Statistics confirm this trend: SUVs now account for over half of all new cars sold across Europe. This marks a significant increase from just a few years ago, largely driven by popular crossover models such as the Volkswagen T-Roc and Toyota Yaris Cross.

The shift isn't just in buyer preference, but also in perception. Europeans once mocked Americans for their obsession with SUVs and pickup trucks, but this view has evolved. Europeans no longer view SUVs as fuel-guzzling behemoths; instead, they consider them practical, city-friendly options with broad appeal.

Brands like Volkswagen (VW), Renault, Ford, and Toyota have redefined this segment. They offer compact models with higher ground clearance and a robust appearance, fitting urban environments previously dominated by small hatchbacks.

Toyota Yaris Cross in Belgium. *Photo: Auto Review*

According to an Autonews report, sales data indicates that SUVs held a 41% market share in Europe in 2020. This figure has since risen to 59%. As more buyers opt for SUVs and crossovers, the number of consumers purchasing small hatchbacks or sedans has declined.

In fact, while hatchbacks accounted for 35% of the European market in 2020, their share is projected to drop to 23,9% by 2025, according to the same report. In terms of volume, this represents a sharp decline from 4,2 million units to just 2,9 million units.

Despite the overall decline in sales, a few hatchback models continue to experience strong demand. The Renault Clio, VW Golf, and Dacia Sandero remain popular, with the Sandero specifically predicted to end 2025 as the region's best-selling new car.

Affordability plays a crucial role in the Sandero's success. With a starting price under 13,000 euro (approximately 14,000 USD) in Germany, it has become a top choice for value-conscious buyers. Sales rose from 168,443 units in 2020 to over 225,000 units by November 2024, positioning the Sandero to conclude 2025 as Europe's overall best-selling model for the second consecutive year.

The sedan segment's market share has also decreased, falling from 4,7% in 2020 to just 3,5% in 2025. In 2020, 565,244 sedans were sold, but the total is expected to drop to around 426,000 units once the final 2025 figures are confirmed. The best-selling sedan of 2025 is likely the Tesla Model 3, with 76,079 units, outselling the second-place Mercedes CLA by over 37,300 units.

Romania presents an exception, however, where sedans still account for 15,4% of the new car market, significantly higher than anywhere else in Europe.

The surge in SUV demand has also impacted the wagon segment's market share across Europe. This category's share has fallen from 10,2% five years ago to 7,1% in 2025. Long-favored models such as the Skoda Octavia and VW Passat have been hit hardest, as more buyers choose SUVs over traditional wagons.

Among SUV models, the VW T-Roc was the best-seller in 2025, with 192,245 units. It was followed by the VW Tiguan with 180,683 units, the Toyota Yaris Cross with 174,567 units, the Peugeot 2008 with 160,104 units, and the Dacia Duster, with 157,004 new owners. Other popular models included the Citroen C3, Ford Puma, Kia Sportage, Hyundai Tucson, and Nissan Qashqai.

By My Anh