Auto Finance Sponsored by Auto Finance News New EU car registrations down 3.9% in January Published: 24th February 2026 Share New car registrations in the European Union declined by 3.9% in January 2026 compared with the same month last year, marking a second consecutive challenging start to the year for the market, according to the latest industry data from the European Automobile Manufacturers’ Association (ACEA). Battery-electric vehicles (BEVs) continued to gain traction, achieving a 19.3% share of the EU market in January – up from 14.9% a year earlier – reflecting growing consumer interest and broader electrification trends. Despite the growth in BEV uptake, hybrid-electric vehicles remained the dominant choice among buyers, capturing 38.6% of registrations, while the combined share of traditional petrol and diesel cars slipped to just 30.1%, down from 39.5% in January 2025. A total of 154,230 new battery-electric cars were registered in the EU last month. Among the bloc’s four largest markets – which together account for around 60% of BEV registrations – performance was mixed: France saw strong growth of 52.1% year-on-year, Germany recorded a 23.8% increase, while Belgium and the Netherlands experienced declines of 11.5% and 35.4% respectively. Hybrid-electric registrations reached 308,364 units in January, supported by notable growth in Italy (+24.9%) and Spain (+9%), with France’s figures stable. Germany was the only major market in the group to see a slight fall (-1.8%) in hybrid registrations. Plug-in hybrid electric vehicles (PHEVs) also continued to expand their footprint, with 78,741 units registered across the EU. The strongest gains came in Italy (+134.2%), Spain (+66.7%) and Germany (+23%), lifting the PHEV share to 9.8%, compared with 7.4% a year earlier. Registrations of petrol-powered cars tumbled 28.2% in January, with all major markets posting significant declines. France experienced the steepest drop (-48.9%), followed by Germany (-29.9%), Italy (-25.5%) and Spain (-22.5%). As a result, petrol vehicles accounted for 22% of new car registrations, down from 29.5% in January 2025. Diesel car registrations also fell sharply, declining 22.3% year-on-year and making up just 8.1% of the market. Lisa Laverick Editor - Finance Connect Sign up to our newsletter Featured Stories NewsRising fuel prices may accelerate fleet shift to EVs, says FleetCheck NewsCorporate fleets drive EV uptake in Europe NewsICE vehicles still lead as EV interest grows, TARGOBANK study finds Auto Finance