Experts are warning of plummeting electric car sales after new data found that registrations of new EVs in the European Union dropped by 12 per cent last month.
Data from the European Automobile Manufacturers Association (ACEA) found that registrations of electric vehicles dropped to 114,308 units.
In some of the most significant vehicle markets across the bloc, Germany saw an enormous 30.6 per cent decline in EV sales, with the Netherlands also experiencing an 11.7 per cent fall.
Overall new car sales in the European Union also fell by three per cent in May compared to the previous year.
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Experts are confident that EV sales will grow after 2025
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The data shows a further 2.6 per cent drop when looking at a wider region including the EU, the UK and the European Free Trade Association (EFTA).
Despite the concerns around falling EV sales, France reported a huge uptick in the number of electric vehicles, with sales jumping by 44.8 per cent.
France has generous grant schemes available to drivers worth €4,000 (£3,375), with a further boost of €3,000 (£2,531) if their yearly household income per member is less than €15,400 (£12,995).
It comes as the European Union placed harsh tariffs on Chinese manufacturers to crack down on the influx of cheaper electric vehicles posing a threat to established brands.
It was confirmed that tariffs would impact all manufacturers including BYD (17.4 per cent), Geely (20 per cent), SAIC (38.1 per cent), other EV brands which cooperated with the investigation (21 per cent) and all other brands that failed to help the EU (38.1 per cent).
Electric vehicle giant Tesla suggested that it was being forced to increase the price of its electric vehicles across Europe given the new tariffs.
In a statement on the Tesla website in Belgium, France, Germany, Hungary and Ireland, the brand said prices for the Model 3 would likely increase from the start of July.
Other brands are likely to be hit by the new tariffs which impact vehicles manufactured in China, regardless of the origin of the company.
According to Transport and Environment, the EV sales slump and market stagnation have been anticipated for a long time, but experts predict that registrations will increase from next year when EU car emissions targets are introduced.
T&E has projected that EVs will have an average market share of around 25 per cent by the end of 2026, up from the current rate of around 13 per cent.
It anticipates that prices will fall once competition increases and drivers have the chance to buy an electric vehicle for cheaper prices.
A statement on the T&E website stated: “Carmakers make a shift towards mass-market affordable EVs as they plan to launch 10 affordable Made-in-Europe EV models in the next couple of years.
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“Calls to dismantle the 2035 100 per cent zero emission car target would lead to a loss of investment and leave the European auto industry less competitive and further behind global rivals.
“Already today, with uncertainty over its 2035 zero-emission car target and a weak industrial policy, Europe is proving less attractive to electric vehicle manufacturers.”
