Europeans Still Love Their EVs

Happy Monday! It's October 5, 2026, and this is The Morning Shift — your daily roundup of the top automotive headlines from around the world, in one place. This is where you'll find the most important stories that are shaping the way Americans drive and get around.

In this morning's edition we're looking at EV sales in the EU, as well as GMC's push for higher trims and higher prices. We'll also look at Britain's new best-selling vehicle, and the country's response to such an upset. 

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The United States is giving up on electric cars, renewables as a whole, and the general idea of a habitable planet past the year 2028 or so. Europe, however, is not following in our footsteps. Instead, the bloc is buying ever more EVs — a shift that, ironically, our war on Iran is only accelerating. From Reuters:

Europe's uptake of electric vehicles is gaining momentum, with record sales so far this year driven ​by a slew of affordable models coming onto ‌the market to bring carmakers in line with EU targets, according to a study.

* EV sales across the EU reached record volumes ​in 2026, with 1.64 million sold in the January-to-August ​period, up 45% year-on-year, Brussels-based environmental advocacy group ⁠Transport & Environment found in its EV progress report published ​on Monday.
* EVs made up 22% of the market during ​this period, six points higher than the same period last year, according to the report.

Europe is moving to EVs not just due to the cost of fuel or a desire for breathable air, but the bare economics of car-buying. The continent is getting more and more cheap EVs, and the economics of sticking to internal combustion just don't make sense — gas cars need oil changes, frequent brake work, and all manner of mechanical repairs. EVs are far closer to solid-state. 

As purchasing power becomes more and more severe an issue, automakers are watching the bottom fall out of the new-car market: Folks that would have bought entry-level cars are instead turning to the used market, which means they count for jack squat to OEMs. Thus, carmakers are prioritizing profits over volume, which means more high-dollar models that rake in cash from more affluent types. From Automotive News:

Premium Denali and off-road AT4 models now account for half of GMC's sales, helping to drive the brand's profitability as General Motors prioritizes high-margin trims over volume — even as its lead over Toyota as America's top-selling automaker shrinks.

The popularity of the Denali and AT4 trims helped push retail sales of the Sierra 1500 pickup to an all-time high in the third quarter. And GMC's average transaction price — more than $66,000 in Cox Automotive data for July and August — now tops that of numerous luxury brands, including Audi, Lexus and Volvo.

Moving forward, GMC says it sees a path to "sustained growth" by clearly aiming its subbrands at premium buyers and off-road enthusiasts, helping to generate profitable sales despite the industry's affordability problem.

GMC is one example of this, but it's happening across the industry. Even Aston Martin, a high-dollar automaker, is putting more and more resources into limited-run supercars for the ultra-wealthy — an elevated version of what's happening here with pickup trucks. I will say, though, I had a GMC Denali press loaner recently and it was without exaggeration the worst vehicle I've ever driven for Jalopnik. If the company wants to rake in luxury cash, it's going to need to make some changes. 

Brits are loving the new wave of Chinese cars, for one simple reason: They offer the same level of fit and finish as the more established brands, but for the pricing one would expect from upstarts still looking to prove themselves. Everybody wins! From the Wall Street Journal:

The Jaecoo 7, made by China's Chery Automobile, was Britain's bestselling vehicle in September, an important sales month in the U.K. In the first half of 2026, almost every sixth car sold in Britain bore a Chinese brand, according to Schmidt Automotive Research, a higher proportion than in any other European country except Norway.

Britain's vehicle imports from China have almost doubled this year compared with the same period in 2025. Only Russia and Brazil—developing economies that mostly buy cheaper models—have imported more. Cratering sales in China, the world's largest car market, have encouraged its manufacturers to look for growth overseas.

Turns out, offering more for the money works as a sales strategy. Who would've thought? As the proud owner of a kitchen knife made by a Japanese knifemaker who was at the time still proving himself (and whose work has since skyrocketed in price), I understand exactly why these Brits are buying from less-established Chinese competitors. They're not charging Range Rover money, but they're offering Range Rover quality — if not better. 

The powers that be in the U.K., however, are less enthused about these cheap-yet-good cars. Spurred on by all the imports, British authorities are now looking to tariff cars from China — at least the electric ones. From Reuters: 

Britain is considering imposing tariffs on Chinese electric vehicle imports amid concerns that ​Beijing is flooding the market with state-subsidised cars, the Times ‌newspaper reported on Sunday.

Business minister Jonathan Reynolds is drawing up a package of potential tariffs on Chinese vehicle imports, the report said, citing concerns that ​Chinese manufacturers are "dumping" subsidised vehicles into Britain.

Of course, the cars that are actually eating into British brand sales aren't all electric (the Jaecoo J7 above can be had in gas or hybrid trims only, with no pure-electric version offered), but what difference does that make? Instituting tariffs on a scary and new technology like EVs is easier to sell to your constituents. 

He just might have what it takes to make it big in this business. 

Remain calm! All is well!

I don't like this whole "cost of living" thing.