Sales of new cars in the EU, EFTA countries and Great Britain recorded growth last year

The Serbian Association of Vehicle Importers and Parts, based on data from ACEA (European Automobile Manufacturers' Association), conducted an analysis of the sales of new passenger vehicles in the European Union, EFTA countries (Norway, Switzerland, Iceland), and the United Kingdom for the past year 2023.

These markets experienced a growth of 13.7%.

Expansion of Electric Vehicles

The most significant sales growth was observed in purely electric vehicles, with an increase of 28.2% in these three markets. Moreover, electric car sales in the EU saw an even more substantial growth rate of 37%. Electric vehicles' market share reached 14.6%, with the "Tesla Model Y" becoming the best-selling car in the EU for the first time.

The total EU market would have shown even more significant growth if Germany, the largest individual market, hadn't experienced a serious decline of 23% in December 2023. Nonetheless, thanks to substantial sales growth in the next three largest EU markets—France (+16.1%), Italy (+1.9%), and Spain (+16.7%)—the EU market cumulatively increased by 13.9%.

A total of 10,547,716 cars were sold in the EU in 2023, compared to 9,263,509 in 2022. The UK market also saw robust growth of 17.9%, with 1,903,054 cars sold in 2023 compared to 1,614,063 in 2022. Altogether, the EU, EFTA, and UK markets experienced a 13.7% growth, with a total of 12,847,481 cars sold in 2023.

Types of Drivetrains - Increasing Share of Electric Cars, Decline in Diesel Demand

The most significant growth in car sales by drivetrain type was observed in electric vehicles. In the EU in 2023, 1,538,621 electric cars were sold, a 37% increase compared to the previous year. Electric cars achieved a market share of 14.6%. The UK also saw double-digit growth in the sale of new electric cars, with a rate of 17.8%.

Surprisingly, there was a significant decline in sales of plug-in hybrid cars, with a 2.4% decrease (989,937 units in 2023 compared to 1,014,419 in 2022) across the EU, EFTA, and the UK. Looking only at the EU market, this decline was even more significant at 7.0%.

Hybrid cars with conventional hybrid drivetrains continued to gain popularity, with a 28.3% increase in sales (3,397,339 units in 2023 compared to 2,647,853 in 2022) across the EU, EFTA, and the UK. The EU market alone saw a 29.5% increase in hybrid sales, from 2,098,608 in 2022 to 2,716,963 in 2023.

In 2023, EU sales of gasoline-powered cars reached 3,724,646 units, a 10.6% market growth compared to 2022. Diesel cars, on the other hand, experienced declining demand, with a 5.8% decrease in the EU (1,433,368 units in 2023 compared to 1,520,940 in 2022) and a 6.4% drop across the EU, EFTA, and the UK (1,533,762 units in 2023 compared to 1,638,019 in 2022).

Vehicles with other types of drivetrains (fuel cells, natural gas, biofuels, etc.) showed a substantial percentage increase of 15.7% in both the EU and the combined EU, EFTA, and UK markets.

Major Individual Markets in the EU and the Region - Germany Leads

Despite a significant drop in December 2023, Germany retained its leadership in the number of newly registered cars throughout 2023, with 2,844,609 units sold (a 7.3% increase compared to 2,651,357 in 2022). The UK experienced a sales growth of 17.9% (1,903,054 units in 2023 compared to 1,614,063 in 2022). France, Italy, and Spain also recorded double-digit sales growth percentages.

Looking at some neighboring countries and regional markets, Austria saw an 11.2% increase, Bulgaria recorded a notable 31.5% growth, Croatia experienced a remarkable 31.3% growth, Greece had a 27.7% increase, Romania witnessed an 11.8% rise, and Slovenia's market grew by 5.3%. Hungary, however, was the only EU country with a decline, dropping by 3.4%.

Top Car Sellers in 2023

The Volkswagen Group was the top-selling carmaker in the EU in 2023, with 2,753,054 units sold—a growth of 18% compared to the previous year. Within this group, Volkswagen was the best-selling brand, with 1,149,741 cars sold, representing an 11.8% increase. Other major car groups included Stellantis, Renault, Hyundai Group