2026 (July) Europe: Car Sales and Market Analysis

Europe · September 7, 2026 · Henk Bekker

July (2026): New passenger vehicle registrations in Europe (EU, EFTA, UK) increased by 4%, with all-electric car sales up by 51% to take a 25% market share.

VW ID Cross should benefit from the increase in electric car sales in Europe which reached 25% sales market share in July 2026
VW ID Cross © Volkswagen AG

In July 2026, new car sales in Europe increased by 4% to 1,123,842 vehicles. Most of the growth came from a 51% increase in battery-electric vehicles, which accounted for 24.9% of the total European new car market in July 2026. Volkswagen remained Europe’s largest carmaker but struggled, with sales down 4%. The Dacia Sandero was the top-selling car model in Europe in July 2026, while the Skoda Elroq was the best-selling all-electric car model.

Latest European Car Market Statistics: 2026: January, February (electric), Q1 (electric), April, May; 2025 (Full Year): Market Overview, Sales by Country, Electric, Brands, Models.

European New Car Market in 2026 (July)

New passenger vehicle registrations in Europe (EU, EFTA, UK) increased by 4% to 1,123,842 cars compared to 1,080,532 in July 2025 and 1,024,806 in July 2024.

Germany remained the largest single-country market in Europe with 268,000 registrations, while Great Britain and Poland were among the strongest performers, both growing by 12%.

Car sales by power source in Europe in July 2026, according to JATO, were:

Power Source July 2025July 2026Change
Total1,080,5321,123,8424.0%
BEV185,380279,81951%
BEV share17.2%24.9%7.7p
ICE387,905302,127-22%
ICE share35.9%26.9%-9.0p
MHEV245,096252,2843%
MHEV share22.7%22.4%-0.2p
HEV135,725145,3177%
HEV share12.6%12.9%0.4p
PHEV111,176128,84416%
PHEV share10.3%11.5%1.2p

The increase in car sales in Europe in July 2026 was mostly due to stronger sales of electrified powertrains. BEV registrations increased by 51% to 279,800 units, increasing market share from 17.2% to 24.9%. Fully electric cars accounted for almost one in every four new cars registered in Europe in July 2026.

Registrations of conventional combustion vehicles in Europe fell by 22% to 302,100 units. Their share of the European market declined from 35.9% in July 2025 to 26.9% in July 2026.

Best-Selling Carmakers and Car Brands in Europe in 2026 (July)

graphic of the top ten best-selling car brand in Europe in July 2026 with source of power %
© Jato

The top-selling car brands in Europe in July 2026, according to JATO, were:

RankMakeUnitsvs Jul-25ICEBEVMHEVHEVPHEVOther
1Volkswagen118,695-4%42%21%25%0%11%1%
2Skoda74,826-3%58%24%10%0%6%2%
3Toyota73,5974%3%12%0%78%7%0%
4BMW67,7340%14%33%38%0%14%1%
5Mercedes62,9565%16%27%41%0%15%1%
6Renault54,81911%23%40%4%30%1%1%
7Audi50,678-4%23%22%30%0%24%1%
8Peugeot49,3522%25%19%51%0%3%2%
9Kia47,6674%31%37%8%19%3%2%
10Dacia46,315-13%62%5%15%17%0%1%

Volkswagen remained by far the largest car brand in Europe despite a 4% contraction in sales. Skoda retained second position with 74,800 registrations, down 3%, while Toyota registrations increased by 4% to 73,600 units.

Renault increased sales by 11% to 54,800 units. In contrast, Dacia sales contracted by 13%, underlining the growing advantage of brands with competitive electrified portfolios.

Top-Selling Electric Car Models in Europe in July 2026

The ten best-selling electric car models in Europe in July 2026, according to JATO, were:

Brand and ModelUnitsvs Jul-25
Skoda Elroq9,94014%
Volkswagen ID.48,60935%
Renault 58,49850%
BMW iX17,49516%
BMW iX36,916+
Skoda Enyaq6,90715%
Mercedes CLA6,650+
Volkswagen ID.76,28213%
Kia EV35,500-4%
Tesla Model Y5,232-2%

The Skoda Elroq, Volkswagen ID.4, and Renault 5 were the top-selling electric car models in Europe in July 2026. This confirms that electric cars are increasingly becoming mainstream and the choice of private car buyers too. Not surprisingly, more affordable electric cars are selling better than premium models, with reports claiming that almost a year’s worth of VW Polo ID production has sold out even before the cars reached the showrooms.

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