Old Hat: European Sale of Diesel Cars Overtaken by Gasoline for the First Time Since 2009

Matt Posky
by Matt Posky

Diesel-powered passenger vehicle sales have fallen in Europe. Data from the European Automobile Manufacturers Association (ACEA) showed diesel’s year-over-year market share plummeting in the first half of 2017, sinking from 50.2 percent to 46.3 percent of all new car registrations in the EU.

Helped by negative publicity and governmental intervention, it’s the first time diesels have dipped below the 50 percent mark since 2009. ACEA’s figures indicate 152,323 fewer diesel cars sold so far in 2017, attributing some of the decline to a renewed interest in gasoline-powered vehicles. Of course, if you aren’t buying diesel, you don’t have a lot of other options.

Still, deliveries of “alternative” vehicles — which include hybrid, electric, and natural gas-powered automobiles — also rose by more than 35 percent. Those categories now account for 5.2 percent of Europe’s total auto sales.

It’s not terribly surprising. With most German automakers involved in some kind of of diesel emissions investigation over the last few years, the fuel’s image has taken a major PR hit. Meanwhile, electrically-driven cars have been praised as the green solution we’ve all been waiting for.

Hoping to encourage the change, much of Europe has implemented tax breaks for EV adopters. While this is also a common practice in North America, some European countries are taking things a step further with proposed timelines that would essentially ban all sales of internal combustion vehicles by 2040.

France has also been attempting to strip longstanding incentives from diesel sales and Paris has a plan to prohibit diesel-powered cars from entering the city by 2025. Other cities have proposed similar solutions to air quality issues in urban areas.

Despite its large population, Germany is one of the few countries dragging its feet. While its government has proposed similar bans, support for those initiatives remains limited — possibly because of the country’s strong connection to the automotive industry.

While the European shift away from diesels is likely to to reduce soot and NOx emissions from its atmosphere, ACEA warned that more gasoline engines could make it difficult for the region to meet CO2 reduction targets. “Policy makers need to be aware that a sudden shift from diesel technology to petrol will lead to an increase in CO2 emissions, given that the market penetration of alternative powertrains remains low,” explained ACEA secretary general Erik Jonnaert.

“Alternative powertrains will undoubtedly play an increasing role in the transport mix, and all European manufacturers are investing heavily in them,” Jonnaert said in a statement. “To this end, more needs to be done to encourage consumers to buy alternatively-powered vehicles, for instance by putting in place the right incentives and deploying recharging infrastructure across the EU.”

“In the meantime, however, as diesel cars emit significantly less CO2 than equivalent petrol-powered vehicles, they will have to be part of the gradual transition to low-carbon vehicles, acting as a ‘bridge’ technology.

Matt Posky
Matt Posky

A staunch consumer advocate tracking industry trends and regulation. Before joining TTAC, Matt spent a decade working for marketing and research firms based in NYC. Clients included several of the world’s largest automakers, global tire brands, and aftermarket part suppliers. Dissatisfied with the corporate world and resentful of having to wear suits everyday, he pivoted to writing about cars. Since then, that man has become an ardent supporter of the right-to-repair movement, been interviewed on the auto industry by national radio broadcasts, driven more rental cars than anyone ever should, participated in amateur rallying events, and received the requisite minimum training as sanctioned by the SCCA. Handy with a wrench, Matt grew up surrounded by Detroit auto workers and managed to get a pizza delivery job before he was legally eligible. He later found himself driving box trucks through Manhattan, guaranteeing future sympathy for actual truckers. He continues to conduct research pertaining to the automotive sector as an independent contractor and has since moved back to his native Michigan, closer to where the cars are born. A contrarian, Matt claims to prefer understeer — stating that front and all-wheel drive vehicles cater best to his driving style.

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  • Heino Heino on Oct 02, 2017

    The Germans are really worried about the likes of Tesla, and they are also are getting flak from the environmentalists for said foot dragging. Prost!

  • DenverMike DenverMike on Oct 02, 2017

    I'm not gonna tell Europe what to do or anything but their extremely high "fuel tax" still heavily subsidizes sales of new diesel autos. There's no real need to ban diesels. Diesel autos aren't the rational choice, all things equal, for everyday passenger cars anyway. And it's not like F-series would dominate the Euro landscape with US type fuel prices/taxes or anything. But it'd be hilarious if they did.

    • See 3 previous
    • DenverMike DenverMike on Oct 03, 2017

      @Vega What's their average "liters to km" or "performance" once they're banned in Europe?? That doesn't sound very fast/efficient to me... Or when "cheater" diesels are actually forced into actual legit "compliance"??? Either way, European policy makers have blood on their hands. It's catastrophe that didn't have to happen. All they had to do is follow the US EPA model or something similar. Nope they had to set the rules 100% different, the easiest/simplest route, and most revenue generating. How's that worked out for them?

  • Redapple2 I think I ve been in 100 plants. ~ 20 in Mexico. ~10 Europe. Balance usa. About 1/2 nonunion. I supervised UAW skilled trades guys at GM Powertrain for 6 years. I know the answer.PS- you do know GM products - sales weighted - average about 40% USA-Canada Content.
  • Jrhurren Unions and ownership need to work towards the common good together. Shawn Fain is a clown who would love to drive the companies out of business (or offshored) just to claim victory.
  • Redapple2 Tadge will be replaced with a girl. Even thought -today- only 13% of engineer -newly granted BS are female. So, a Tadge level job takes ~~ 25 yrs of experience, I d look at % in 2000. I d bet it was lower. Not higher. 10%. (You cannot believe what % of top jobs at gm are women. @ 10%. Jeez.)
  • Redapple2 .....styling has moved into [s]exotic car territory[/s] tortured over done origami land.  There; I fixed it. C 7 is best looking.
  • TheEndlessEnigma Of course they should unionize. US based automotive production component production and auto assembly plants with unionized memberships produce the highest quality products in the automotive sector. Just look at the high quality products produced by GM, Ford and Chrysler!
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