Europe’s EV transition signals Australia’s direction

EVs reach 17.4% of EU car market
Battery-electric vehicles accounted for 17.4% of new car registrations in the EU in 2025, up from 13.6% in 2024, with 1.88 million EVs registered across the bloc. Hybrid vehicles remain the largest segment at 34.5%, while petrol and diesel combined fell to 35.5% of the market.

Source: https://www.acea.auto/

Why this matters for Australia

Europe often signals the direction of the global vehicle market. As EVs reach 17.4% of new car sales in the EU, manufacturers are accelerating the shift to electric platforms and reducing investment in petrol models. This affects vehicle supply, pricing and model availability in export markets such as Australia.

Australia is earlier in the transition. EVs account for roughly 9–10% of new car sales, but the same global production pipelines serve both markets. As Europe moves faster, more EV models and technology flow into Australia, while internal combustion options gradually decline.

In practical terms, Europe’s shift signals what Australia’s vehicle market is likely to look like within the next few years. It also shapes infrastructure planning, fleet procurement and policy settings needed to support the transition.

One implication is network operation readiness, which is covered in a recent Austroads report Project Managed by Eukai: AP-R746-25 | Austroads