Is Spain’s new-car market suffering from EV incentive uncertainty?
03 June 2026
A leading light in Europe’s new-car market landscape, Spain, witnessed a rare downturn in May. As electric vehicle (EV) incentives continue to be formalised, is there any cause for concern? Autovista24 content specialist James Roberts assesses the latest data.
Spain’s new-car market recorded a year-on-year decline in May, the first such fall since December 2025. However, the month’s data was compared with a particularly strong performance 12 months prior.
In total, 111,894 new vehicles took to Spanish roads last month. This marked a year-on-year decline of 0.8%, and a deficit of 926 units based on Autovista24 calculations of available Faconauto and ANFAC data.
Despite the relatively small drop in volumes, it is a shift from the sustained monthly improvements recently achieved. As a result, expected challenges could be coming to fruition.
Despite this, across the first five months of the year, the Spanish new-car market remained in positive territory. Overall, 519,283 new passenger cars reached customers according to ANFAC, up 5.8% year on year.
New EV incentive framework delays
Spain’s consistently strong new-car market has been aided by EV incentives. During 2025, the MOVES III programme saw impressive year-on-year volume increases for battery-electric vehicles (BEVs) and plug-in hybrids (PHEVs).
This year has seen the framework replaced with the Auto Plan+, formally announced in December last year. However, despite further clarity in February, this more centralised EV incentive scheme is yet to be formally activated. Although incentives will be retroactively available from 1 January 2026, the full operational announcement is yet to be finalised.
Despite continued EV proliferation in Spain’s new-car market, some industry observers have voiced concern regarding these delays.
‘Spain is betting heavily on electrification,’ stated José López-Tafall, general director of ANFAC. ‘The Auto+ plan should not be delayed any longer, it is a key tool to boost demand and facilitate citizens’ access to electrified mobility.
‘The future of our industry, essential for our country, lies in electrification and if we want to consolidate ourselves as an industrial hub, having a strong market is a fundamental issue. Because, as stated in the Spain Auto 2030 Plan, this is the time to decide if we want to be only a market or, in addition, a strong market backed by a benchmark industrial hub in Europe,’ he added.
BEV demand proves strong
May saw 12,049 new battery-electric vehicles (BEVs) join Spain’s car parc. This marked a 34.4% year-on-year upswing, amounting to 3,084 additional units, according to Autovista24 calculations of the latest industry data.
Despite some uncertainty surrounding the Auto+ plan, May’s BEV total returned a double-digit monthly share. Its 10.8% hold ensured a 2.9 percentage point (pp) lift, compared with 12 months prior.
Between January and May, 48,998 new BEVs reached customers in Spain, a healthy 39.9% year-on-year boost. As a result, the all-electric new-car market share stood at 9.4%. This was a modest year-on-year gain of 2.3pp.
In May, 13,741 new PHEVs were registered in Spain. This equated to the lowest year-on-year growth so far in 2026, with deliveries rising just 6.6%. The additional 845 units helped carve out a 12.3% market share.
Across the first five months of the year, the powertrain’s market share seemingly hit a cul-de-sac of 12%. This was thanks to the registration of 62,388 units, which still marked a sizeable 46.7% year-on-year uplift.
Plug-in market share stagnation?
Despite healthy sales, the plug-in market share of BEV and PHEV volumes proved static in Spain between January and May.
Combined, 111,386 new BEVs and PHEVs joined Spain’s roads in the first five months of 2026. This 43.6% year-on-year surge reflects an increase in electrified model options on the market and incentivisation.
After five months of the year, the technology’s market share stood at 21.5%. Although this marks a positive 5.7pp lift, it was just 0.7pp up on January. This apparent stasis could be a symptom of incentive uncertainty. It remains to be seen whether the expected clarity will help boost the plug-in market share further.
Hybrids continue to electrify Spain
In step with much of Europe’s new-car market, hybrids, consisting of both full and mild-hybrid technologies, remained popular in Spain.
In total, 53,414 new models were registered in May. This equated to a year-on-year lift of 18.7%, plus a 47.7% market hold, which was mirrored in the year-to-date results. Between January and May, hybrid registrations jumped by 19.5% to 247,755 units.
Combining hybrid volumes and the EV total saw a continued lift in the electrified vehicle share in Spain. After five months of the year, this powertrain mix took a 69.2% market share, gaining 11.2pp. This was the result of 359,141 deliveries, up 26.1% year on year.
ICE remains an electrification hurdle
Monthly year-on-year double-digit declines for both new petrol and diesel registrations continued in Spain during May. Despite this, petrol remained the second best-selling new-car option across the first five months of the year.
The fuel type recorded 122,249 registrations, down 20.3% year on year. However, it did retain a 23.5% market share. This made petrol Spain’s second most popular powertrain after hybrids, 14.1pp ahead of BEVs, and 11.5pp above PHEVs.
Meanwhile, diesel sales have continued to nosedive in the same five-month period. Just 20,046 units were accounted for, ensuring a 27.6% year-on-year volume drop, and a market share of just 3.9%, down 1.7pp.
Internal-combustion engines (ICEs), merging petrol and diesel volumes, reached 142,295 between January and May. This 21.4% year-on-year slide contributed to a market share of 27.4%, down 9.5pp.
Despite this established ICE tailspin, the grouping was 5.9pp ahead of plug-in vehicles in Spain’s new-car market. Major questions remain: how long before the deficit is defunct, and can EV incentive clarification expedite this switch?
