New-car registrations across the European car market rose 4.9% in October 2025, according to data from the European Automobile Manufacturers’ Association (ACEA). In total, 1.092 million vehicles were registered in the EU, the UK, and the European Free Trade Association in that month. While the result marks a welcome uptick, ACEA cautioned that overall volumes remain far below pre-pandemic levels.
Electrified Vehicles Take the Lead
A strong uptick in electrified models drove the rise in car sales. In October, battery-electric (BEV) registrations surged by 38.6%, plug-in hybrids (PHEVs) jumped by 43.2%, and hybrids climbed by 9.4%, with the three categories together making up roughly 63.9% of all registrations, up from 55.4% a year earlier.
The data shows the European car market is increasingly shifting toward alternatives to traditional petrol and diesel. However, ACEA noted that the battery-electric car market share reached 16.4% year to date, yet it is still below the pace needed at this stage of the transition.
Automaker Performance Highlights
Several major automakers posted gains in this rebound. Renault saw its registrations rise by 10.6%, Volkswagen by 6.5%, and Stellantis by 4.6% in October. By contrast, Tesla saw a steep 48.5% drop in sales. Chinese-based makers posted substantial advances: BYD surged by 206.8%, and SAIC Motor climbed 35.9%.
Outlook: Momentum With Caution
The rebound in the European car market is clearly promising, and the increasing share of electrified vehicles suggests real momentum. Nevertheless, the industry still faces hurdles. Supply-chain disruptions, lingering trade pressures, and the fact that volumes remain under their pre-pandemic peaks mean the road ahead is not entirely smooth.
Indeed, ACEA’s observation that volumes are far below pre-pandemic levels underlines the fragility of the recovery. Moreover, the fact that BEVs account for only 16.4% year to date means the shift toward full electrification is progressing, but not yet at the speed the industry aims for.
For consumers and industry watchers alike, the European car market’s 4.9% growth in October signals hope and a vital pivot toward electrified mobility, but one where the pace of change still falls short of long-term ambitions.
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