Toyota has lost the leadership of the volume midsize SUV segment after experiencing severe supply issues with the RAV4. Toyota's loss is Skoda's gain as the Kodiaq finished the first quarter as Europe's No. 1-selling midsize SUV.
The segment is one of Europe's the most diverse in terms of powertrain mix, with full-electric variants growing to take the largest share at 40 percent, according to figures from market analysts Dataforce.
However, gasoline and diesel sales also increased in the first quarter, while those of hybrid and plug-in hybrid slipped.
Segment sales grew 15 percent in the three months to 148,628, topped by the Kodiaq at 21,408.
The overall market share of the segment in Europe is relatively small at 4.6 percent, according to Dataforce. However, the segment's importance outweighs its share because volume brands often chose to launch larger, more globally relevant electric SUVs in advance of Europe-specific models.
Examples include the Toyota bZ4X, which sold 3,596 in the three months, and the Nissan Ariya with sales of 2,240. Both had a slow start due to production issues, finishing outside the top 10 for the quarter.
The global popularity of the segment means non-European brands will often build models outside the region, for example, the Nissan X-Trail, Hyundai Santa Fe, Ford Mustang Mach-E and Toyota RAV4.
Toyota topped the segment in 2022, but sales of the RAV4, available as a hybrid and plug-in hybrid, fell by 43 percent on supply issues to record 13,429 in the first quarter, placing it third behind the Kodiaq and the full-electric Volkswagen ID4.
"This is supply-related only," a Toyota spokesperson told Automotive News Europe. "We are experiencing global high demand for the car that we just can't keep up with."
Customers looking to order the RAV4 in the UK are told on the website that Toyota has "sold out of the current model."
Toyota's supply problems are responsible for much of the decline in hybrid and plug-in hybrid sales in the segment, but that trend could reverse as rivals join Toyota in offering gasoline-electric alternatives.
The Nissan X-Trail finished the first quarter in 10th place with 5,740 sales, of which 5,072 were its e-Power hybrid version.
In the summer, Renault will begin sales of the hybrid Espace, now a three-row version of the Austral SUV after Renault switched the model from a minivan to an SUV.
The Espace shares the same Renault-Nissan Alliance's CMF-C/D platform as the X-Trail, and measures 4722 mm long.
Meanwhile, Mazda topped plug-hybrid sales in the sector with the new CX-60, which overtook the RAV4 to record 5,492 units, making up almost half the 11,334 PHEV total for the three months.
The plug-in hybrid share right now is the lowest of any drivetrain in the segment at 7.6 percent, with sales down 8.8 percent. That also should change this year after Skoda adds a plug-in hybrid version of the next-generation Kodiaq, which launches in the autumn.
At a recent event outlining Skoda's electric future, Skoda CEO Klaus Zellmer hinted at a range approaching 100 km (62 miles) for the plug-in hybrid, giving it more ability to reduce CO2 emissions.
"They will be in demand if we have the right package. A reasonable electric range of 100 km or more gives you a real advantage," he said without revealing the exact range of the next Kodiaq. "I think it's an important bridge technology."
Skoda also sells the full-electric Enyaq iV in the segment, but despite both it and the Kodiaq sharing the same classification there's little cross-shopping between the two.
"Kodiaq customers do not decide between the Kodiaq and Enyaq iV. You either want to buy electric or a combustion engine and you don't compare," Skoda head of sales and marketing Martin Jahn said at the same event.
Jahn revealed that about 40 percent of sales for the Kodiaq are the high-spec performance RS version.
Skoda has recently rolled out an entry 50 version of the Enyaq iV with a smaller 55-kilowatt-hour battery in select markets such as Germany to bring the starting price below 40,000 euros.
The move was partly in response to Tesla's price cuts in January, Jahn said. Tesla is classed as a premium brand by Automotive News Europe but after its price cuts its top-selling Model Y is more aligned to volume rivals, including the Enyaq iV.
Prior to launching the 50-kWh version, the Enyaq iV started at 48,900 euros in Germany for the long-range 80-kWh version, compared with 44,890 euros for the entry Model Y. Tesla sold 71,827 Model Ys in the first three months, eclipsing every other midsize SUV, premium or volume during the period.
Tesla's price cuts have coincided with a fall in sales among volume full-electric midsize SUVs, suggesting the U.S. brand is poaching customers.
Sales of the Ford Mustang Mach-E dropped 40 percent in the first three months to push it out of the top 10, while those of the Hyundai Ioniq 5 fell 17 percent. The related Kia EV6, meanwhile, saw volumes fall 12 percent.
Volkswagen on the other hand grew sales of the ID4 by 55 percent in the same period to take second place with 17,027 units. The brand also added the ID5 midsize crossover coupe.
Skoda, meanwhile, boosted sales of the Enyaq iV by 20 percent. Skoda is also planning sales of a larger seven-seat electric SUV, code-named Space, with planned launch date around 2025.
Arriving sooner -- in 2024 -- is the Cupra Tavascan, also on the VW Group MEB platform, and offering a coupe-styled SUV shape to sit alongside the ID5 and Skoda Enyaq Coupe iV.
