Electric and hybrid cars have problems: what happens to sales in Europe

Electric vehicles up, PHEVs far down in Europe.

Car sales in China and Europe remain low compared to last year’s levels as semiconductor shortages and pandemics affect global car markets, the data showed.

Retail car sales in China rose in April from 16 percent but fell further from last year, according to the China Automobile Association, which called for more government support for the industry.

In Europe, data from JATO car consultancy showed that sales of new cars in Europe fell by 20%, sales of plug-in vehicles – generally more resilient to supply chain problems in recent months, as carmakers gave priority to the production of electric cars – also by 1.4%.

Although sales of battery-powered electric vehicles have risen, the decline has been driven by a 15% drop in sales of plug-in hybrid electric vehicles, whose environmental credentials are under much more attention from European regulators.

Problems with electric and hybrid cars

Overall, car sales in China in the first quarter were 0.2% higher than last year, according to Chinese data. In contrast, sales in Europe to date have fallen by 13% compared to JATO figures, the second lowest level since 1991.

However, other economic data from China depicts a picture of an economic recovery that is only partially and partially followed by anti-pandemic measures.

Freight transport and express delivery from distribution centers last week were both stronger than a month earlier, but continued to fall sharply from last year, Nomura Global Economics said.

Chinese electric vehicle maker Xpeng is accelerating deliveries after resuming double-shift production in mid-May at its plant in the southern city of Zhaoqing, company chairman He Xiaopeng told analysts this week.

Tesla also added a second shift to its Shanghai plant on Thursday, heading to 2,600 cars a day, according to someone familiar with the matter.