New car registrations in Europe fell 13% year on year in May, as 15 countries including Germany, France, Spain, Italy and the UK recorded double-digit declines in growth.
Registrations across 27 European markets totalled 935,854, according to Jato Dynamics. The market analyst said it was the second-lowest May result since 1985 and just ahead of 2020, which was severely affected by the Covid-19 pandemic.
Year to date, new registrations moved to 4,482,463, a year-on-year decline also of 13%.
Jato attributed the drop in May to the ongoing global shortage of semiconductors and the war in Ukraine.
Electric vehicle production, which had sustained promising levels of growth in previous months, has been impacted by the supply crisis, claimed Jato.
“The EV boom continues, but it seems that the industry has reached a peak in terms of what it can supply in the current climate,” said Jato global analyst Felipe Munoz.
EV and PHEV registrations rose by 3.6% from May 2021 to 179,000 vehicles, while EV market share increased from 16.2% to 19.2%.
Jato said that the overall sales standings for May were affected by reduced vehicle availability, with shortages meaning some brands are currently producing more cars than others are able to.
“Due to ongoing shortages, availability is having a significant impact on the composition of the rankings and brands that are producing more vehicles are seeing this reflected in their sales performance,” said Munoz.
Hyundai-Kia retained a high market share, at 10.1% of the total. The company sold 94,800 units in May, representing a 10% rise compared with 2021, thanks to the continued success of the Hyundai Tucson.
“It’s remarkable to see Hyundai-Kia secure such an impressive result while other OEMs are struggling to absorb the combined impact of surging inflation, the geopolitical situation in Ukraine and an ongoing chip shortage,” added Munoz.
The Peugeot 208, meanwhile, was Europe’s best seller for the second consecutive month. The small hatchback achieved 15% growth year on year, shifting 18,254 cars across the continent.
The top 10 best-selling models in Europe are listed below.