According to Reuters, data released by research firm Rho Motion on January 14 indicates that global sales of fully electric vehicles (EVs) and plug-in hybrid vehicles (PHEVs) grew by 25% year-on-year in 2024, surpassing 17 million units. This growth was driven primarily by sustained EV sales increases in China and stabilizing sales in Europe.
In December 2024, global sales of EVs and PHEVs reached 1.9 million units, a year-on-year increase of 25.6%, despite a slowdown in growth for the second consecutive month, according to Rho Motion.
Regionally, China led the way, with December EV sales jumping 36.5% year-on-year to 1.3 million units, contributing to a total of 11 million units sold in 2024. In the United States and Canada, December EV sales rose by 8.8% to 190,000 units. Europe recorded 310,000 units, a modest year-on-year increase of 0.7%, while other regions saw a 26.4% year-on-year increase in EV sales.
Rho Motion noted that incentives and carbon emission targets fueled China's EV sales growth and helped the United Kingdom overtake Germany in 2024 as Europe's largest market for fully electric vehicles.
Automakers view 2025 as a pivotal year for industry reforms, with China's EV growth slowing, Europe setting new carbon emission targets, and the potential for U.S. policy shifts under the next President, Donald Trump.
In a report, Rho Motion stated: "Germany's removal of EV subsidies had a devastating impact on the entire European market. If the U.S. follows suit, we could see similar consequences."
The European Union imposed tariffs on Chinese-made EVs in late October, but Rho Motion data manager Charles Lester told Reuters in November that sales of major Chinese-made EV models in the EU showed no significant decline.
A document submitted by the EU last week revealed that automakers facing stricter EU carbon emission regulations for 2025 are planning to purchase carbon credits from EV manufacturers like Tesla and Polestar to avoid heavy penalties.
Meanwhile, China extended its vehicle trade-in subsidy program to 2025 as part of efforts to stimulate economic growth and promote EV adoption.
