FX.co ★ EU New Car Registrations Grow 3.2% in May

EU passenger car registrations rose 3.2% year-on-year to 955,013 units in May 2026, marking a fourth consecutive month of growth, though the pace eased from a 5.1% increase in April. The market continued to benefit from solid consumer demand for a broad range of electrified technologies across key European countries, supported by new and revised tax incentives and support schemes. Among the bloc’s four largest markets, growth was particularly strong in France (3.7%) and Italy (7.6%), while registrations in Germany edged up by just 0.1%. Over January–May 2026, new EU car registrations increased by 4.0%, signaling a robust start to the year despite ongoing geopolitical headwinds weighing on the outlook. Battery-electric vehicles (BEVs) accounted for 20.0% of the EU market, up from 15.3% a year earlier, underscoring the sustained momentum of the shift toward electrification. Three of the four largest markets—which together represented 63% of total BEV registrations—recorded particularly strong BEV growth: Italy (75.7%), France (55.4%), and Germany (40.9%).