | 300.2 thousand, +70.3 proc. | | Share of electric cars in the market | over 32 proc. |