top of page

Electric Vehicle Sales Set to Surpass 20 Million Globally by 2025

EVHQ

Global sales of electric vehicles (EVs) and plug-in hybrids are projected to exceed 20 million units in 2025, marking a significant milestone in the automotive industry. This surge is primarily driven by China's extension of auto trade-in subsidies and the implementation of stricter emission targets in Europe. As the market evolves, various regions are expected to experience different growth rates, with China leading the charge.

Key Takeaways

  • Global EV sales expected to surpass 20 million units in 2025.

  • China remains the dominant market, with projected sales of 12.9 million EVs.

  • Europe anticipates a 15% growth in EV sales, reaching 3.5 million units.

  • The U.S. market is expected to grow by 16%, despite political uncertainties.

Global Market Overview

The global electric vehicle market is on the brink of a major breakthrough, with research firm Rho Motion forecasting an 18% increase in sales, pushing the total number of EVs sold to over 20 million in 2025. This growth is attributed to several factors:

  1. China's Subsidy Program: The extension of auto trade-in subsidies in China is expected to significantly boost sales, with projections indicating a rise to 12.9 million units.

  2. European Emission Targets: Europe, the second-largest EV market, is set to see a resurgence in sales as new CO2 emission targets come into effect. Analysts predict a 15% increase in sales, reaching approximately 3.5 million units.

  3. U.S. Market Dynamics: Despite a shift in U.S. policy under the Trump administration, the EV market is still expected to grow by 16%. However, long-term forecasts suggest potential declines in battery demand due to policy changes.

Regional Insights

China

  • Projected Sales: 12.9 million EVs, a 17% increase from previous forecasts.

  • Market Share: Chinese-made EVs are expected to dominate not only in China but also in emerging markets, particularly in Latin America, where they captured over 80% of the market share in 2024.

Europe

  • Sales Growth: Anticipated growth of 15% from the previous year, with a focus on launching more affordable models to meet consumer demand.

  • Regulatory Challenges: Carmakers face potential fines of up to €10 billion for failing to meet EU emission targets, despite efforts to purchase credits from EV manufacturers.

United States

  • Sales Forecast: Expected to reach 2.1 million units, reflecting a 16% growth.

  • Political Impact: The uncertainty surrounding new policies may affect long-term growth, with analysts predicting a worst-case scenario of a 47% drop in EV battery demand by 2040.

Conclusion

The electric vehicle market is poised for unprecedented growth in 2025, driven by favorable policies in China, regulatory changes in Europe, and a resilient U.S. market. As manufacturers adapt to these changes, the shift towards electric mobility is expected to continue, paving the way for a more sustainable automotive future.

Sources

  • Global EV sales expected to exceed 20 million in 2025 | News.az, News.Az.

  • EV car sales to top 20 million in 2025, research firm says | Reuters, Reuters.

  • Rho Motion View: Over 20M EVs to be Sold Globally in 2025 - Rho Motion, Rho Motion.

  • Sales of EVs, PHEVs could reach 20 million units in 2025 | Car News | Auto123, Auto123.

  • Electric Vehicle Market Soars: Global Sales to Exceed 20 Million Units - News and Statistics - IndexBox, IndexBox.

3 views0 comments

Comments

Rated 0 out of 5 stars.
No ratings yet

Add a rating
Electric Vehicles HQ Logo

Don't miss the fun.

Thanks for submitting!

bottom of page