Britain's electric car boom could support German manufacturing sites

Image: Audi (illustrative)

In the UK, Germany’s largest market for car exports, electric vehicles are gaining importance. Demand for vehicles with internal combustion engines, on the other hand, is declining sharply. A new analysis by the Initiative Klimaneutrales Deutschland (IKND) shows that those who want to remain successful in this key market must meet the demand for electric drives. German production sites such as the VW plants in Emden and Zwickau, which are at risk of closure, could benefit from this trend.

The British automotive market is changing: According to the analysis, electric vehicles accounted for a quarter of all new car registrations in the first half of 2026. Within seven years, the share of battery-electric vehicles in Germany’s total car exports to Britain rose from nearly 0 to over 40 percent. During the same period, exports of gasoline vehicles dropped by 62 percent, while those of diesel vehicles fell by 93 percent.

"The example of the UK shows how quickly important export markets in Europe are changing for Germany. For the German automotive industry, this mainly presents an opportunity: Those who meet the growing demand for electric vehicles with suitable models can secure their position in key foreign markets. This could open up new prospects, especially for production sites like Emden and Zwickau that are currently not fully utilized," says Adrien Pagano, transport policy expert at IKND.

Successful electric models produced in Germany are already established in the UK. These include vehicles from factories in Emden, Zwickau, Munich, and Ingolstadt.

Political frameworks are further accelerating this transformation. The UK government currently plans to ban the registration of new pure gasoline and diesel vehicles starting in 2030. By 2035, hybrid vehicles are also set to be banned from registration.

At the same time, the UK market is heavily influenced by corporate fleets. In 2024, around 82 percent of all new battery electric cars were registered for commercial use. According to IKND, German manufacturers particularly benefit from this, as they are strong in the mid- to high-end segments.

An analysis of the export data from the Federal Motor Transport Authority shows that the UK is not an exception. In other key markets for German manufacturers as well, the share of electric vehicles is rising significantly—for example, to 28 percent in France and 36 percent in Belgium. “The UK thus exemplifies an international trend in which electric vehicles gain market share while combustion engine vehicles lose importance,” say the study’s authors.

Also interesting

About the author

Thomas Langenbucher is an expert in electromobility with experience in the automotive and financial industries. Since 2011, he has been covering electric cars, sustainable technologies, and mobility solutions for ecomento.de. Learn more.

Reader interactions