According to industry data released Wednesday by the European Automobile Manufacturers’ Association, new car registrations in the European Union rose 4.2% in the first four months of 2026, as demand for electric and hybrid vehicles continued to grow despite geopolitical uncertainty and economic risks.
The European shift toward electric and hybrid vehicles comes as parts of the US market move in the opposite direction, with several automakers recently slowing or scaling back aggressive EV plans amid weaker demand, high costs and changing government policies. Recent reports show US manufacturers are increasingly leaning back toward hybrids and combustion-engine vehicles after EV sales growth slowed sharply and some planned electric models were delayed or canceled.
For lubricant manufacturers, the diverging trends could create a more uneven global market: Europe’s rapid electrification may reduce long-term demand for traditional engine oils, while the U.S.’s slowdown could extend the lifespan of conventional lubricant demand and strengthen the market for hybrid-specific fluids.
The European market was supported by strong consumer interest in electrified vehicles, helped by new and updated tax incentives in several major European countries.
Hybrids remained the most popular choice among buyers, accounting for 38.2% of all new EU car registrations through April. Battery-electric vehicles increased their market share to 19.7%, up from 15.3% a year earlier, while plug-in hybrids reached 9.6%. Hybrid registrations rose to 1,447,864 units, supported by growth in Italy, Spain, Germany and France. Hybrid models made up 38.2% of the EU market.
A total of 746,899 battery-electric cars were registered in the EU during the January-to-April period. Italy recorded the strongest growth, with registrations rising 73.1%, followed by France at 48.2% and Germany at 41.3%. Belgium saw slower growth of 1.1%.
Plug-in hybrid registrations also increased, reaching 364,067 units in the first four months of the year. Italy posted the largest gain at 99.2%, followed by Spain at 64.3% and Germany at 17.6%. Plug-in hybrids accounted for 9.6% of all new EU registrations, up from 7.9% in the same period of 2025.
At the same time, gasoline and diesel vehicles continued to lose market share. Together, they accounted for 30.2% of registrations, down from 38.1% a year earlier. Gasoline car registrations alone fell 17.7% across the EU. They accounted for 22.5% of the market, down from 28.5% a year earlier, with 854,843 new cars registered. France recorded the sharpest drop at 36.6%, while Spain, Italy and Germany all posted declines of more than 17%. Diesel registrations fell 16.1% and making up 7.7% of all new EU car registrations through April.