European output of new cars fell 24% year-on-year in July as total volume decreased from 1.27 million to 967,830.
Year-to-date figures remain positive, up 17%, with 7,381,735 new cars registered, although this figure is still down 24% on 2019.
“Despite the efforts of national governments to boost consumer confidence, the impact of the pandemic is still being felt by the industry,” said industry analysis firm Jato Dynamics.
In contrast to the overall trend. electrified cars (EVs and plug-in hybrids) recorded their best July results yet, making up 17% of the market, up from 8% in June 2020.
EVs totalled 160,646 units for the month, marking the second-highest monthly market share after June 2021 and the third-highest ever in Europe.
“Consumers continue to respond positively to the deals and incentives attached to EVs, which have made these vehicles far more competitive in terms of their pricing,” said Jato.
“But despite [them] becoming increasingly popular, consumer uptake hasn't been enough to offset the big drops posted by diesel cars.”
Diesel registrations heavily decreased by 166,000 between July 2020 and July 2021 and by almost 207,000 between July 2019 and July 2021. Meanwhile, EVs gained 49,000 between July 2020 and July 2021 and 125,000 between July 2019 and July 2021.
The market share for petrol cars has also declined steadily, from 63.4% in July 2019 to 59.8% in July 2020 and 59% last month. This is attributed to the impact of EV campaigns in the market, according to Jato, which insists that there's still more to be done to recover the market.
“The industry isn't yet doing enough to enable EVs to absorb the losses sustained by traditional powertrains,” said Jato.
SUVs still dominate overall market share, claiming 46.1% of all sales.
Here are the best-selling cars in Europe in June 2021:
1 Dacia Sandero 20,446, +6%
The Dacia Sandero is Britain's cheapest car and was Europe's most popular car in July. It sports a stylish new look and is even packed with a few features that some would consider premium, including LED headlights and an infotainment touchscreen on higher trim levels. It uses the same basic platform as the latest Renault Clio, and its affordability has no doubt played a huge part in its roaring success.