Absence of Chinese EV competition could mean higher prices, reduced demand

Despite positive overall results for new car registrations in the first half of 2024, there are worrying signs of slowing growth, according to JATO Dynamics first-half analysis of new passenger car registrations in 28 European countries

Registrations increased by just 4.4% from January to June, rising from 6,559,213 units in H1 2023 to 6,847,842 units in H1 2024.

Felipe Munoz, global analyst at JATO Dynamics, said: “Europe's growth is becoming more moderate and remains far from pre-pandemic levels. This is due to a more complex operating environment, including stricter emissions regulations, rising vehicle prices, and challenges in electric vehicle (EV) adoption.

“Since the semiconductor shortage, EVs have been the main growth driver. It is crucial for the industry to address uncertainties in the EV market, such as the impact of EU tariffs on imported electric cars from China on vehicle affordability.”

Growth in Chinese EVs