The global growth of electric cars has continued to rise over the past year, increasing by 20% over 2024. Worldwide, 20.7 million EVs were sold, constituting nearly 23% of all light vehicle sales.
China had the bulk of EV sales, with 12.9 million sold, an increase of 17% over the previous year. Europe saw 4.3 million, an increase of 33%. Only North America, with 1.8 million EVs sold, had lowered numbers year-over-year, by 4%. This was primarily a result of the elimination of federal tax credits and the introduction of protectionist policies aimed at moving vehicle production and supply chains onshore.
Looking forward, the US EV market is expected to remain weak this year because of the lack of consumer incentives, the negative influence of the current administration, and the scaling back of investments in electrification by most domestic automakers in light of the current governmental situation.
The Chinese market for EVs continues to grow, driven by intense domestic competition, aggressive pricing, and expanded model availability. The rest of world saw 48% growth in EVs compared with 2024.
There will continue to be more choices in electric vehicles over the next few years including ones with greater range and styles to suit a variety of preferences. The current political climate presents headwinds for the electrification of vehicles as the oil industry continues to wield significant influence. But the global transition to electric vehicles will continue.
