Macquarie sees diverging EV trends in US, Europe and China

Investing.com -- Battery electric vehicle sales showed contrasting trends across major markets in the first five months of 2026, with sales falling 25% in the US, declining 9% in China, and rising 36% in Europe, according to Macquarie.

In the US, May BEV sales reached 86,000 units, down 18% year-over-year, while hybrid electric vehicle sales climbed to 256,000 units, up 33% from the prior year. HEV penetration hit an all-time high of 17%, while BEV share remained at 6%, down from 12% in September 2025.

The shift followed the expiration of Inflation Reduction Act subsidies, with plug-in vehicle share holding flat at 7%. Tesla, which accounts for 47% of US BEV sales, saw volumes decline 12% year-over-year.

China's May BEV sales totaled 637,000 units, up 4% year-over-year and 10% month-over-month. Total plug-in vehicle sales reached 950,000 units in May, down 8% year-over-year but up 12% from April. Plug-in penetration in China reached a record 63%.

Europe recorded May BEV sales of 181,000 units, up 44% year-over-year, with plug-in penetration reaching 36% compared to 27% a year earlier. BEV sales rose 34% in the UK, 93% in France, and 39% in Germany. Tesla's April market share in Europe fell to 4%, while four Chinese automakers combined held 9% of the market.

Macquarie maintains a positive view on Kia, Toyota, Hyundai, and CATL.

You May Also Be Interested In

• Walmart to pay $1.4 billion for Vibe.co acquisition - WSJ
• Wealthfront launches custodial account with tax-gain harvesting
• Varonis Said To Weigh Sale After Takeover Interest - Bloomberg