EU repordedly plans 100% EV quota for fleets by 2030 Source: https://evlife.sg/blog/eu-repordedly-plans-100%7C-ev-quota-for-fleets-by-2030 If the EU Commission has its way, rental car providers and company fleets will allegedly only be allowed to purchase electric vehicles starting in 2030. According to a German media report, such a requirement is indeed on the table. However, the decision is not final – and resistance is already mounting. The German Bild am Sonntag reported on the plans to impose a 100 per cent EV quota for rental car providers and company fleets for new acquisitions from 2030. According to the report, the EU Commission wants to present the proposal in late summer, kicking off the parliamentary process. The topic itself is not entirely new: in March, the Commission announced draft legislation to increase the share of electric cars in company fleets as part of its measures to support the European automotive industry. At the beginning of this month, affected companies had already indicated that a quota of 75 per cent by 2027 and 100 per cent by 2030 was under discussion. As with initial reports in early July, the EU has confirmed that Brussels is working on new regulations, but it has not provided details on the current state of discussions, meaning there is no official comment on the alleged 100 per cent figure. And even if the EU Commission proposes it, it is far from certain that the regulation would come into force. Both the EU Council (representing the member states) and the EU Parliament would need to approve it first. What is clear is that such a regulation would affect a large part of the new car market – around 60 per cent of all new cars in the EU are registered to corporate owners and rental providers, while around 40 per cent are private customers. The new regulation has not even been officially presented, but resistance within the industry is already growing. The German newspaper cites a letter from German MEP Markus Ferber (CSU) to EU Commission President Ursula von der Leyen (CDU). According to the letter, Ferber calls for the plans to be dropped. He supposedly argues that electric cars would be purchased merely to meet quotas. Earlier this month, when the first reports emerged, Richard Knubben, Director General of Leaseurope (the European umbrella organisation of national leasing associations), warned that the otherwise for 2035-announced regulation was brought forward through the backdoor. Knubben fears – likely with an eye on his members’ interests – that “decisions here are being made out of conviction rather than based on facts”. Sixt board member Nico Gabriel also spoke out: “Electric quotas for fleet operators are completely unsuitable as they do not address the root cause of the problem.” Gabriel sees that root cause in the slow rollout of fast-charging infrastructure.

China EV brands Zeekr, Neta accused of inflating car sales via insurance scheme Source: https://evlife.sg/blog/china-ev-brands-zeekr-neta-accused-of-inflating-car-sales-via-insurance-scheme Chinese electric vehicle brands Neta and Zeekr reportedly inflated sales figures by insuring cars before they were sold, allowing them to book early sales and meet aggressive targets. Documents reviewed by Reuters reveal Neta recorded over 64,719 premature sales between January 2023 and March 2024, more than half its reported 117,000 sales in that period. Zeekr, owned by Geely, used a similar method in late 2024 through its main dealer in Xiamen, according to dealers and buyers. The practice, known as “zero-mileage used cars,“ has drawn regulatory concern amid China’s intense EV price war. State media recently named Zeekr for inflating sales, while authorities plan to ban reselling registered cars within six months. Neta’s parent company, Zhejiang Hozon New Energy Automobile, did not respond to requests for comment. Geely denied the allegations, stating Zeekr’s insured vehicles were for showroom display only. However, buyers in Guangzhou and Chongqing reported discovering pre-existing insurance policies on their newly purchased cars. Analysts say such practices distort financial reports and inventory tracking. Dealers also face pressure, with some admitting unsold cars remain in warehouses. Neta’s sales have declined sharply since 2022, and its parent company entered bankruptcy last month

China puts new restrictions on EV battery technology in latest move to consolidate dominance Source: https://evlife.sg/blog/china-puts-new-restrictions-on-ev-battery-technology-in-latest-move-to-consolidate-dominance China has put export restrictions on technologies critical for producing electric vehicle batteries, in a move to consolidate its dominance in the sector that has contributed to the country’s lead in the global EV race. Several technologies used to manufacture EV batteries and process lithium, a critical mineral for batteries, were added to the government’s export control list. Inclusion on the list means transferring the technologies overseas – such as through trade, investment, or technological cooperation – will require a government-issued license, according to a statement by the country’s Commerce Ministry. The new controls mirror similar restrictions introduced just three months ago on certain rare earth elements and their magnets – critical materials used not only in EV production, but also in consumer electronics and military equipment such as fighter jets. China’s dominance of the rare earths supply chain has emerged as among its most potent tools in a renewed trade war with the United States. China has emerged as a leading player in the competitive global EV market, thanks in part to its ability to develop high-performance, cost-effective batteries through its comprehensive supply chain, from raw material processing to battery manufacturing. Huge numbers of car manufacturers around the world use Chinese EV batteries in their vehicles. Chinese EV battery makers accounted for at least 67% of the global market share, according to SNE Research, a market research and consultancy firm. First proposed in January, the latest licensing requirements have cast uncertainty over Chinese EV makers’ overseas expansion plans, particularly as markets like the European Union have employed tariffs on Chinese car exports to push them to set up shop there. Many Chinese battery makers also have plans to localize production in markets such as Southeast Asia and the US. The Commerce Ministry said the restrictions “aim to safeguard national economic security and development interests, and promote international economic and technological cooperation.” Liz Lee, an associate director at Counterpoint Research, said the move “deepens the emerging geopolitical tech decoupling beyond materials to process IP (intellectual property).” She added that this could accelerate efforts by the US, EU and others to boost localization of precursor materials and metal refining capabilities. China’s CATL, the world’s largest EV battery producer and a key supplier of Tesla, has plants in Germany and Hungary and has plans for a joint venture factory in Spain with Stellantis, the owner of Fiat and Chrysler. It is also licensing its technology to be used in a Ford EV battery plant under construction in Michigan. A Ford spokesperson told CNN the company is “not affected” by the new restrictions. Meanwhile, Chinese EV giant BYD, which manufactures its own battery and surged past Tesla in 2024 sales to become the world’s largest EV maker, has EV production facilities around the world, from Hungary and Thailand to Brazil. And Gotion, another major EV battery maker in China, has plans to build a production plant in Illinois. CNN has reached out to CATL, BYD and Gotion for comment. Analysts said the true impact of the new export controls remains uncertain, as details are still unclear. Lee noted the restrictions “appear to target upstream process technologies… rather than battery cell and module manufacturing.” Since CATL’s plants in Germany and Hungary focus on cell and module production and do not appear to replicate the restricted processes locally, the near-term effect may be limited, she said. For BYD, which only assembles battery packs overseas and does not manufacture battery cells abroad, the controls do not appear to affect operations at this stage, Lee added. Vincent Sun, senior equity analyst at Morningstar covering China’s EV sector, said the ultimate impact would depend on how easily companies can obtain permits – something that “may take some extra time to see.” China’s dominance in EV batteries One part of the newly announced restrictions surrounds the battery cathode production technology for the making of lithium iron phosphate (LFP) batteries, a type of lithium-ion battery that has become increasingly popular in EVs in the last five years for its lower price and greater safety. Another part focuses on the processing, refinement and extraction of lithium. A worker from Chinese electric vehicle company NIO sits in a car during its final inspection at the end of the automated production line at the company's manufacturing hub in Hefei, China, on January 17, 2025. A worker from Chinese electric vehicle company NIO sits in a car during its final inspection at the end of the automated production line at the company's manufacturing hub in Hefei, China, on January 17, 2025. Kevin Frayer/Getty Images China dominates the production of LFP batteries and the processing of lithium globally, according to Fastmarkets, a United Kingdom-based research company. Last year, it held 94% market share for LFP production capacity and provided 70% of global processed lithium production. But while LFP batteries amounted to 40% of the global EV market by capacity, adoption of them is more prevalent in EVs made by Chinese manufacturers than elsewhere, according to Adamas Intelligence, a data analysis and consultancy firm focusing on critical minerals and batteries. James Edmondson, vice president in research at IDTechEx, a research firm, told CNN that despite LFP’s lower energy density, its much lower cost, compared with its common alternative battery made of nickel, manganese, and cobalt, has made it “a staple in lower-cost vehicles” and there are plans for greater adoption by EU and US automakers. China’s dominance in LFP production means that “even for LFP produced outside of China, Chinese suppliers would still often play a part in the production of precursors to LFP cathodes,” he said. China holds a “significant lead” in the technology itself, as shown by BYD’s “Super E-Platform” that promised a 250-mile range on just a five-minute charge, Edmondson added. The technology outperforms Tesla’s Superchargers, which take 15 minutes to deliver 200 miles. Not to be outdone, CATL followed in April with a more competitive product, an upgraded LFP battery that provides an even longer range of 320 miles with the same charging time.

Chinese Premier orders end to cutthroat EV price war Source: https://evlife.sg/blog/chinese-premier-orders-end-to-cutthroat-ev-price-war Chinese Premier Li Qiang has pledged to rein in aggressive price-cutting in China's fast-growing electric vehicle (EV) sector, marking a clear pivot from self-regulation to direct government oversight. Speaking at a recent State Council executive meeting,... Officials called for stronger order in the new energy vehicle market to “curb irrational competition” and spur more healthy development, Xinhua said. “It is necessary to... strengthen industry self-discipline” and help companies enhance their competitiveness through technological innovation, the agency quoted officials as saying. The China Association of Automobile Manufacturers, a top industry group, warned in May that “disorderly” competition would exacerbate harmful rivalry and hurt growth. Analyst Bill Bishop wrote in his Sinocism newsletter that the wording of yseterday’s readout could suggest Beijing will place “price controls” on electric vehicles. “The language on the new energy vehicle (NEV) industry was tough, in another sign that the government is going to intervene to rectify the ‘irrational competition’ in the industry,” he wrote

Major Cargo Carrier Halts EV Shipping to Hawaiʻi Source: https://evlife.sg/blog/major-cargo-carrier-halts-ev-shipping-to-hawai%CA%BBi Matson is putting the brakes on electric vehicle shipping, effective immediately. The company, Hawai‘i’s largest ocean cargo carrier, announced it will no longer accept electric or plug-in hybrid vehicles for transport in either direction. The reason: rising safety concerns over lithium-ion battery fires at sea. What It Means for Hawai‘i This pause could cause waves across Hawai‘i’s already limited car market. More than 37,000 electric vehicles are registered in the state, according to the Hawai‘i Electric Vehicle Association. With Matson out of the picture, delays and higher costs could follow. EV owner Don Heddesheimer considers himself lucky. He shipped his Tesla from Ohio to Hawai‘i four months ago, before the ban was in place, but recalls how strict battery guidelines were even then. “As long as it’s between 50-60 percent [charged], there won’t be any problems,” Heddesheimer explained. “But it was still a complicated process.” Dealerships Brace for Impact Island News reached out to major automakers for comment. A Honolulu Tesla manager declined to speak on internal logistics, and Ford did not respond to our request. However, a sales manager at Kia told Island News their dealership relies on competitor Pasha Hawaii for vehicle shipments, and they do not anticipate major disruptions at this time. Fires at Sea: A Rising Risk In March, the Maritime Technologies Forum released a study on EV battery hazards aboard ships. The report found that lithium-ion battery fires are nearly impossible to stop once triggered, releasing flammable and toxic gases. That danger became reality earlier this year, when a cargo ship near Alaska caught fire. The vessel, carrying more than 700 electric cars, was abandoned by the crew for safety reasons. What's Next? The Hawai‘i Department of Transportation told Island News it was not involved in Matson’s decision and was given no timeline on when EV shipping might resume. The International Maritime Organization is working to create official safety regulations for transporting EVs, but those are not expected until 2027. In the meantime, customers and dealerships alike are left navigating uncertainty on land and at sea.

China Puts New Restrictions on EV Battery Manufacturing Technology Source: https://evlife.sg/blog/china-puts-new-restrictions-on-ev-battery-manufacturing-technology The Chinese government said on Tuesday that it would restrict any effort to transfer out of China eight key technologies for manufacturing electric vehicle batteries, a move that could cement the country’s already dominant role in the production of electric cars. The plan could make it harder for Chinese electric carmakers to set up factories overseas, as the European Union has pushed them to do. Effective immediately, any overseas transfer of these technologies through trade, investment or technological cooperation will first require a license from the Chinese government, the Ministry of Commerce said in a statement. Chinese manufacturers have achieved important breakthroughs in the past five years in making inexpensive batteries that can provide considerable driving range for electric vehicles. The new generation of battery technology is central to China’s success in building electric cars that are considerably cheaper than electric and gasoline-powered cars made in other countries. The European Union has been pressing Chinese automakers and battery manufacturers to set up operations in the bloc as an unofficial condition for continued growth in sales of Chinese cars there. The United States has been more wary of Chinese investment, but plans for at least two Chinese electric car battery factories have been proposed in Michigan. The new restriction on battery technologies comes less than three months after Beijing began requiring licenses for exports of seven kinds of rare earth metals and the magnets made from them. Those restrictions have already caused considerable disruption to companies in the West and Japan that manufacture cars, robots and other advanced devices that require electric motors with small but powerful rare earth magnets. BYD, which is based in Shenzhen, China, and has recently overtaken Tesla as the world’s largest manufacturer of electric cars, made a technological breakthrough five years ago when it introduced a new line of lithium-ion batteries. Instead of using a costly chemistry based on nickel, cobalt and manganese, the new batteries used inexpensive iron and phosphate. The new chemistry also appears less likely to catch fire in collisions and other incidents. BYD’s archrival, CATL in Ningde, China, introduced similar technology at almost the same time. Lithium iron phosphate batteries now command more than half the global market and are made almost entirely in China. Battery and chemicals companies in Japan, South Korea, Germany and the United States still rely mainly on chemistries with nickel, cobalt and manganese, but they have been trying to catch up. BYD declined to comment Tuesday evening on the Ministry of Commerce’s announcement. CATL — its full name in English is Contemporary Amperex Technology Company Ltd. — also declined to comment. Ford Motor, which is building a $3 billion factory in Michigan to manufacture lithium iron phosphate batteries with CATL technology, also declined to comment. The Ministry of Commerce provided few details in its statement about why it was imposing the license requirement. “This is an adjustment to the existing restricted technologies based on the development and changes of technology,” the statement said. China has close to 50 graduate programs that focus on either battery chemistry or the closely related subject of battery metallurgy. By contrast, only a handful of professors in the United States are working on batteries. The Ministry of Commerce imposed the new license requirement on overseas transfers of three core technologies of lithium iron phosphate batteries. It also imposed a license requirement on five key technologies for producing lithium for all kinds of batteries. Lithium iron phosphate batteries were invented nearly 30 years ago in the United States. But for many years, these batteries could be fully recharged only a few times. With many years of study, Japanese researchers gradually developed ways to increase the number of recharges that these batteries could withstand. BYD and CATL then figured out a way to further increase the number of recharges, making it comparable to more traditional battery chemistries. They also figured out how to pack more electricity into each of the new batteries and how to mass-produce them. China has been racing ahead of the rest of the world in many areas of research, including chemistry. Researchers in China lead the world in publishing widely cited papers in 52 of 64 critical technologies, according to calculations last year by the Australian Strategic Policy Institute. A once-a-decade meeting last summer of China’s Communist Party leadership chose scientific training and education as one of the country’s top economic priorities. That goal received more attention in the meeting’s final resolution than any other policy did, except strengthening the party itself.

China’s EV Scandal Shows Just How Easy It Was To Cheat The System Source: https://evlife.sg/blog/china%E2%80%99s-ev-scandal-shows-just-how-easy-it-was-to-cheat-the-system China’s electric vehicle industry has seen explosive growth in recent years, and much of that momentum has been fueled by generous government incentives. While this support has helped establish China as a global EV powerhouse, a closer look reveals that not all of the subsidies have been fairly or properly claimed. Even some of the country’s biggest names in the EV space, including BYD and Chery Automobile, have reportedly received funds they weren’t entitled to. An audit of China’s EV subsidy program covering the years 2016 through 2020 uncovered that around 864 million yuan (roughly $121 million at current exchange rates) was distributed to automakers that didn’t meet the qualifying criteria. Chery, for instance, claimed 240 million yuan (about $33 million) for approximately 8,860 electric and hybrid vehicles that were not eligible for the subsidy. Additionally, China’s Ministry of Industry and Information Technology has revealed that 143 million yuan (about $20 million) worth of subsidies were provided to BYD for just 4,900 cars. There’s no word on whether these subsidies have had to be returned to the authorities or if the excess amounts were deducted from recent payments, as reported by Bloomberg. China launched its EV subsidy program in the early 2010s and provided as much as 60,000 yuan ($8,400) per car. This rebate was paid in bulk to manufacturers who could then use the discount to slash prices for customers. As it turns out, the program was rife for scams, and in 2016 alone, it’s reported that dozens of companies fraudulently claimed roughly 9.3 billion yuan (approximately $1.3 billion) in subsidies. Government officials are keeping a watchful eye on the local EV market. Car brands have been urged to stop the ongoing price war and to stop using shady sales targets to boost volumes. It was recently revealed that many companies are providing new dealers to traders and dealers in bulk, who then register them so brands can record them as sales. These vehicles then hit the market as “zero-mileage used cars.”

Chery and BYD face government audit over US$53m in disqualified EV subsidies Source: https://evlife.sg/blog/chery-and-byd-face-government-audit-over-us%2453m-in-disqualified-ev-subsidies Chinese automaker Chery on Saturday denied assertions that it had improperly claimed government subsidies for environmentally friendly vehicles. An audit by the Ministry of Industry and Information Technology disqualified declarations by Chery and BYD for a combined US$53 million in government subsidies for thousands of vehicles sold in the five years to 2020, accounting for nearly 60 per cent of such improper claims. Chery denied its declarations were improper. It said in a statement it had previously consulted the authorities about the challenges of missing receipts because the cars were sold more than five years ago and that the government had advised the company to declare the cars for the ministry to determine if they should be qualified. “Our company has truthfully reported to the authorities we did not collect certificates for end sales; there’s no fraudulent act,” Chery said in the statement. The government’s assertions do not include allegations of fraud. EV maker BYD did not respond to requests for comment. The audit, initiated earlier this year to verify subsidy applications over the five-year period, disqualified 21,725 vehicles for subsidies as it found discrepancies such as failure to submit required supporting documents or to meet the mandated mileage thresholds, according to the documents published by the Ministry of Industry and Information Technology in June. Chery had 7,663 vehicles disqualified — 19 for mileage thresholds and 7,643 for not providing certificates. The audit documents did not lay out any penalties or mention reimbursement. The government has previously said automakers will have to repay subsidies for vehicles found not to have met mileage requirements. Chery said the audit covered declarations for subsidies that were not prepaid and thus automakers did not need to repay.

The great EV pullback has begun Source: https://evlife.sg/blog/the-great-ev-pullback-has-begun Electric vehicles are at a crossroads. Sales are still going up, but many automakers are canceling or delaying new models, worried by recent policy moves that will make EVs more expensive to own. Every day seems to bring fresh news of a delayed EV or a timeline that’s been pushed back, as automakers struggle to adapt to this newly volatile environment. President Donald Trump’s tariffs aren’t helping much, nor is the recent passage of his $3.4 trillion “big, beautiful” budget bill, which takes a sledgehammer to most EV incentive programs. And Trump’s decision to reverse tougher emissions rules passed under former President Joe Biden is just icing on a pretty unappetizing cake. Expect a big push by car dealers to sell EVs before the $7,500 tax credit ends in September. But after that, the future looks dicey. Many car companies are still assessing the damage, but delaying future models seems like the most popular move right now. “Today’s escalating challenges could be deemed insurmountable” “Automakers that delayed launches over the last few years might have benefited from monitoring the market; however, today’s escalating challenges could be deemed insurmountable, likely resulting in more outright cancellations if the models lack a future abroad,” says Ivan Drury, director of insights at Edmunds. To be sure, EVs are absolutely here to stay. As many surveys have found, once you go EV, you’re less likely to ever go back to internal combustion engines. Drury notes that nearly half the time (45 percent) an EV is utilized as a trade-in at a dealership for a new vehicle, the purchase is for another EV. But in the interest of clarity, let’s do a run down of all the models’ uncertain futures. Ferrari Ferrari pushed back plans to launch its second fully electric vehicle, according to a report from Reuters, with an anonymous source noting that there is “zero” demand for high-performance electric cars right now. Ford The Blue Oval had the foresight to cancel its three-row electric SUV before Trump’s win in the US presidential election last November. Instead, Ford is banking on a future lineup of inexpensive EVs that are under development by its skunkworks team in Silicon Valley. In the meantime, Ford expects to release a bunch of new gas and hybrid-powered three-row SUVs. Honda The Japanese automaker has reportedly canceled plans for a large electric SUV. It was supposed to launch in 2027, but according to a report from Nikkei Asia, Honda has halted development on the model and slashed how much it plans to spend on EVs through 2030. This comes two years after Honda canceled its plan with GM to jointly release a new lineup of cheaper EVs. Honda says it still plans on releasing its Honda Zero models in the US next year. Lamborghini The ultra-luxury sports carmaker is considering postponing its first EV, the production version of the Lanzador concept from 2023, citing cooling market conditions. Lamborghini is also delaying its plans for an all-electric Urus. Instead, it plans to release a performance version of its plug-in hybrid crossover. Nissan Nissan is cutting production plans for its refreshed Leaf EV and is delaying two EVs that were scheduled to be built at its Canton, Mississippi, plant. According to an internal memo, Nissan is delaying production of the Leaf by about 10 months, citing slowing US demand as a result of the Trump administration’s decision to cut EV tax credits. Other projects to watch Rivian, which just received another $1 billion from its joint venture with Volkswagen, says it’s still going ahead with its plan to release the R2 in 2026. But there’s no word on when the buzzy R3 hatchback will go into production. 2026 is the same year that Slate Auto is expected to begin delivering its barebones electric truck, which was supposed to cost “under $20,000” thanks to EV incentives. Now that those tax breaks are gone, Slate has scrubbed the price promotion from its website, replacing it with an expected price in the “mid-twenties.” I’m also nervously watching Volkswagen’s lineup of affordable EVs, which right now go by the model names ID.EVERY1 (priced at €20,000, or about $23,380) and ID.2all (€25,000, or about $29,225). The company is finally seeing some success with its EVs, with global sales surging about 50 percent in the first half of 2025 year over year. But Volkswagen is struggling to sell its ID.Buzz electric van in the US, which could ultimately dissuade it from bringing its cheaper models to North America. And there’s also no official word about Tesla’s supposed affordable EV. Tesla, which is on track to sell less EVs this year (and for the second consecutive year), hasn’t said when the new model will be released. It’s expected to be a cheaper version of the Model Y. Meanwhile, China’s EV market continues to grow. Morgan Stanley recently estimated that China’s battery-electric market is seven times larger than the US, with the lead widening every year. Drury says those hoping for an all-EV future may want to temper their expectations. “While EV supporters may be hoping for a replacement ratio closer to one-to-one, it’s worth considering that EV tech has a long runway of advancement for future generations,” he says, “even if that future is delayed.”

Spain leads European new-car markets with impressive EV growth Source: https://evlife.sg/blog/spain-leads-european-new-car-markets-with-impressive-ev-growth Spain continues to lead Europe’s big five markets with its registration performance in 2025. But as other nations struggle, what is behind this success? Autovista24 special content editor Phil Curry examines the figures. Spain’s new-car market saw registrations grow for the 10th consecutive month, as the country’s renaissance continues. According to the latest data from industry association ANFAC, deliveries of new passenger cars increased by 15.3% in June. This meant 119,125 models found their way to customers in the month. Spain is the only one of Europe’s big five markets to see growth in every month of 2025. June also represented the fourth time this year that improvements have entered double digits. Boom for BEVs in Spain Exceptional circumstances have buoyed Spain’s new-car market this year. Government financial aid has supported drivers in the Valencia region. They have been replacing vehicles damaged by severe storms and flooding in 2024. More significantly, the recent reinstatement of the MOVES III incentive scheme has fundamentally turned around the country’s electric vehicle (EV) market. Aimed at battery-electric (BEV) and plug-in hybrid (PHEV) purchases, this scheme provides subsidies up to €7,000. BEV registrations improved by 103.3% in June, with 11,245 units delivered, based on Autovista24 calculations of ANFAC data. This is the second month in succession that BEV volumes have more than doubled and comes after MOVES III was reintroduced in April. This gave the powertrain a 9.4% market share in the month, an improvement on the 5.4% recorded in the same period last year. Yet despite the strong figures in May and June, Spain’s BEV market had been performing well prior to the announcement around MOVES III. This has helped the technology see an 84% improvement in registrations during the first half of the year, with 46,270 deliveries. This is a rise of 21,129 units. The performance has given BEVs a 7.6% market share, up by 2.9 percentage points (pp) compared to the same period in 2024. PHEVs fly in Spain While the rise in BEV deliveries has been strong, Spain’s PHEV market has improved even more. In June, registrations were up by 160%, with 13,533 units delivered, based on Autovista24 calculations. Like BEVs, this is the second month in succession that the PHEV market has more than doubled its volume. The technology has often proven the more popular in the EV market, providing drivers with a mix of electric and internal-combustion engine (ICE) power. Also like BEVs, the powertrain had been performing well even prior to the MOVES III announcement in April. This means that in the first half of 2025, PHEVs have seen registrations growth of 82.4%, with 56,070 units making their way to customers. This equates to a 9.2% market share, up by 3.5pp. Combined, the EV market surged 130.8% in June with 14,043 more units delivered. This was a record monthly total for the country, and lifted the EV market share to 20.8%, doubling its quota from a year previously. During June, one in five cars registered in Spain was a plug-in model. In the year-to-date figures, EVs have seen volumes rise by 83.1%, with 46,452 new models registered. This has given the technology a 16.8% market share, up by 6.4pp. However, while the figures are impressive, they are still lower than those in other major European markets. ‘Compared to Europe, we are still below the average, which is 24%. We need to consolidate this pace and ensure that citizens see electrified cars, whether pure electric or plug-in hybrid, as their next purchasing option,’ stated José López-Tafall, general director of ANFAC. ‘To achieve this, improving the efficiency of purchase aids, strengthening the publicly accessible charging network, and increasing the visibility of roadside signage are all part of a positive message for citizens.’ Hybrids remain dominant Hybrids, including both full and mild hybrid powertrains, remained the most popular choice in Spain during June. In total, 46,637 units were delivered, equating to a rise of 24.3% compared to the same month last year, based on Autovista24 analysis. This performance meant the technology now holds 39.1% of the market, a 2.8 pp increase from last year. However, this is the second month in a row its share has been under 40%. It is also the lowest share this fuel-type has seen since it became more popular than petrol in July 2024. However, this does not mean it is doing badly. Instead, the market is becoming more varied, with more people choosing BEVs and PHEVs. In the first half of 2025, hybrids lead the way with 253,913 registrations, up by 32.9% compared to the same period in 2024. Their market leading 41.6% share is a rise of 5.9pp. Combining hybrids and EVs, the electrified market saw a 48% rise in registrations last month, with 23,160 more units delivered. This gave the sector a commanding 60% market share, up by 13.3pp compared to June 2024. Between January and June, electrified models made up 58.4% of total registrations, a rise of 12.3pp. Volumes increased by 44.3%, with 109,288 more units taking to the country’s roads. ICE slides further into decline While electrified vehicles have seen a popularity boost, Spain’s internal-combustion engine (ICE) market is in serial decline, mirroring a Europe-wide trend. Petrol registrations fell by 13.7%, according to Autovista24 calculations. While the volume of 34,892 made the powertrain the second-best in the country, its market share of 29.3% leaves it a long way off the hybrid sector. This was a fall from the 39.1% recorded a year previously. In the first half of the year, petrol saw volumes decline 13.4%, with 188,292 units taking to the road. The 30.9% market share was down 9.7pp compared to the same period last year. Diesel suffered its worst fall of 2025, with registrations down by 45.2% year on year. Conversely, its 6,588-unit total was also the highest volume seen by the diesel market so far in 2025. However, with a 5.5% market share, down by 6.1pp, it was the worst-performing of the major powertrains. The result has left diesel registrations down 37.8% in the first half of 2025, with a 5.6% share of overall deliveries. This is a drop from the 10.3% it held last year. At that point, it was the country’s third-best powertrain. Combining the two fuel types, the ICE market struggled in June, with deliveries down 20.9%. This equated to 10,990 fewer units, and left it with a 34.8% market share, some way from the 50.8% seen in the same month of 2024. Between January and June, ICE registrations have fallen 18.3%, with 49,971 fewer deliveries. The 36.5% hold of overall registrations is down by 14.4pp year on year.