European market: Passenger vehicle sales exceed 15 million units, diesel vehicles drop below 50%
Sales ratio of electrified vehicles are under 5%, European automakers to strengthen EVs and PHVs
2017/09/15
- Summary
- 2016 passenger vehicle market size exceeds 15 million vehicles. 14 million vehicles in Western Europe, 11 million vehicles in the five major countries
- Sales ratio of diesel engine vehicles drops below 50%, moves to prohibit sales and implement entry regulations
- Sales ratio of EVs at 5% or below, EV/PHV sales increasing
- Germany: Sales ratio for diesel engine vehicles drops to 45.8%, rises for EVs and PHVs
- U.K.: Economic slowdown results in sluggish new vehicle sales, zero emissions vehicles given priority
- France: Sales ratio of diesel engine vehicles at 52.1%, promotion of EVs for carbon neutrality
- Italy: New vehicle sales increase for fourth consecutive year, HEVs see major growth
- Spain: New vehicle sales increase for the fifth consecutive year, hybrids see major growth
- Sales Forecast by LMC Automotive: Western European market to keep over 16 million units until 2020
Summary
According to the European Automobile Manufacturers' Association (ACEA), passenger vehicle sales in 2016 for 29 European countries (EU+EFTA) saw a year-over-year (y/y) increase of 6.6% to 15.116 million vehicles. Vehicle sales in eighteen Western European nations (EU15+EFTA), which account for over 90% of total vehicle sales, increased by 5.9% to 13.969 million vehicles. Vehicle sales in the five major markets of Germany, the U.K., France, Italy, and Spain, accounted for 73% of all European vehicle sales, and the total vehicle sales in the five countries saw a 6.5% increase to 11.031 million vehicles.
In July 2017, the U.K. and France announced policies that would prohibit the sale of diesel and gasoline engine vehicles from 2040. Starting with VW's emissions fraud in 2015, suspicion regarding the emissions performance of diesel engine vehicles has been increasing, and major cities have gone as far as restricting the entry of diesel engine vehicles. The sales ratio of diesel engine vehicles in the Western European market has been on a downward trend in recent years, dropping from 51.6% in 2015 to 49.5% in 2016.
Although sales of electric vehicles (EVs) are rapidly growing in Europe, they comprise less than 5% of the entire market. In 2016, battery electric vehicle (BEV) sales in the Western European market saw y/y growth of 2.9% to 90,047 units, plug-in hybrid vehicles (PHEVs) grew by 16.9% to 112,419 vehicles, and hybrid electric vehicles (HEVs) rose by 26.6% to 287,052 vehicles. From the five major European nations, the number of EVs is growing in Germany, the U.K., and France, whereas HEV sales are rapidly increasing in Italy and Spain, but the two countries have yet to see the introduction of BEVs and PHEVs.
European automakers are now required to change their business strategies despite selling many diesel vehicles, and they have announced plans to release EVs. At motor shows in recent years, many OEMs have successively unveiled BEV and PHEV concept cars and production models.
Source: Created based on ACEA documents |
Related Reports:
VW Group: implementing new "Together - Strategy 2025" plan (Sep. 2017)
European automaker technology trends: Electric Vehicles (Dec. 2016)
BMW Group: Accelerating electric mobility and automated driving ventures (Jul. 2016)
The VW Group and Issues with Diesel Emissions: Financial results for 2015 and the status of recalls (Jul. 2016)
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Volkswagen Group Diesel Emissions Crisis (Oct. 2015)
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