The swiss automotive market concluded 2025 with its lowest sales figures in a quarter-century, as consumer hesitancy surrounding evolving vehicle technologies impacted purchasing decisions. A new year-end analysis reveals a shifting landscape for automakers in Switzerland, with established brands facing new competition and fluctuating demand. The report details meaningful declines for diesel and gasoline vehicles alongside a surprising shakeup in brand rankings.
2025 proved to be a mixed year for the Swiss automotive market, with overall sales declining as consumers weigh their options amid shifting technologies. A year-end analysis reveals key winners and losers in a challenging environment.
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Lowest Auto Sales in 25 Years: The Swiss automotive industry is reporting a difficult year overall. A total of 233,737 vehicles were sold in the past year, a decrease of 2.4 percent compared to the previous year. Excluding the period of the COVID-19 pandemic, the Swiss automobile association, Auto Schweiz, reports that the market has reached its lowest level in 25 years. Consumers are adopting a wait-and-see approach, uncertain about which technology will ultimately prevail – electric, hybrid, or internal combustion engines.
Electric Vehicles: After a temporary slowdown, sales of all-electric vehicles are gaining momentum, now accounting for nearly 23 percent of the market. This means that roughly one in five new cars sold in Switzerland last year was electric, representing a 15 percent increase in electric vehicle sales compared to the prior year.
The share of gasoline and diesel vehicles in new car registrations is declining.
Keystone / Christian Beutler
Decline in Diesel and Gasoline Vehicles: Sales of diesel-only vehicles experienced a significant drop, falling 29 percent compared to the previous year, continuing a multi-year decline in market share. Gasoline-powered vehicles also saw a decrease of 20 percent. Hybrid vehicles, which combine different drive technologies – typically electric and gasoline engines – remain the most popular choice.
Tesla’s Sharp Decline: Tesla garnered significant attention throughout the year, with CEO Elon Musk’s controversial political engagement and statements drawing both praise and criticism, and his alignment with newly elected U.S. President Donald Trump. Consequently, the number of officially registered Tesla vehicles in Switzerland decreased by 28 percent. This decline resulted in Tesla falling from 8th to 12th place in the ranking of Switzerland’s largest brands.
December Discounts Boost Numbers: Without the strong sales figures from December, Tesla’s decline would have been even more pronounced. The company registered 1,570 vehicles in December – 25 percent of all vehicles sold this year, and 75 percent more than in December 2024. This surge indicates Tesla’s efforts to improve its year-end results through lower prices and discounts, incentivizing sales, although some vehicles may be registered but not yet delivered. Tesla typically reports higher numbers in the final month of each quarter.
Skoda Rises to Second Place: The ranking of Switzerland’s largest automotive brands saw some shifts. Volkswagen remains at the top, while Skoda moved into second place, displacing BMW. Volvo experienced a setback, falling from sixth to tenth place.
BYD’s entry into the Swiss market in April 2025. How quickly will the Chinese brand gain traction?
Keystone / BYD Schweiz / Ennio Leanza
Emergence of Chinese Brands: Chinese manufacturers, attempting to establish themselves in the market, were particularly noticeable in the lower rankings. BYD, the world’s largest seller of electric vehicles, entered the Swiss market in April 2025 and sold nearly 1,000 vehicles in the country last year, representing a market share of 0.4 percent. MG, originally a British brand now owned by the Chinese SAIC Motor Corporation, was one of the biggest winners, with nearly 3,700 cars sold and a market share of 1.6 percent.
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