Cars with an electrified engine are tipped to account for just under ********** of the global market by 2025. It is estimated that pure battery electric vehicles will account for about *** percent of worldwide car sales. Internal combustion engines are set to lose market share It is expected that the market share of conventional internal combustion engines will shrink to about ** percent by 2050, while electric vehicles are projected to account for ***** out of ten vehicle sales. Growth in pure battery electric vehicles’ market share shows consumer preference set on fully electric cars. Overall, rising popularity of electrified vehicles could prove vital in carbon dioxide mitigation. Electrified vehicles include cars that may use an electric motor when less power is needed and the main engine could be switched off. Electrified vehicles are increasingly becoming more competitive Hybrids have been preferred over battery electric vehicles due to the much larger range of fuel propelled vehicles, but enhanced battery technology of electric vehicle range continues to narrow this gap. Batteries are now also able to power larger cars such as SUVs, enabling new demographics to be targeted.

It is estimated that 2024 saw plug-in electric light vehicle (PEV) sales of around 17.5 million units. The Chinese market picked up steam after a period of slowdown in 2020, as vehicle manufacturing and demand were at a standstill due to the COVID-19 pandemic. Meanwhile, electric vehicle sales in some of Europe's five largest markets surged in 2024. Electric car sales growth Global automobile production dropped significantly with the pandemic, with millions of jobs in the industry at risk globally. Later in the year, when lockdowns were lifted, demand for new cars bounced back, but the automotive semiconductor shortage impacted supply. Despite these issues, the electric car market experienced a record year, with an increase of over three million in global electric car sales, and notable market share growth. A present task for the future Many governments put forward green stimulus packages during the pandemic, many of which were directed towards supporting the automotive industry and securing jobs in the sector, with an emphasis on the clean transition. In China, the full new energy vehicle (NEV) subsidy program phase-out was postponed from the end of 2020 to the end of 2022. However, these investments are starting to be rolled back. In Germany, the largest car market in Europe, electric vehicle subsidies abruptly stopped at the end of 2023, following in the footsteps of countries like Norway, which have also moved away from subsidies.

In 2024, the BMW-Group sold a total of around ******* fully electric passenger cars (BEV). The number therefore increased by around **** percent compared to the previous year. Out of all car sales, electric vehicles accounted for around **** percent.

BYD overtook Tesla as the best-selling electric vehicle brand in 2022 and maintained its position in the ranking through 2024. That year, BYD sold nearly *** million plug-in electric vehicles globally. Tesla and Wuling completed the top three brands that year, with Tesla reporting some **** million sales. BYD is also the leading manufacturer of electric vehicles in China, based on sales. European brands charge ahead in electric car sales With Europe-based brands Volkswagen, BMW, and Mercedes all impressively ranked in the plug-in electric vehicle (PEV) market, there is no doubt that Europe's incumbent automakers are ready to zoom past rivals when it comes to electric mobility. Volatility in the market has, however, come to light in 2020 following the coronavirus outbreak, as international auto sales contracted by around ** percent and plummeted to around ** million units. The global automotive chip shortage, accelerated by the pandemic, further contributed to challenges in the market throughout 2021 and 2022. The European electric vehicle market has been growing through these challenges, with plug-in electric vehicle sales representing nearly ** percent of the 2024 European passenger car sales. Fueling a green future With climate change still a hot topic of conversation across the globe, the adoption of fuel-cell electric vehicles (FCEV), which emit only water vapor into the environment, as well as hybrids, plug-in hybrids, and battery electric vehicles is becoming ever more enticing. Green transportation-related patent applications worldwide represented close to a quarter of all green patents filed in 2020.

In the fourth quarter of 2024, over ******* battery-electric vehicles were sold in the United States. This was a year-over-year increase of around **** percent compared to the sales recorded in the fourth quarter of 2023. The fourth quarter of 2024 also recorded a hike in sales compared to the third quarter of that same year, making it the best quarter for BEV sales in the country across the past two years. Global EV Race - Where does the U.S. stand? Over the last few years, consumers have perceived Electric Vehicles (EVs) as a far more appealing option due to their increased range, battery life, variety of models, and affordability. Therefore, the EV market has grown fast in recent years and is forecast to expand to *** trillion U.S. dollars in 2029. Though the global demand for electric cars has been escalating, American sales lag behind Europe and the Asia-Pacific regions. In 2023, Chinese customers bought around *** million plug-in EVs, considerably more than American customers' purchases,around *** million that year. China is the leader of the global EV race, with a substantial ** percent growth in sales year-on-year in 2023. However, given the market share of electric vehicles in the global automotive industry, this still can be anyone's race. Outlook of the U.S. market There is still a lack of interest in electric vehicles among American buyers compared to European and Asian consumers. In the first quarter of 2021, the share of the battery electric vehicle was **** percentage points more in Norway than in the U.S.. One of the main reasons is that American consumers still anticipate that EVs are more expensive than gasoline vehicles and diesel internal combustion engine cars (ICE). This perception is partially true in the U.S. since the battery production market is highly concentrated in Asia, where the companies have logistical advantages, leading automotive makers to offer better prices. On the other hand, high licensing fees for electric vehicles are another factor affecting the consumption behaviors of automobile purchasers. In many states, the licensing fees for electric cars are considerably higher than their ICE counterparts. EV licensing fees were around *** U.S. dollars compared to ** U.S. dollars for standard vehicles in Georgia in 2021. Together, these factors significantly impact the individual perception of electric cars in the United States.

Until 2020, medium cars were the most popular segment within the battery-electric vehicle (BEV) market. Around 41 percent of all-electric cars sold worldwide in 2020 were medium-sized vehicles. By 2023, sport-utility vehicles had become the best-selling segment, amounting to 45 percent of all BEV global sales.

Electric vehicles amounted to around 16.7 percent of global passenger car sales in 2023, which was a rise of around 3.1 percentage points year-over-year. Electric vehicle sales have rapidly increased since 2017, when they rose above one percent of the market, and have particularly accelerated since 2020. Many consumers started looking for more sustainable transportation methods amid the COVID-19 pandemic due to increased environmental consciousness. This contributed to the EV market expansion worldwide. A market driven by innovation Various factors contribute to the rapid growth of the electric vehicle market, including consumer perception, governmental targets, and investments in technological innovation. Regional institutions and national governments are committing to policies supporting electric vehicle adoption worldwide, with around 97 percent of the light-duty vehicle market comprising countries with these policies. Governmental spending on electric cars reached around 45 billion current U.S. dollars in 2022, the steepest increase recorded in the past five years, and global automakers are also allocating part of their revenue toward research and development expenses. Challenges and opportunities for EV charging Electric vehicle charging was the second technology type receiving the most early and growth-stage venture capital investments in 2023, above electric vars and electric two-wheelers. In 2023, there were around 11 electric vehicles per charging point worldwide, and access to this infrastructure was unequal, with China boasting the largest electric vehicle supply equipment network. Slow chargers, typically alternating current, were also the most common charging type, creating opportunities for the development of fast charging across the globe.

Battery-electric vehicle sales reached an estimated 10.8 million in 2024, up from around 10 million in 2023. BEV sales have soared due a number of factors, including an increased consumer interest in more sustainable transport and governmental regulations to curb direct transport emissions. In 2021, these sales more than doubled compared to 2020, and 2024 marks a new record in all-electric sales volume.

In 2024, Mercedes-Benz sold a total of ******* fully electric cars (BEV), which represents a decrease of approximately **** percent compared to the previous year. Out of all car sales, electric cars accounted for around *** percent, which is a decrease compared to the previous year.

In 2021, the Volkswagen Group recorded just under ******* electric vehicle sales worldwide, almost ** percent more than its 2020 sales volume. The manufacturer's electric vehicle sales had been steadily increasing since the introduction of its e-Golf model in 2013, the first Volkswagen electric car produced in high volume. In 2021, the ID.4 was amongst the best selling plug-in electric models worldwide.

In 2024, the Volkswagen Ag delivered a total of ******* electric cars worldwide, which was the second-highest number during this timeframe. Figures fell by around *** percent compared to the previous year. Therefore, electric car deliveries now account for approximately *** percent of all car deliveries. As of 2024, Volkswagen was still the leading European company based on revenue.

In 2021, Stellantis recorded just over ******* plug-in electric vehicle sales worldwide. This was over double its 2020 numbers. Formed out of the merger of the PSA Group and Fiat Chrysler Automobiles, Stellantis announced plans in July 2021 to invest around ** billion euros through 2025 in electrification and software.

The Tesla Model Y was the world’s most popular plug-in electric vehicle with worldwide unit sales of roughly *** million in 2024. That year, deliveries of Tesla's Model 3 and Model Y stood at around **** million. Competition increases in electric vehicle manufacturing While *** out of the **** best-selling plug-in electric vehicle (PEV) models were Tesla-branded, the battery electric vehicle manufacturer faced competition from Asian brands in 2022. China-based BYD overtook Tesla as the best-selling PEV brand that year, relying on a large offering of plug-in hybrid electric models. BYD has since maintained its position as market leader through 2024. No European models made it to the top ten that year. Technology drives automotive electrification Electric vehicles are growing in popularity. Consumers have become more interested in plug-in electric vehicles following important technological developments. Technology has significantly increased the range of electric vehicles and public charging infrastructure, meaning that plug-in vehicles are becoming more accessible and practical. However, while technological advances have contributed to the success of the market, the lack of public awareness surrounding electric vehicles, the lack of charging infrastructure and concerns surrounding the cost of battery replacement could lower demand.

With close to ******* plug-in electric vehicles sold in 2021, General Motors more than doubled its 2020 electric vehicle sales. In 2021, the manufacturer stated its intent to produce more than ** new electric vehicle models by 2025.

There were about 58.1 million electric vehicles in operation worldwide in 2024. That year, all-electric vehicles accounted for about 67.2 percent of plug-in electric vehicles. Electric vehicle market growth Globally, electric vehicle sales soared to approximately 17.3 million units in 2024. While conventional vehicle sales slumped amid the outbreak of the coronavirus pandemic, the market share of electric vehicles increased to between four and five percent in 2020, and has been rising ever since. China was the market with the largest battery-electric vehicle fleet in 2024, accounting for around 23 million of the world's battery-electric vehicle population. Manufacturers leading the Chinese market Leading the Chinese battery-electric vehicle market in 2023 was domestic manufacturer BYD. The company has been acknowledged for its innovation in battery technology. BYD also began manufacturing vehicles in foreign countries in 2015. Tesla. BYD's main competitor on the global market, was the second most popular BEV manufacturer in China.

In 2024, ****** units of electric cars were sold in Indonesia, marking a sharp increase of over ** percent compared to the sales volume in the previous year. Since the government announced in 2022 that battery-based electric cars would be subsidized, EV sales have jumped significantly. This subsidy officially started in April 2023.

In the fourth quarter of 2024, the Tesla Model Y was the best-selling battery-electric vehicle in the United States, soaring in sales since the fourth quarter of 2020. Tesla dominated the market, with ***** of the **** leading BEV models being from the brand that quarter. The Model Y was also among the best-selling cars in the United States in 2024, all powertrains included.

European countries tended to have the highest ratio of electric cars per 1,000 inhabitants as of 2020, with Norway leading the ranking at around **. Norway dwarfed all other countries, including Iceland and other small markets. By contrast, large countries such as the United States and China had a ratio of *** and *****, respectively. The electric vehicle market The European Union aims to decrease its carbon emissions by ** percent by 2030 to reach climate neutrality by 2050. With the push for decarbonization by national governments, automakers are expected to be penalized if they fail to meet the limits that are being set out. Electric passenger cars are projected to represent more than ** percent of car sales worldwide in 2050. In 2019, around **** million battery-electric cars were sold worldwide. One of the barriers to the sale of electric cars, however, remains limited accessibility to charging infrastructure. As of 2020, China recorded the largest amount of fast charging points, dwarfing all other countries. Leading manufacturers In 2020, Tesla was the leading electric vehicle automaker, recording sales of just under ******* plug-in electric vehicles, the majority of which were Model 3 units. Strong demand for Model 3 cars helped the company record over **** billion U.S. dollars in revenue that same year. Tesla also offers the vehicle with the longest range as of 2021, the Tesla Model S Long Range, which offers *** miles of autonomy. Its main competitor, Ford’s Mustang Mach-E, recorded a maximum range of *** miles.

Some *** million battery electric vehicles were sold in Europe in 2021, according to data provided by EV-Volumes. This was an increase of ** percent compared to battery electric vehicle sales in the region in 2020. Overall, the volume of battery electric vehicles sold worldwide has been steadily increasing between 2016 and 2021.

In December 2024, over ***** battery-electric vehicles were sold in Mexico. Sales in July 2024 were the highest on recent record, an increase over double the sales volume recorded in July 2023. Electric vehicles worldwide From 2015 to 2023, global plug-in electric light vehicle sales have risen significantly. Battery electric vehicles have also seen sizable growth in sales, though at a slightly slower rate than plug-in EVs. As electric cars evolve from the hybrid model to less gasoline-dependent models, the market value of smart grid technology worldwide is predicted to more than double from 2022 to 2028. Market growth in Latin America Though the electric vehicle industry continues to expand in Latin America, the region currently has the lowest smart grid market value, just behind the Middle East and Africa. Within Latin America, the number of registered electric and hybrid vehicles has rapidly risen in Colombia as well as in Brazil, where the market's growth has been comparatively steady. As Mexico builds its charging infrastructure for plug-in electric vehicles, hybrids have been a more popular choice for customers seeking a petrol-saving alternative to the conventional automobile.