Europe Used Car Market Analysis Report, Trends, and Outlook to 2026

Market Overview

The Europe Used Car Market was valued at USD 65.1 Billion in 2025 and is forecast to reach USD 93.8 Billion by 2034. This market is expected to grow at a CAGR of 4.15% during the forecast period 2026-2034. Growth is driven mainly by the rising demand for affordable vehicle ownership, expansion of online sales platforms, availability of certified pre-owned cars, production supply chain disruptions, and increased consumer focus on sustainability.

Study Assumption Years

• Base Year: 2025
• Historical Year/Period: 2020-2025
• Forecast Year/Period: 2026-2034

Europe Used Car Market Key Takeaways

• The Europe used car market size was USD 65.1 Billion in 2025.
• The market is expected to grow at a CAGR of 4.15% between 2026-2034.
• Market size is projected to reach USD 93.8 Billion by 2034.
• Growing consumer demand for affordable mobility solutions drives market expansion.
• Economic challenges such as inflation and rising living costs encourage buyers to prefer pre-owned vehicles.
• Technological advances in online retail platforms enhance accessibility, transparency, and customer satisfaction.
• Sustainability concerns increase consumer preference for used cars, extending vehicle lifespans.

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Market Growth Factors

The market for used cars in Europe is mainly driven by consumer demand for low-cost mobility, with inflation and rising living costs resulting in many buyers considering used cars as an alternative to new ones. For example, the composition of the European Union's consumer price index rose from 2.1% in September to 2.3% in October. Demand may also be driven by the fact that certified pre-owned programs increase demand for used cars because they come with warranties and thorough inspection of the vehicle.

The growth of online used car service platforms, allowing clients to use technology to obtain more information about both the prices of the vehicles and their history as well as acquiring financing options is helping the market grow. In November 2024, AUTO1 Group SE opened its 500th drop-off location in Jena, Germany, showing that the market in Europe is slowly adapting to tools helpful for buyers and sellers.

Concerns about sustainability also grow this market because consumers interested in a reduction of their carbon footprint are more likely to buy used cars. Legislation such as the April 2024 European Parliament law that emits CO2 from heavy-duty vehicles supports this trend, as it favors vehicles that emit less. Certified second-hand low-emission vehicles are available with warranties, battery technology improves, and electric vehicle charging infrastructure improves, which made the second-hand car market particularly relevant to Europe's climate goals.

Market Segmentation

By Vehicle Type:

• Hatchbacks: Valued for compact design, fuel efficiency, and versatility; popular among urban buyers and small families for ease of maneuverability and affordability.
• Sedan: Known for comfort, style, and spacious interiors; preferred by individuals, families, and business professionals seeking premium features.
• Sports Utility Vehicle (SUV): Fast-growing segment favored for robust build, spacious interiors, off-road capabilities, and versatility; includes compact and crossover SUVs.

By Vendor Type:

• Organized: Includes certified pre-owned programs, dealerships, and online platforms with verified vehicle histories, warranties, and financing; focus on professionalism and customer satisfaction.
• Unorganized: Consists of private sellers, small dealers, and informal networks offering lower prices but less transparency and guarantees; remains relevant especially in rural areas.

By Fuel Type:

• Gasoline: Dominant segment due to availability, lower initial cost, smoother performance, and suitability for urban driving; also benefits from certification and improved fuel efficiency.
• Diesel: Significant share due to fuel efficiency and durability; preferred for long-distance and heavy use but affected by emission regulations.

By Sales Channel:

• Online: Rapidly growing driven by convenience and transparency; includes virtual showrooms, financing, home delivery, AI-driven recommendations, and digital payments.
• Offline: Traditional dealerships, auctions, and private sellers; important for test drives and face-to-face negotiations; remains relevant among traditional buyers.

Regional Insights

Germany emerges as the dominant region in the Europe used car market. It benefits from a robust automotive sector, high vehicle turnover, and strong export activity. Popular brands like BMW, Mercedes-Benz, and Volkswagen support demand, alongside certified dealerships and online platforms enhancing transparency. Increasing digital adoption further consolidates Germany's leadership as a key market for used cars in Europe.

Recent Developments & News

In April 2024, Monaco-Occasions, a Monaco-based secondhand car website, held its first Special Days event at the Grimaldi Forum. The event showcased premium pre-owned cars from luxury brands including Ferrari, Bentley, and Rolls-Royce, offering customers the chance to explore high-end vehicles with exclusive deals and services in a prestigious venue.

In October 2024, AUTO1 Group SE launched its AUTO1 financing solution in Belgium and the Netherlands, enabling partner dealers to acquire vehicles without upfront equity. This digital financing platform streamlines vehicle purchasing with rapid approval, integrated logistics, and a fully digital buying experience, improving dealer accessibility and efficiency.

Key Players

• Lookers Plc
• Emil Frey AG
• Autorola Group Holding
• Pendragon Plc
• AUTO1.com
• AMAG Automobil und Motoren AG
• Bernard
• Chopard Lallier
• Cosmobilis/BymyCar
• Eden Auto
• Gueudet
• Van Mossel
• Yutong

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