China sees strong sales of PHEV since 2023
- While sales of plug-in hybrids (PHEVs) have been stagnating in Europe and the USA since 2023, sales in China have been rising sharply since 2021, and even more strongly since 2023. In May 2024, PHEV market share in China reached 18%, compared to 14% in March 2024, 11% in September 2023, 8% in March 2023 and 5% in March 2022. It seems that Chinese customers see PHEV models as less expensive than battery electric vehicles (BEVs) and more economical than ICE cars. In fact, the new PHEV customer base is to be found on the thermal car side, since neither BEV nor Full-HEV sales are collapsing in China.
- Customers in Europe are reacting differently, since for some of them, this is the first step towards acquiring a BEV that is more expensive and less practical to use (due to its limited range), while for others, this is a motorisation that is about to be banned in view of the European regulations announced for 2035.
- PHEV market share in large Europe (EU + UK + Switzerland + Norway) fell to less than 7% in May 2024, compared with 8% in January 2024, 9% in October 2023 and 12% in December 2022.
- In the USA, PHEV market share has stagnated at 2% since 2023. In Japan, PHEVs don't even reach this figure, as Japanese customers prefer full-hybrids (Full-HEV). PHEV market share in Japan floats between 1% and 1.5%, and the new Toyota Prius PHEV hasn't changed the trend at all.