Europe’s auto market showed signs of mild recovery in February. Data from the European Automobile Manufacturers’ Association (ACEA) indicated that new car registrations in the EU reached 865,437 units, up 1.4% year-on-year and 8.2% month-on-month. New EU car registrations from March 2024 to February 2026 Including the UK and the European Free Trade Association (EFTA), total registrations rose to 979,321 units, up 1.7% YoY and 1.9% from the previous month. From a year-to-date perspective, the market remains in a recovery phase. EU registrations for January–February declined 1.2% YoY, an improvement compared with January’s weaker baseline. In terms of powertrain mix, hybrid electric vehicles (HEVs) continued to dominate. Over the first two months, HEVs accounted for 38.7% of the market, ranking first. Battery electric vehicles (BEVs) held an 18.8% share, while plug-in hybrids (PHEVs) accounted for 9.8%. New EU car registrations by power source for January-February 2026 By contrast, gasoline and diesel vehicles combined fell to 30.6% of the market, indicating a continued but gradual phase-out of internal combustion engine vehicles. Against the backdrop of a modest market recovery, Chinese automakers are accelerating their expansion in Europe. BYD registered 15,438 vehicles in the EU in February, up 185.3% year-on-year. Including the UK and EFTA markets, total registrations reached 17,954 units, up 162.3%, with market share rising to 1.8%. In the first two months of the year, BYD’s total registrations in Europe reached 36,069 units, up 162.7% YoY, with market share increasing to 1.9%. New car registrations by manufacturer in the EU for February and January-February 2025 and 2026 SAIC Motor maintained a steadier growth trajectory. It registered 18,584 vehicles in the EU in February, up 14% YoY. Across the broader European market, registrations totaled 22,360 units, up 12%, with a market share of around 2.3%. Cumulatively, SAIC recorded 41,454 registrations in Europe in January–February, representing a 4.8% increase YoY. Tesla showed signs of stabilization in Europe. The company registered 17,664 vehicles across the region in February, up 11.8% YoY. New car registrations by manufacturer in Europe for February and January-February 2025 and 2026 However, year-to-date growth remained limited at just 0.9%, indicating uneven momentum. Meanwhile, European and Japanese brands generally came under pressure. In February, registrations for BMW, Volkswagen brand, and Volvo declined by 4.5%, 4.2%, and 9.6%, respectively. Japanese automakers Toyota and Nissan also saw declines of 2.9% and 16.2%.