About *** million new plug-in hybrid electric cars sales were sold worldwide in 2024. Plug-in hybrid electric vehicle (PHEV) sales accounted for around **** percent of electric vehicle sales in 2024. Meanwhile, battery electric vehicles accounted for most of the global sales that same year.

In 2024, plug-in hybrid electric car sales in China amounted to around *** million units. In comparison, there were approximately ** plug-in electric cars sold in Vietnam in that same year.

Introduction

Electric vehicles (EVs) have seen a remarkable evolution from their early innovations to their current status as a pivotal element in the transportation industry. This document explores the rich history of electric vehicles, focusing on their development through various periods, and provides an overview of the different types of EVs available today. Through data visualizations and analysis, we highlight global EV trends, the growth of EV sales, and the distribution of various powertrain types across regions.

The electric vehicle landscape has evolved significantly, influenced by technological advancements, environmental concerns, and shifting market dynamics. The modern resurgence of EVs reflects a growing recognition of their potential to reshape the transportation industry and drive towards a more sustainable future.

History of Electric Vehicles

The history of electric vehicles is marked by a series of innovations, declines, and revivals, spanning over a century. This section delves into the early history, the impact of the oil crises, and notable electric vehicles like the Sinclair C5.

Early History of Electric Vehicles

Late 19th Century - Early 20th Century

Origins:
Electric vehicles have their roots in the early 19th century. The first practical electric vehicle was built by Scottish inventor Robert Anderson between 1832 and 1839. This early electric carriage was powered by non-rechargeable batteries and laid the groundwork for future developments.

Early 20th Century Market Share:
By the early 1900s, electric vehicles, petrol-powered cars, and steam cars each held significant shares of the market. At this time, electric vehicles were favored for their quiet operation and ease of use compared to the noisy, cumbersome petrol cars.

In 1900, electric vehicles held about one-third of the automotive market. They were popular among urban drivers due to their reliability and the convenience of not requiring manual hand-cranking, as was needed for petrol vehicles.

Decline:
The decline of electric vehicles began with the rise of petrol-powered cars, facilitated by innovations such as the electric starter and mass production techniques introduced by Henry Ford. By the 1920s, the market for electric vehicles had diminished significantly as internal combustion engines became more widespread and infrastructure for petrol vehicles expanded.

The 1970s Oil Crisis and the Revival of Interest in EVs

Oil Crisis

The oil crises of the 1970s, including the 1973 Arab Oil Embargo and the 1979 energy crisis, renewed interest in alternative energy sources like electric vehicles. The sharp increase in oil prices and concerns about energy security highlighted the need for less oil-dependent transportation solutions.

During this period, there was a resurgence in the development of electric vehicles as a means to reduce reliance on fossil fuels and mitigate the impact of future oil shortages.

Early 1970s Efforts

Various automotive manufacturers and research institutions explored electric vehicles during this time. Despite the enthusiasm, many early attempts were constrained by the technology of the era, including limitations in battery performance and range.

Notable Vehicles and Innovations

Sinclair C5 (1985)

Overview:
The Sinclair C5, designed by Sir Clive Sinclair, was an electric vehicle launched in 1985. It was a small, three-wheeled vehicle intended for short trips and urban commuting. The C5 had a top speed of about 15 miles per hour and a range of 20-30 miles on a single charge.

Reception:
Despite its innovative concept, the Sinclair C5 faced criticism for its limited speed, range, and lack of weather protection. It was also deemed unsafe by some due to its low profile and exposure to road hazards. The vehicle was not commercially successful and was discontinued after a brief production period. Nonetheless, it remains an important historical reference in the development of electric vehicles.

Other Notable Early EVs

General Motors EV1 (1996-1999):
The GM EV1 was one of the first mass-produced electric cars of the modern era, introduced in the late 1990s. It was notable for its advanced technology and was designed specifically as an electric vehicle.

The EV1 was praised for its performance and efficiency but faced limitations due to high costs and lack of support infrastructure. GM eventually decided to discontinue the EV1 and retrieve most of the vehicles from customers.

Modern Resurgence

21st Century

The early 2000s marked a resurgence in electric vehicles, driven by advances in battery technology, increasing environmental concerns, and government incentives. Tesla Motors, founded in 2003, played a significant role in popularizing electric vehicles with models like the Tesla Roadster and Model S. Othe...

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.

Snapshot img { margin: 10px !important; } Hybrid Vehicle Market Size 2025-2029

The hybrid vehicle market size is forecast to increase by USD 1440.2 billion, at a CAGR of 35.0% between 2024 and 2029.

The global hybrid vehicle market is advancing in response to stringent emission controls, which mandate lower greenhouse gas emissions and improved fuel efficiency. This regulatory pressure aligns with a growing trend of consumer adoption of green vehicles, fueling innovation in the hybrid electric vehicle (HEV) market. Automakers are focusing on enhancing vehicle electrification by improving powertrain configuration and developing sophisticated emission reduction technologies. The development of the hybrid and electric vehicle integrated drive unit is a key area of focus, aiming to create more compact and efficient systems for a new generation of vehicles, including the expanding hybrid bicycles segment, which require optimized energy management.This market's expansion is tempered by the rising demand for battery electric vehicles and fuel cell electric vehicles, which present a direct competitive challenge. This dynamic forces manufacturers in the hybrid car market to clearly articulate the advantages of hybrid power systems, such as the elimination of range anxiety. Strategic development is concentrated on diversifying offerings, including mild hybrid vehicles and popular crossover vehicles with hybrid options, to appeal to a broader consumer base. Ensuring the reliability of core components like hybrid and electric vehicle fuses is essential for building consumer trust and maintaining a competitive position in an increasingly crowded field of electrified transportation solutions.

What will be the Size of the Hybrid Vehicle Market during the forecast period?

Explore in-depth regional segment analysis with market size data - historical 2019 - 2023 and forecasts 2025-2029 - in the full report.
Request Free SampleThe global hybrid vehicle market is characterized by the continuous evolution of its core technologies, with a significant focus on optimizing powertrain configuration and improving drivetrain efficiency. The interplay between the internal combustion engine and electric propulsion systems is becoming increasingly sophisticated through advanced energy management systems and innovations in automotive battery technology. This ongoing refinement within the hybrid electric vehicle (HEV) market aims to enhance the performance of components like the hybrid and electric vehicle integrated drive unit, ensuring a more seamless and efficient experience.Market dynamics are also heavily influenced by shifting consumer preferences and the competitive landscape, which includes a variety of sustainable transportation solutions. The growth in demand for hybrid crossover vehicles reflects a move toward versatile and fuel-efficient options. Manufacturers are differentiating their offerings with technologies such as mild hybrid vehicles to cater to diverse needs. The development of the hybrid system architecture must also account for competition from zero-emission mobility, pushing for constant innovation to maintain market relevance.

How is this Hybrid Vehicle Industry segmented?

The hybrid vehicle industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD billion" for the period 2025-2029, as well as historical data from 2019 - 2023 for the following segments. Vehicle typePassenger carsLight commercial vehiclesHeavy commercial vehiclesComponentBatteryElectric motorTransmissionOthersPowertrain typeParallel hybridPower-split hybridSeries hybridGeographyAPACChinaJapanIndiaSouth KoreaThailandIndonesiaNorth AmericaUSCanadaMexicoEuropeGermanyUKFranceItalySpainThe NetherlandsMiddle East and AfricaUAESouth AfricaEgyptSouth AmericaBrazilArgentinaChileRest of World (ROW)

By Vehicle Type Insights

The passenger cars segment is estimated to witness significant growth during the forecast period.The passenger cars segment commands the dominant share of the global hybrid vehicle market, a position driven by the sheer volume of this vehicle class within the broader automotive industry. Growth in this segment is primarily sustained by the implementation of stringent emission and fuel economy standards worldwide. Government incentives promoting the purchase and adoption of hybrid technology further bolster demand, making these vehicles a popular choice for consumers seeking to reduce both their environmental impact and fuel expenditures through improved powertrain configuration.The practicality of hybrid passenger cars, especially in congested urban areas, enhances their appeal. Their ability to utilize electricity from the automotive battery during start-stop traffic improves fuel efficiency significantly. The combination of an internal combustion engine and an electric drivetrain provides a balanced solution that mi

The Hybrid Vehicle Market Report is Segmented by Propulsion Type (Hybrid Electric Vehicle (HEV), Plug-In Hybrid (PHEV), and More), Vehicle Type (Passenger Cars, Light Commercial Vehicles, and More), Motor Type (Permanent Magnet Synchronous AC Motor (PMSM), Induction AC Motor, and More), Battery Type (Nickel-Metal Hydride, and More), and Geography. The Market Forecasts are Provided in Terms of Value (USD) and Volume (Units).

Hybrid and electric vehicle manufacturers have soared through the current period as part of increased sustainability initiatives from the government and the public. Hybrid electric vehicles (HEV) and electric vehicles (EV), including plug-in electric vehicles (PEV) and plug-in hybrid electric vehicles (PHEV), have seen a dramatic rise in sales amid elevated oil and gas prices and falling vehicle prices. Automakers have prioritized cost reduction and battery lifespans to potentially attract new buyers. In particular, new government incentives and infrastructure funding have increased the domestic accessibility of electric and hybrid vehicles. Revenue has climbed at a CAGR of 32.6% to $119.2 billion through the current period, including a 1.8% jump in 2025, when profit settled at 2.7%. Concerns over slowing EV adoption, especially given the latest administration's stance on EV spending and sales targets, alongside weak, unprofitable electrification pushes from Big 3 automakers, have constrained profit. The market has faced rapid entry from innovative start-ups and massive automotive conglomerates, testing the hybrid and electric vehicle markets for the first time. This competition has led to notable trade volatility as international manufacturers in Japan, South Korea and Germany have introduced new vehicles, though tax incentives and the latest wave of tariffs will encourage manufacturers to assemble in the United States. Similarly, tariffs have largely eliminated threats from Chinese EV manufacturers, but retaliations threaten to weaken US manufacturers' positions abroad. Supply chain volatility and worker strikes have also posed major threats to profitability, though strengthening hybrid and electric vehicle acceptance has enabled companies to sustain robust returns. Manufacturers will rely on innovation to gain market share, specifically focusing on consumer-facing cost reductions, greater battery distance and lower emissions to improve the accessibility of electric and hybrid vehicles. However, less government funding for innovation, charging installations and other EV-related programs will potentially create significant headwinds, causing EV prices to surge. Companies may struggle to address lower adoption rates in discount markets, instead continuing to double down on luxury markets by pairing vehicles with ADAS and other advanced autonomous systems. Even so, numerous companies are working on proprietary charging technology to open up new revenue streams and make EVs more accessible. Overall, revenue will expand at an estimated CAGR of 11.5% to $205.2 billion, where profit will reach 4.1%.

The mild hybrid vehicles market revenue is projected to reach from USD 117.23 in 2024 to USD 414.46 billion by 2032, growing at a CAGR of 17.1% (2024-2032). North America is expected to grow at a CAGR of 15.75%. -Straits Research
Report Scope:

View monthly updates and historical trends for Hybrid Electric Vehicles (HEV) Total Sales. from United States. Source: Argonne National Laboratory. Track …

Norway was the country with the highest share of passenger cars fitted with hybrid engines sold in Europe. The country has been a leader in Europe for adopting electric vehicles by investing in charging infrastructure. Sweden and Finland completed the top three countries for plug-in hybrid sales in Europe.

Strong growth in developing economies, like the BRICS and ASEAN member nations, has driven revenue for global car dealers despite slowdowns in established economies, like North America and Europe. Developed economies focus largely on value-added car purchases, while emerging markets focus primarily on volume. The transition to SUVs and crossovers with more safety and entertainment features has driven growth; in particular, these models’ surging adoption rates have created numerous growth opportunities in developing economies. Even so, elevated interest rates across many key markets and mixed global consumer sentiment have somewhat constrained post‑pandemic growth. Overall, revenue has expanded at an expected CAGR of 2.2% to $4.3 trillion through the current period, including 1.8% growth in 2025, with profit supported by disciplined pricing and a balanced new‑used‑service mix. Supply chain disruptions lifted vehicle prices and inventory costs, and while semiconductor availability has improved, trim constraints and logistics volatility persist, moderating pricing power as incentives return. Dealers maintained revenue and profit by leaning on certified used, faster‑turning trims and transparent payment tools, while volatile oil markets reinforced demand for fuel‑efficient powertrains. Omnichannel capabilities—digital pricing, instant trade valuations, e‑signing and remote delivery—have reshaped sales, favoring scaled dealership groups over independents. Car dealers will continue to contend with substitutes, even as economic conditions improve and consumer sentiment rebounds through the outlook period. Government incentives and upstream innovations will also spur demand for electric and hybrid vehicles, generating strong per‑unit revenue from dealers, although hybrids are likely to outpace EVs where charging remains uncertain. Even so, slowing EV adoption rates in North America may dampen this segment’s growth potential. Consumer preferences will also continue to trend toward online vehicle shopping, which provides convenience and efficiency to busy consumers, creating greater competition with various online dealers and marketplaces. Overall, revenue is expected to climb at a CAGR of 1.7% to $4.7 trillion through 2030.

The global hybrid and electric vehicle market is booming, projected to reach $1.66 trillion by 2033 at a 25% CAGR. Discover key trends, regional breakdowns, and leading companies driving this explosive growth in HEVs, PHEVs, and EVs.

The global electric and hybrid car market is experiencing robust growth, driven by increasing environmental concerns, stringent government regulations promoting emission reduction, and advancements in battery technology leading to improved vehicle range and performance. The market, estimated at $500 billion in 2025, is projected to experience a Compound Annual Growth Rate (CAGR) of 15% from 2025 to 2033, reaching approximately $1.8 trillion by 2033. Key players like Toyota, Tesla, BMW, Nissan, Chevrolet, Ford, Tata Motors, Volkswagen, Kia, and Hyundai are actively shaping the market landscape through continuous innovation and expansion of their EV and hybrid vehicle portfolios. Government incentives, such as tax credits and subsidies, are further fueling market expansion, particularly in regions with ambitious decarbonization targets like Europe and North America. However, challenges remain, including the high initial cost of electric vehicles, concerns about charging infrastructure availability, and the fluctuating prices of raw materials crucial for battery production. Despite these restraints, the long-term outlook remains positive. The continuous improvement in battery technology, resulting in increased energy density and reduced costs, is expected to make electric vehicles more accessible and appealing to a broader range of consumers. The integration of smart technologies, such as advanced driver-assistance systems and connectivity features, also contributes to the growing attractiveness of electric and hybrid vehicles. Furthermore, the rise of shared mobility services and the development of charging infrastructure are further supporting market growth. The market segmentation, which includes various vehicle types (sedans, SUVs, trucks), battery technologies (lithium-ion, solid-state), and charging infrastructure (fast charging, home charging), plays a critical role in understanding the nuanced growth dynamics within this rapidly evolving sector. This intricate interplay of technological advancements, supportive government policies, and evolving consumer preferences will determine the future trajectory of the electric and hybrid car market.

United States Electric Vehicle Sales: Personal Vehicle: Plug in Hybrid Electric data was reported at 173.500 Unit th in 2021. This records an increase from the previous number of 69.000 Unit th for 2020. United States Electric Vehicle Sales: Personal Vehicle: Plug in Hybrid Electric data is updated yearly, averaging 62.200 Unit th from Dec 2010 (Median) to 2021, with 12 observations. The data reached an all-time high of 173.500 Unit th in 2021 and a record low of 0.300 Unit th in 2010. United States Electric Vehicle Sales: Personal Vehicle: Plug in Hybrid Electric data remains active status in CEIC and is reported by Bureau of Transportation Statistics. The data is categorized under Global Database’s United States – Table US.RA009: Electric Vehicle Sales: Personal Vehicles.

The global electric car market size was valued at USD 178.1 Billion in 2024. Looking forward, IMARC Group estimates the market to reach USD 648.8 Billion by 2033, exhibiting a CAGR of 15.45% from 2025-2033. Asia Pacific currently dominates the market, holding the largest market share in 2024. The electric car market share is increasing due to the rising environmental awareness among consumers, strict emission standards put in place by various governments around the globe, and advancements made in battery technology and charging infrastructure. emissions standards by governments across the globe, and the advancements in battery technology and charging infrastructure are some of the major factors propelling the market.

Explore the impact of a 24% rise in EV sales on the European car market in 2025, highlighting key trends and shifts amidst global uncertainties.

The global market for Hybrid and Electric Vehicles (HEVs and EVs) is poised for substantial expansion, driven by a confluence of environmental consciousness, supportive government policies, and advancements in battery technology. With an estimated market size of $550,000 million and a projected Compound Annual Growth Rate (CAGR) of 15%, this sector is set to reach an impressive valuation of $1,250,000 million by 2033. Key growth drivers include stringent emission regulations across major economies, increasing consumer demand for sustainable transportation solutions, and declining battery costs that are making HEVs and EVs more affordable and competitive with traditional internal combustion engine vehicles. The market is segmented by application into Light Vehicles and Medium- and Heavy-Duty Vehicles, with a significant portion of growth expected from the passenger car segment. Furthermore, the distinction between Hybrid Electric Vehicles and Pure Electric Vehicles highlights the evolving consumer preferences and technological maturity within each category. Emerging markets are also showing increasing adoption rates, contributing to the overall market dynamism. The competitive landscape features a robust presence of established automotive giants and innovative pure-play EV manufacturers. Companies like Tesla, BYD, Toyota, BMW, and Ford are actively investing in research and development, expanding their HEV and EV model lineups, and scaling up production capacities. This intense competition fosters innovation in areas such as battery range, charging infrastructure, and autonomous driving features. Restraints such as the initial high cost of some EV models, limited charging infrastructure in certain regions, and concerns about battery lifespan and replacement costs are being addressed through technological advancements and government incentives. Nevertheless, the overarching trend towards electrification, accelerated by climate change concerns and a desire for reduced reliance on fossil fuels, will continue to propel the HEV and EV market forward, making it a critical segment of the automotive industry for the foreseeable future. This report offers an in-depth analysis of the global Hybrid and Electric Vehicles (HEVs & EVs) market, providing critical insights and forecasts for strategic decision-making. The study encompasses a comprehensive market examination from the historical period of 2019-2024, a base year of 2025, and extends to a detailed forecast period of 2025-2033, with an estimated year of 2025 for immediate market snapshots. We project the market to grow from an estimated XXX million units in 2025 to reach an impressive YYY million units by 2033, demonstrating a significant compound annual growth rate (CAGR).

According to Cognitive Market Research, the global Hybrid and Electric Vehicles market size was USD 272548.6 million in 2024. It will expand at a compound annual growth rate (CAGR) of 9.00% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD 109019.44 million in 2024 and will grow at a compound annual growth rate (CAGR) of 7.2% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 81764.58 million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD 62686.18 million in 2024 and will grow at a compound annual growth rate (CAGR) of 11.0% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD 13627.43 million in 2024 and will grow at a compound annual growth rate (CAGR) of 8.4% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD 5450.97 million in 2024 and will grow at a compound annual growth rate (CAGR) of 8.7% from 2024 to 2031.
The Passenger cars held the highest Hybrid and Electric Vehicles market revenue share in 2024.

Market Dynamics of Hybrid and Electric Vehicles Market

Key Drivers for Hybrid and Electric Vehicles Market

Innovation in battery technology improves performance and range to Increase the Demand Globally

The Hybrid and Electric Vehicles market has experienced growth due to advances in battery chemistry, energy density, and charging speed have made EVs more practical and appealing. As battery costs decrease and efficiency improves, more consumers and manufacturers are adopting these technologies. This surge in adoption supports the growth of the hybrid and electric vehicle market, which is increasingly dominating the automotive industry.

Subsidies and tax breaks promote adoption of green vehicles to Propel Market Growth

The Hybrid and Electric Vehicles market has witnessed steady growth, driven by advancements in technology, such as eco-friendly formulations, enhanced burn rate control, and optimized particle sizes. These innovations have improved performance, reduced environmental impact, and enhanced safety, making Hybrid and Electric Vehicles more efficient and sustainable for various applications, including firearms and ammunition. Additionally, the integration of digital monitoring and precision manufacturing techniques has elevated product quality and consistency, meeting the changing demands of customers and industry standards.

Restraint Factor for the Hybrid and Electric Vehicles Market

Cost of Raw Materials Used in Hybrid and Electric Vehicles Production to Limit the Sales

The Hybrid and Electric Vehicles market is driven by reducing their upfront costs, making them more affordable for consumers. These financial incentives lower the price gap between conventional and electric or hybrid vehicles, encouraging more people to choose environmentally friendly options. Additionally, such incentives stimulate market growth by increasing demand, which can lead to economies of scale and further reductions in costs. As adoption rises, the hybrid and electric vehicle market experiences accelerated expansion and dominance.

Impact of Covid-19 on the Hybrid and Electric Vehicles Market

The Hybrid and Electric Vehicles market has witnessed growth by disrupting supply chains, reducing production, and delaying new model releases. However, the crisis also accelerated the shift toward greener technologies as governments implemented stricter environmental regulations and offered incentives for E.V.s. Consumer interest in sustainable transportation grew, partially driven by increased awareness of environmental issues during lockdowns. Despite short-term setbacks, the pandemic ultimately spurred long-term growth and innovation in the E.V. sector. Introduction of the Hybrid and Electric Vehicles Market

Hybrid and Electric Vehicles Market encompasses the production, sales, and adoption of vehicles powered by alternative energy sources. This market includes hybrid vehicles, which use a combination of gasoline and electric power, and fully electric vehicles (EVs), which rely solely on electricity. Driven by increasing environmental regulations, technological advancements, and consumer demand for sustainable transportation, the HEV mark...

The hybrid and electric vehicle (EV) black box market is experiencing robust growth, driven by increasing adoption of hybrid and electric vehicles globally and stringent regulations mandating in-vehicle data recorders. The market, estimated at $500 million in 2025, is projected to achieve a Compound Annual Growth Rate (CAGR) of 15% from 2025 to 2033. This growth is fueled by several key factors. Firstly, the rising demand for enhanced safety features in vehicles is a major driver, with black boxes providing crucial data for accident reconstruction and investigation. Secondly, the expanding telematics market, leveraging data from black boxes for improved fleet management and insurance risk assessment, contributes significantly to market expansion. Finally, technological advancements leading to more sophisticated black box functionalities, such as advanced driver-assistance system (ADAS) data recording and improved data analytics capabilities, are further accelerating market growth. However, the market faces some challenges. High initial investment costs associated with installing and maintaining black box systems might hinder wider adoption, particularly in developing economies. Furthermore, concerns regarding data privacy and security related to the collection and storage of sensitive driving data need to be addressed effectively to maintain consumer trust and regulatory compliance. Despite these restraints, the long-term outlook for the hybrid and EV black box market remains positive, with continued expansion expected across various geographical regions, driven by the global push towards electric mobility and enhanced road safety initiatives. Key players in this competitive landscape include VDO, Superst, Philips, HP, Garmin, Blackvue, and others, constantly innovating to offer advanced solutions that cater to the evolving needs of the market.