Will electric cars become the majority in Europe by 2028?

The fastest and most pronounced shift to electric vehicles will occur on the Old Continent.

With steady growth, the share of electric vehicles in the European market is currently around 10%. There is no doubt that this will continue to increase significantly, driven by the growing interest in new models and increasingly strict automotive regulations.

According to the financial consulting firm Alix Partners, electric vehicles will even become the majority in Europe in the relatively near future. The shift will occur in 2028, with that year seeing 55% market share for electric models. By 2035, combustion engines would account for only 15% of sales on the Old Continent.

A Legislative Framework Favorable to Electric Vehicles

It is important to recall that the European Union aims to ban the sale of thermal cars by 2035. If the measure is adopted — discussions are ongoing — non-electric cars would only be allowed in countries outside the European Union.

Alix Partners estimates that the transition will be somewhat slower in other parts of the world. By 2035, the share of electric vehicles would reach 62% in North America and 64% in China.

These changes come at a significant cost to the automotive sector. By 2026, total investments in electric vehicles since their emergence will have reached 526 billion dollars. “The transition from internal combustion engines to electric vehicles will cost the industry 70 billion dollars by 2030, but proactive management of the transition could allow the industry to save 40 to 60% of that amount,” adds Laurent Petizon, CEO of Alix Partners France.

A Difficult Year in 2022 for the Auto Market

In the short term, Alix Partners estimates that the automotive market will experience a challenging 2022. Globally, approximately 79 million vehicles are expected to be registered, a decrease of 11 million units compared to 2021. In France, the year is expected to close with around 2 million sales, compared to 2.7 million recorded in 2019.

Read also: How does an electric car work?