Europe plug-in hybrids outsell diesel: ACEA Data Shows Staggering 9.4% Market Share

Europe plug-in hybrids outsell diesel for the First Time on Record in 2025

Plug-in hybrids have officially passed diesel cars in European new-car registrations for the first time on record. This marks a major shift in one of the world’s most important auto markets. According to data provided by the European Automobile Manufacturers’ Association (ACEA), Europe plug-in hybrids outsell diesel, with PHEVs reaching roughly 9.4% of new-car sales across the EU, EFTA, and the UK over the first ten months of 2025. Meanwhile, diesels fell to around 8%—a stunning reversal for a powertrain that once dominated more than half the continent’s market.

The milestone signals that PHEVs are rapidly becoming the continent’s preferred transitional drivetrain, offering more flexibility than fully electric cars.

Here is a closer look at the collapse of diesel and the rapid rise of the plug-in hybrid.

Diesel’s Decline Opens the Door for PHEVs

Diesel has been on the decline for nearly a decade, but 2025 is the year it finally got overtaken by a powertrain that was barely around fifteen years ago.

Stricter emissions rules have made diesel cars more costly to design and certify. This cost, combined with years of high-profile emissions scandals, has dramatically weakened buyer appetite for the fuel type.

The PHEV Advantage: Practicality Wins

The growth of the PHEV segment is largely due to its practicality. Today’s plug-in hybrids can go much further on electric power alone compared to older models, with many new ones able to handle daily commutes without needing to switch to petrol.

For drivers who are wary of going fully electric or live in areas where charging points are scarce, a PHEV offers the most appealing middle ground between reducing emissions and maintaining travel flexibility. The data clearly shows a decisive reordering of Europe’s powertrain hierarchy. Regulators expect the gap to widen as more countries plan to phase out pure combustion engines.

For automakers, the message is clear: diesel’s long-term future in Europe is effectively over. Manufacturers still invested in diesel technology will now be forced to pivot toward plug-ins or reserve diesel for commercial fleets where demand remains stable.

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