The wave of affordable electric cars is boosting consumer choice: sales of models under 25,000 euros will increase sevenfold

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Electric car choice is expanding rapidly thanks to the EU’s clean car targets, but weakening targets for 2030-35 would put affordable models and Europe’s position in the global electric vehicle race at risk.

European drivers are gaining access to a rapidly expanding range of more affordable electric cars, shielding drivers from Europe’s costly dependence on oil. T&E’s latest EV progress report shows EU car CO₂ Targets are being met as electric car sales hit record levels in the first half of 2026. Sales of models with a starting price of less than €25,000 will increase seven-fold in 2026 compared to 2024. T&E warns that weakening regulation would halt the rise of small, affordable electric vehicles and compromise the ability of European carmakers to compete in the global electric vehicle race.

The report shows that regulation is offering and bringing affordable models to the market. Almost 40 new electric models were launched in the first half of 2026, bringing the number of mass-market BEVs to more than 150. Around 60 new models are expected to be launched by the end of 2026. This is almost 4 times more than the average of 15 new models per year during the period 2021-2025. At the same time, consumer appetite for electric models starting at less than 25,000 euros is finally addressed by doubling the number of available models. As a result, sales of electric models starting at less than 25,000 euros will increase 7-fold in 2026 compared to 2024.

Lucien Mathieu, head of automobiles at T&E, said: “European drivers are finally seeing more of the smaller, more affordable electric cars they have been waiting for. The oil crisis has further fueled European consumers’ rush for small, affordable electric cars. The VW ID. Polo sold out quickly, with more than 40,000 orders and a 10-month waiting list. European carmakers complained about a lack of demand for a long time. Now we can see clearly: the problem was not the demand, but what they had to offer Consumer appetite for small, affordable electric cars proves automakers’ claims wrong.”

The report shows that electric cars also offer lower running costs and protection from rapidly rising fuel prices. The oil price crisis has cost EU road users €53 billion. In mid-September, filling a 50-liter tank of diesel costs 30 euros more than before the Iran war. Switching to an electric car at the beginning of the crisis would have saved around 350 euros in running costs by mid-September.

The combination of a wave of new electric models and high energy prices is driving electric car sales in the EU to record levels in 2026. A total of 1.64 million battery electric vehicles (BEVs) were sold between January and August, 45% more than in the same period last year. BEVs outsold gasoline cars for a full quarter for the first time in the second quarter of 2026, reaching a share of 22%. All European car manufacturers are expected to meet the targets for 2025-2027, which are the driver of the new wave of electric car models. During the fixed target period between 2021 and 2024, manufacturers had limited incentives to introduce affordable models.

Lucien Mathieu said: “The EU’s car targets are expanding consumer choice, reducing the cost of electricity and giving European manufacturers the chance to compete in the global electric vehicle race. Weakening the 2030 target now would choke off affordable models by almost three-quarters just as they are hitting the market and lock millions of people across Europe into a debilitating dependence on oil.”

T&E press release. Read the full report.