The tide has turned in the electrification of the German auto market, with plugin electric vehicles taking the majority of sales for the first time in December.
The tide has turned in the electrification of the German auto market, with plugin electric vehiclesfor the first time in December. Plugins took 55.4% of the month’s passenger auto sales, with full electrics taking a third and plugin hybrids taking over a fifth . Plugless hybrids took 12.8%, leaving less than a third of sales for combustion-only autos .units, up some 38% on December 2021. 2022’s total auto sales were 2.65 million units, up just 1.1% from 2021.
The combined share of combustion-only powertrains dipped below one third of the market for the first time ever, with diesel-only powertrains falling to 10.8% .Tesla’s usual huge push in the last month of the year resulted in the Model 3 taking theThe Tesla Model Y took second spot, with the Volkswagen ID.4/ID.5 coming in 3rd. Not to be outshone, the VW ID.3 made a notable record of its own — outselling its ICE older brother, the iconic VW Golf, for the first time.
The Smart “#1”, having only shipped a few dozen units up until now, finally saw noticeable registration volume in December, with 192 units. Let’s see how far it can ramp from here. Since Tesla tend to bias deliveries towards the end of each quarter, let’s take a step back and look at the trailing 3-month performance of the top BEV models:
German consumers are arguably less Tesla-fanatical than UK folks, and to climb as high as #3 in Germany would likely need an altogether more affordable base model than the €54,000 current entry price. Perhaps a variant starting in the mid-forty-thousand euro range might do the trick. But until Tesla has more production capacity than demand, there is little motivation to offer a more affordable variant.
Taking a step back, it’s worth remembering that the results in a single market — even one as dominant as Germany — are influenced by decisions over how to allocate the limited production of BEVs across different European markets, in all of which BEV demand currently outstrips supply. Often, local brands favour allocating units to their home market . We will wait to see the summed Europe market report later this month to see who the overall volume leaders are in the European region as a whole.
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