European sales of new energy vehicles and Tesla in November.

Author: Zhu Yulong

In November, the European automotive market showed good signs of recovery. With the easing of the supply chain, the entire market performed well, and several major markets showed good growth compared to the same period last year.

▲Figure 1. European automotive market in November

Penetration of New Energy Vehicles in Major European Countries

Overall, new energy vehicles sold well in Europe in November, with the top 7 countries selling over 228,000 units. The current penetration of new energy vehicles is as follows:

  • Germany: 102,561 units, BEV penetration rate of 22.4%, PHEV penetration rate of 17.2%
  • UK: 39,558 units, BEV penetration rate of 20.5%, PHEV penetration rate of 7.13%
  • France: 32,645 units, BEV penetration rate of 15.7%, PHEV penetration rate of 9.56%
  • Italy: 11,860 units, BEV penetration rate of 4.8%, PHEV penetration rate of 6.23%
  • Spain: 8,144 units, BEV penetration rate of 4.6%, PHEV penetration rate of 6.68%
  • Sweden: 16,518 units, BEV penetration rate of 43.2%, PHEV penetration rate of 22.47%
  • Norway: 17,417 units, BEV penetration rate of 82.5%, PHEV penetration rate of 7.8%

If we want to classify, Germany, France and the UK are relatively prominent. I understand that Germany will experience a new energy vehicle subsidy decline in 2023: the subsidy for pure electric vehicles with a price lower than 40,000 euros will be reduced from the current 6,000 euros to 4,500 euros, gradually decreasing to 3,000 euros; the subsidy for pure electric vehicles with a price higher than 40,000 euros will be reduced from the current 5,000 euros to 3,000 euros.

▲Figure 2. Penetration of new energy vehicles in Europe“`

Of course, in terms of growth rate, BEVs are still faster. From the current perspective of these two sub-categories, in Europe with relatively high subsidies, pure electric vehicles develop more smoothly even if battery costs are rising faster. In Germany, France and the UK, Tesla delivered 10,819 units, 5,700 units and 5,192 units respectively.

▲Figure 3. Comparison of plug-in hybrid and pure electric vehicles in Europe in November

Of course, in my personal understanding, the growth rate of hybrids with 48V in Southern European countries is also very fast. The most typical countries are Spain, Italy and France.

▲Figure 4. Comparison of hybrid vehicles and plug-in hybrid vehicles in Europe in November

Tesla Deliveries

In October, Tesla delivered only 5,000+ vehicles in major European countries, but in November, European deliveries reached nearly 30,000 units. We can see that Tesla’s growth in Germany increased by 240% compared to the previous month, and in France, it increased by 218%.

▲Figure 5. Tesla deliveries

Tesla’s sales in major European countries from January to November amounted to 147,000 units. It is estimated that the annual scale in Europe for 2022 can reach about 200,000 units, or even higher. The target set by IHS for Tesla was around 240,000 units.

▲Figure 6. Tesla's sales in Europe for 2022

IHS’s estimated growth curve for Tesla is shown below:
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▲Figure 7. Tesla's Growth Curve in Europe

Summary: From Europe’s perspective in 2022, the new energy vehicle market remains stable, but we also see opportunities for Chinese car companies in Europe. I think it’s worth taking a closer look at the overall development situation and potential we have in Europe.
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This article is a translation by ChatGPT of a Chinese report from 42HOW. If you have any questions about it, please email bd@42how.com.