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Automotive Industry
Sales of fully electric cars surpassed those of petrol-only vehicles in the European Union for the first time in December, data from the auto industry group ACEA showed on Tuesday, even as hybrids held onto the largest overall share of the market.
The data underscores how the bloc is shifting slowly towards electric and hybrid vehicles, even as policymakers have proposed loosening emission regulations that should allow vehicles with combustion engines to stick around for longer.
Independent automotive analyst Matthias Schmidt said that the fewer petrol car sales partly reflect reclassification of some as "mild hybrids", which still have petrol engines and only modestly contribute to lowering emissions.
"It will still take around half a decade before pure electric cars genuinely overtake combustion-engine models across the region, but this is nonetheless a start," he said.
Race for the European EV market
Fully electric vehicles made up 22.6% of cars registered in the EU last month, edging out petrol cars on 22.5%. Gasoline-electric hybrids, including plug-in hybrids that can go limited distances on battery power alone, were the top group with 44%.
The registrations are a proxy for sales.
In the broader European market, which includes Britain and Norway, car sales logged a sixth month of year-on-year growth.
Competition from Chinese brands such as BYD, Changan and Geely is intensifying the race for the European market, even as domestic carmakers like Volkswagen and BMW roll out new EV models.
The EU unveiled a plan in December to abandon an effective 2035 ban on combustion engine cars, bowing to pressure from carmakers as they fend off challenges from Chinese rivals, U.S. import tariffs and difficulties in selling EVs profitably.
Yet, industry experts expect EVs to keep increasing their share of the European market.
E-Mobility Europe's Secretary General Chris Heron said European brands have started to adapt by introducing new and affordable EVs, while individual countries offer new incentive schemes.