The European Union’s new-car market expanded by 3.2% in May. Growth came from both established automakers and newer brands entering the region. While leading marques experienced declines, gains elsewhere balanced the losses, indicating that increased brand diversity supports overall growth.
Volkswagen Group kept its lead in May, delivering 254,011 vehicles for a 26.6% share. Its volumes fell 3.6% year over year, and the share dropped by 1.9 percentage points. After five months of 2026, the group had sold 1.27 million units—still the only manufacturer to surpass one million registrations—but its share decreased to 26.7%.
Stellantis, the second-largest group, recorded a 2.6% decline in May with 146,381 deliveries. Its share fell 0.9 points to 15.3%. Peugeot and Citroën led the drop, with volumes falling 12.5% and 4.4%, respectively. Fiat posted a 22.9% increase, cushioning the impact. For the year to date, Stellantis was the only established group to gain market share, with a 5.7% rise in deliveries.
Renault Group saw a 1.3% decline in May, registering 100,507 vehicles. Its share shrank by 0.5 points. Over the first five months of 2026, deliveries were down 6.2%, reducing its share to 10.2%.
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Overseas brands also struggled. Hyundai Motor Group delivered 69,204 vehicles in May, a 1.3% drop, while its share fell to 7.2%. Toyota, despite having the second-best-selling brand in the EU, saw registrations dip 0.7% in May. For the year, its volumes were down 2%, holding a 7.1% share.
Newer entrants posted strong gains. Geely Group, which includes Volvo and Polestar, saw deliveries rise 9.9% in May to 27,801 units. Its share increased slightly to 2.9%. Chery Automobile, encompassing Jaecoo and Omoda, surged 239.6% in May with 16,282 deliveries. This lifted its share to 1.7%. For the year, Chery’s registrations jumped 265.2%, giving it a 1.4% share.
Volkswagen remained the top-selling brand in May with 103,124 registrations, though its volumes fell 6%. Toyota followed with 62,592 deliveries, while Skoda saw a slight dip to 62,343 units. BMW rounded out the top four with 54,788 registrations.
Emerging brands drove the most dramatic growth. Leapmotor’s deliveries soared 447.3% in May to 8,856 units, securing a 0.9% share. BYD rose 158.8% to 26,017 units, outperforming established names like Ford and Nissan.
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After five months of 2026, Volkswagen still led the EU brand rankings with 500,494 deliveries. Skoda followed with 322,142 registrations, while Toyota held third place with 313,282 units.
The shift shows newer players gaining ground. Their progress isn’t yet enough to offset declines among legacy automakers, but it’s changing the market’s structure.
China’s electric vehicle sales continued to slow in April.