BYD and Jaecoo delve into Europe’s new PHEV market
17 March 2026
Europe’s electric vehicle (EV) market continued a trend of double-digit growth at the start of 2026. As plug-in hybrid (PHEV) sales soared, two Chinese brands enjoyed success in the region. Tom Hooker, Autovista24 journalist, breaks down the figures.
Both battery-electric vehicle (BEVs) and PHEV sales enjoyed a strong start to 2026 in Europe, following a record-breaking 2025.
PHEVs recorded a 33.5% increase to 101,548 deliveries in January, according to EV Volumes. This was the first time the technology surpassed six-digit sales figures in the first month of the year. The result was in stark contrast to the PHEV market’s global performance, as it endured a 20.6% decline in the same period.
Yet this was still some way behind the 188,752-unit total accrued by BEVs. However, this did represent smaller growth of 12.7%. Combining the two technologies, overall EV sales in Europe grew by 19.2% in January to 290,300 units.
PHEVs’ share of Europe’s EV market increased to 35% in the month, up 3.8 percentage points (pp) year on year. In turn, BEVs took a 65% hold, down from 68.8%.
BYD and Jaecoo’s PHEV success
Two Chinese models shot out of the starting blocks in January, topping Europe’s PHEV market. First was the BYD Seal U, the continent’s 2025 best-seller. Second was the Jaecoo J7, which placed ninth in last year’s PHEV rankings.
The BYD SUV recorded 6,713 sales, giving it its third consecutive monthly first-place finish. Its total was up 261.9% from 12 months earlier, as its share rose 4.2pp to 6.6%.
Jaecoo’s J7 followed with 4,166 deliveries. The model has become a strong contender in the European PHEV market after deliveries began taking off in February 2025. Its share stood at 4.1% in January 2026, 0.5pp ahead of the nearest challenger.
Contrasting European PHEV fortunes
The Volvo XC60 was the first of three European models vying to shine domestically. The SUV led the sector 12 months ago, however, it started 2026 with a 26.4% sales decline. This equated to 3,619 units, handing it a 3.6% share, down from 6.5%.
Behind was the Volkswagen (VW) Tiguan, which took second place behind the BYD Seal U last year. Yet the Tiguan started 2026 with a 1.2% drop to 3,547 deliveries. Amid increasing competition, the PHEV’s share of overall volumes fell by 1.2 pp to 3.5%.
However, not all European PHEVs suffered a decline in January. The Mercedes-Benz GLC saw sales rise 75.9% to 3,475 units, securing fifth. It captured 3.4% of the market, up 0.8pp year on year.
PHEV shares slip
The Ford Kuga landed sixth with 3,089 sales. This represented a 4.6% increase on 12 months prior. Even so, its share slipped by 0.9pp to 3%. Seventh was the Hyundai Tucson after a 18% improvement to 2,806 deliveries. The SUV also suffered from increased competition, with its share falling by 0.3pp to 2.8%.
A similar story could be seen in eighth. The Toyota C-HR saw its slice of the PHEV market drop from 3.6% to 2.7%. Its volumes were stagnant from January 2025, down 1.3% to 2,726 units. Conversely, sales of the BMW X3 soared by 47.2%, ensuring a ninth-place finish. Its 2,697-unit total translated to a 2.7% share, up 0.3pp year on year.
The VW Golf came 10th, with an even greater increase of 81.2% to 2,558 sales. It made up 2.5% of total PHEV volumes, up 0.6pp from January 2025. The hatchback was the only non-SUV present in the PHEV top 10.
SUVs were not far off from filling out January’s top 10. Just seven units behind the VW Golf sat the BMW X1, followed by three further SUVs. This highlights how the body type is dominating PHEV sales in Europe.
Skoda’s strong start to 2026
Europe’s BEV best-sellers list featured a more diverse range of body types. Yet an SUV still led the way, as the Skoda Elroq returned to first place. 2025’s second-place finisher posted 8,146 sales in January. This gave the all-electric model a 4.3% share of Europe’s BEV market.
The combined deliveries of the Renault 5 and the Alpine A290 narrowly missed out on victory. Just 45 units behind the lead, the duo’s 8,101-unit total was up 75.5%, as its share soared from 2.8% to 4.3%.
Last year’s best-selling BEV in Europe, the Tesla Model Y, took third. Its 7,130 deliveries were up 21.2% compared to 12 months prior.
The crossover made up 3.8% of all-electric volumes, a 0.3pp improvement from January 2025. This was a good result considering its typical delivery pattern is weighted towards the end of the quarter.
Slowing sales for VW models
In fourth, the Skoda Enyaq was some way back from the leading trio. Its 5,475 deliveries were down 18.4% year on year, as its share slipped 1.1pp to 2.9%. The VW ID.3 was 70 units behind as its sales stagnated. The BEV recorded 5,405 units in January, down 0.3%. In turn, its hold fell by 0.3pp to 2.9%.
VW’s other ID models suffered poor results. The ID.7 managed sixth with 4,735 new models leaving dealerships. This translated to a 19.6% slump, while its share went from 3.5% to 2.5%.
The ID.4, which led the market 12 months previously, sat seventh in January 2026. It endured a 33.2% drop in sales to 4,541 units. The all-electric model took a 2.4% share, down 1.7pp year on year.
VW was not the only German brand to see declining deliveries. The BMW iX1 landed eighth after a 1.6% fall to 4,042 units. Meanwhile, the Audi Q4 e-tron suffered a greater drop of 12.1% to 4,002 sales. Both models recorded a 2.1% share, down from 2.5% and 2.7%, respectively.
The Citroen e-C3 took 10th with 3,671 deliveries. This was a 20.5% increase on 12 months prior, while its hold saw a marginal 0.1pp uptick to 1.9%. The Audi Q6 e-tron was 31 units back, narrowly missing out on making January’s top 10 table.
