EVs overtake petrol cars in EU as Türkiye shifts toward hybrids

Taylan Özgür Dil-ISTANBUL

Rising fuel prices driven by the oil crisis and tighter emissions regulations are reshaping the automotive market in both Europe and Türkiye, with the two markets taking increasingly different paths.

During the first eight months of 2026, the combined share of petrol and diesel cars fell from 37.5 percent to 29 percent in the European Union and from 53.3 percent to 46.7 percent in Türkiye. However, while electric vehicles (EVs) gained ground in Europe, hybrid models saw the strongest growth in Türkiye.

According to data from the European Automobile Manufacturers’ Association (ACEA), the European Union’s car market expanded by 5.3 percent in the January-August period. Fully EV sales reached 1.64 million units, increasing their market share from 15.8 percent to 21.7 percent. During the same period, sales of petrol-powered cars totalled 1.64 million units. As a result, EVs surpassed petrol cars in eight-month sales for the first time, by a margin of around 6,600 units.

The combined market share of petrol and diesel vehicles in the EU declined to 29 percent from 37.5 percent a year earlier, while sales of those vehicles fell by 18.6 percent. Hybrid vehicles remained the largest segment of the market with a 36.6 percent share. Plug-in hybrids also expanded their share from 8.8 percent to 10 percent.

In contrast, the Turkish market recorded a decline in EV sales. Data from the Automotive Distributors and Mobility Association (ODMD) showed that total passenger car sales fell 13.8 percent year-on-year to 564,241 units in the first eight months of 2026. EV sales declined 12 percent to 105,255 units. Despite the drop in volumes, EV’s market share edged up from 18.3 percent to 18.7 percent because the overall market contracted more sharply.

The decline in Türkiye’s EV sales was linked in part to the failure to update tax assessment thresholds, reducing the number of models eligible for the preferential 25 percent Special Consumption Tax (ÖTV) bracket.

While EVs overtook petrol-powered cars in Europe, hybrid vehicles narrowed the gap with petrol cars in Türkiye. The market share of petrol vehicles fell from 45.4 percent to 40.8 percent, while diesel vehicles declined from 7.9 percent to 5.9 percent. Hybrid vehicles increased their share from 27.6 percent to 33.1 percent. As a result, the sales gap between petrol and hybrid vehicles narrowed from 117,000 units last year to 43,000 units this year.

Growth in the hybrid segment was led by mild hybrid models. Their market share rose from 16.1 percent to 25.7 percent over the past year.

The shift away from petrol and diesel vehicles has been driven not only by higher fuel costs but also by the European Union’s stricter emissions targets and penalties.

Automakers are increasingly prioritizing electric and hybrid models, while mild hybrid technology is being used to reduce fuel consumption and carbon dioxide emissions. The evolving product strategies of manufacturers in Europe are also directly influencing the range of vehicle options offered in Türkiye.