EVs overtake petrol cars as electric sales surge 66 pct in Europe’s biggest economy

Electric vehicles (EVs) have surpassed petrol cars in monthly new registrations in Germany, marking a significant milestone in the country’s transition to cleaner transport. In March 2026, pure electric car registrations surged by 66 percent year-on-year to nearly 71,000 units, according to data from the German motor vehicle authority KBA. This growth pushed electric vehicles’ share of new car registrations to 24 percent, overtaking petrol cars, whose registrations fell by five percent to around 67,000 and accounted for less than 23 percent of the market. The rise in electric car sales follows the introduction of a new government subsidy scheme aimed at helping lower-income households purchase or lease EVs. This initiative came after a previous subsidy programme ended abruptly in late 2023, which had caused a sharp decline in sales. Additionally, the spike in oil prices triggered by geopolitical tensions in Iran has heightened consumer interest in electric vehicles, although the full effect on registrations may take time to materialise due to delivery lead times for new EVs. Hybrid vehicles continue to dominate the market with a 40 percent share, as registrations of both conventional and plug-in hybrids increased by 16 percent to approximately 118,000 units in March. Diesel cars, meanwhile, saw a slight decline in registrations to under 38,000, representing about 13 percent of new car sales. Notably, private buyers have been driving much of the growth in electric car registrations, which has led to a reduction in the proportion of company car registrations to 65 percent. Tesla, the US electric car manufacturer, experienced a strong rebound in the German market after a period of declining sales linked to controversies surrounding CEO Elon Musk’s political activities. Following recent price cuts, Tesla’s sales more than quadrupled compared to the previous year, reaching over 9,000 units in March. This resurgence highlights the brand’s continued influence in the European EV market despite earlier setbacks. While the acceleration in electric car adoption is promising, Germany still faces challenges in meeting its ambitious target of having 15 million electric vehicles on the road by 2030. The recent surge in registrations signals positive momentum, but sustained policy support and infrastructure development will be crucial to maintaining this growth trajectory in the coming years.