Uplifting BEV result accelerates new-car market growth in Spain

03 April 2025 Read next Painful petrol performance in France amid hybrid growth 02 April 2025 Read next Monthly Market Update: Used-car sales pick up speed in March 01 April 2025 Read next How many EV batteries were produced globally in 2024? 31 March 2025 As other major European markets faltered, Spain continued its growth streak across the first quarter of 2025. Electrified powertrains, including battery-electric vehicles (BEVs), drove the improvement. Tom Hooker, Autovista24 journalist, analyses the data. A total of 116,725 new cars took to Spanish roads in March, an increase of 23.1% year on year. This equated to a gain of 21,885 units. This was Spain’s seventh consecutive month of growth and marked its highest monthly volume total since July 2020. The latest data from ANFAC shows that the new-car market improved by 14.1% in the first quarter, with 279,368 registrations. Last month’s surge ensured this double-digit growth, after increases of 5.3% in January and 11% in February. However, the market’s improvement has been aided by a later Easter, with the holiday period falling in April. Last year, it occurred in March. ‘It should be borne in mind that the calendar effect allows us to account for one more working day than in March last year, a circumstance that favours the comparison and allows us to narrow the gap with respect to pre-pandemic levels,’ explained Tania Puche, director of communication at Spanish dealership association GANVAM. The positive performance in the year to date contrasts with other major European markets. France saw deliveries slump by 7.8% from January to March, Germany dropped by 4.3% and Italy declined by 1.6%. However, Spain remains firmly behind these three markets in terms of total volume. ‘We closed the first quarter of the year with a significant increase of 14%, which was also affected by the 15,025 cars that have been purchased to replace those damaged by the DANA in the province of Valencia [at the end of last year],’ commented director of communication and marketing at ANFAC, Félix García. BEVs soar in Spain BEV registrations soared by 92.7% in Spain last month, reaching a total of 8,101 deliveries, according to Autovista24 calculations. This was nearly double its total from March 2024 and made it the best-performing major powertrain in terms of percentage growth. The technology took a 6.9% market share in the month, up 2.5 percentage points (pp). In the first quarter, BEV deliveries surged by 68.8% to 19,225 units. This equated to an increase of 7,839 units. So far this year, all-electric vehicles recorded the biggest volume growth each month across all major powertrains. The technology accounted for 6.9% of overall volumes in the first quarter, an improvement from its 4.6% share of 12 months prior. PHEVs follow suit Plug-in hybrids (PHEVs) also had a positive month. Registrations of the powertrain rose by 50.6% in March, reaching 8,369 units, according to Autovista24 calculations. The gap between PHEVs and BEVs has narrowed, with the all-electric powertrain now just 268 units behind. In March 2024, BEVs trailed the technology by 1,356 deliveries. PHEVs made up 7.2% of the market last month, up 1.3pp year on year. Across the first three months of 2025, deliveries of the powertrain grew by 30.7% to 20,512 units. The technology has managed double-digit growth in every month so far this year. The smallest growth was recorded in January at 14.5%. PHEVs took a 7.3% share in the quarter, up from 6.4% in the same period last year. Combining PHEV and BEV deliveries, the electric vehicle (EV) market jumped 68.7% in March, with 16,470 units. Plug-in models represented 14.1% of overall new-car volumes. This was an increase of 3.8pp compared to 12 months prior, according to Autovista24 calculations. In the year to date, EV registrations rose by 46.7%, reaching 39,737 sales. This equated to a gain of 12,651 units year on year. The technology captured 14.2% of the market from January to March, up from an 11.1% share. Spain moves EVs forward The Spanish EV market may get a registration boost this year, as the MOVES III programme was retroactively extended to the end of the year, effective from 1 January 2025. It provides individuals with a subsidy of €7,000 when purchasing a BEV, PHEV or hydrogen fuel-cell vehicle. ‘We appreciate the effort made by the government to renew the MOVES plan throughout 2025 retroactively. We believe that there will be a significant stimulus to demand,’ stated García. However, the full incentive amount is only available when scrapping a vehicle over 10 years old, according to Euro Weekly News. Without scrapping, the subsidy drops to €5,500. Meanwhile, PHEVs with an electric range of 30km to 90km are still eligible for up to €5,000. ‘The expected retroactive reactivation of MOVES is good news to maintain market momentum in the coming months, although it is necessary to implement a national direct aid plan to facilitate access for all incomes to efficient vehicles and contribute to renewing a vehicle fleet that does not stop ageing,’ noted Puche. The programme officially ran out at the end of last year, after being launched in 2021. With the previous structure, some individuals had to wait up to two years to receive the grant,  as reported by electrive. The Spanish government has contributed a further €400 million to the scheme, raising the total funds of the incentive to over €1.7 million. Tax break extended Furthermore, the tax break for EVs will be extended. A 15% personal income tax reduction of up to €20,000 is available when buying a plug-in model, according to electrive. ‘The renewal of the MOVES Plan and the 15% deduction in personal income tax on the purchase of EVs comes at a key moment to maintain the dynamism of the market seen in this first quarter and, above all, to provide certainty to the end customer,’ said Raúl Morales, communication director of Faconauto. ‘With a budget of €400 million, the plan offers the necessary security framework to boost demand. From dealerships, we were already detecting a 50% drop in orders for electrified vehicles because of the lack of visibility on the subsidies. Therefore, this renewal is excellent news for both consumers and the sector as a whole,’ he continued. Hybrids lead Spain Hybrids continued to comfortably lead Spain’s new-car market in March. The technology posted a 44.8% increase in deliveries, with 49,095 models taking to the country’s roads. This represented an additional 15,192 units registered compared to one year ago, according to Autovista24 calculations. This improvement alone made up 69.4% of the overall new-car market’s unit gain compared to March 2024. Hybrids accounted for 42.1% of total volumes, surging 6.4pp and putting it a considerable distance ahead of all other powertrains. ‘It is practically no longer news that hybrids are the most chosen,’ highlighted García. Deliveries of the powertrain grew by 36.6% in the first quarter, with 121,559 registrations. This was a 32,576-unit increase on 12 months ago and almost matched the overall market’s year-on-year gain. Hybrids captured 43.5% of the new-car market in the first quarter, up from a 36.3% share recorded one year ago. Adding hybrids to the EV figures, the electrified market dominated Spain. The powertrain grouping saw sales improve by 50.2% in March, capturing 56.2% of the total market. This was an increase of 10.2pp year on year. Across the first three months of 2025, electrified deliveries rose by 39%, equating to a gain of 45,226 registrations. The powertrain grouping made up 57.7% of overall volumes, up from a 47.4% share during the same period last year. Diesel down in the dumps Diesel was Spain’s worst-performing major powertrain in March, both in terms of volume and percentage decline. Sales of the fuel type slumped by 28.4% in the month, with 6,151 units, according to Autovista24 calculations. This gave it a 5.3% market share, a drop of 3.8pp year on year. In the first quarter, diesel deliveries declined by 33.3%, with 16,276 sales. Despite the slump, March was the powertrain’s best performance so far this year, after drops of 34.1% in January and 37.7% in February. Diesel-powered cars captured 5.8% of total registrations, down from 10%. Petrol suffers in Spain Petrol also suffered a double-digit decrease last month. The fuel type saw 38,461 units delivered in March, a decline of 4.8% compared to 12 months prior. The powertrain took a 33% market share, a drop of 9.6pp on March 2024. Across the first three months of the year, petrol-powered car deliveries fell by 9.6%, with 87,763 sales. March saved the fuel type from an overall double-digit decline, after drops of 11% in January and 14.3% in February. This figure was 33,796 deliveries behind hybrids’ total. One year ago, petrol led the technology by 8,074 units in the first quarter. This shows the development the market has made in the last 12 months. Petrol-powered cars made up 31.4% of overall volumes, down 8.2pp from the same period in 2024. This was also 12.1pp behind hybrids. Combining petrol and diesel deliveries, the internal combustion engine (ICE) market fell by 9% in March, according to Autovista24 calculations. This represented 38.2% of the total market, down from its 51.7% share recorded one year ago. In the year to date, the powertrain grouping saw registrations decrease by 14.3%. This equated to a loss of 17,415 units. ICE cars took a 37.2% market share, down 11.8pp year on year. This was also 22.4pp behind the electrified result. During the same period in 2024, ICE models matched the powertrain grouping’s share.

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