According to the IEA’s 2025 outlook, EV sales increased by 35% in Q1 and are expected to reach 20 million by the end of the year, driven by China and emerging markets.
The International Council on Clean Transportation reports that EVs in Europe now pay off their carbon debt after roughly 11,000 miles (18,000 km).
Data indicates that the global transition to electric vehicles is still firmly on track, despite the fact that detractors point to indications of diminishing demand.
This is supported by the International Energy Agency’s (IEA) Global EV Outlook 2025, which reports record-breaking growth in all international markets.
Strong start to 2025 for EV sales
Global EV sales for the first quarter of 2025 are up 35% over the same period in 2024.
In just the first three months, sales surpassed 4 million devices, with China accounting for almost 2.5 million of those deliveries.
More than 17 million EVs were sold worldwide in 2024, accounting for more than 20% of all new automobile sales worldwide.
According to IEA Executive Director Fatih Birol, “our data shows that, despite significant uncertainties, electric cars remain on a strong growth trajectory globally.”
“Sales are breaking records, which has significant ramifications for the global auto sector.”
We anticipate that around one in four cars sold globally this year will be electric, with growth picking up speed in several emerging economies.”
“As EVs become more reasonably priced, it is expected to be more than two out of five cars by the end of this decade.”
This increase is a result of both BEVs and PHEVs.
By the end of 2025, it is anticipated that these categories would account for over 25% of new car sales worldwide.
Adoption trends for EVs by region
The adoption of EVs is still dominated by China.
In 2024, over half of all automobile sales were electric, and by 2025, they are predicted to make up 60% of all new car sales.
China sold about 11 million EVs in 2024, surpassing the total number of EVs sold worldwide in 2022.
In China, ten percent of automobiles are now electric.
This is due in part to a robust domestic market, falling battery prices, and government incentives.
Additionally, almost 70% of the world’s EV production is done in China.
Despite various policy uncertainty, the United States is growing steadily.
In 2025, EV sales are expected to increase by almost 10%, preserving a double-digit market share.
Thanks to state-level incentives and a growing selection of models, over one in ten newly sold automobiles are now electric.
There are notable increases in emerging markets.
The advent of less expensive Chinese EVs has aided in the adoption of EVs across Southeast Asia and Latin America.
In 2024, EV sales in emerging markets increased by over 60% to over 600,000 units, which is comparable to the volume in Europe in 2019.
Last year, Brazil’s EV sales more than doubled to 125,000, gaining 6% of the market.
Sales in Southeast Asia increased by about 50%, with Thailand and Vietnam driving the increase.
Currently, 10% of cars sold in Southeast Asia are electric.
EVs may account for a quarter of the market by 2030, with two- and three-wheelers making up almost one in three automobiles.
Sales of EVs have doubled across Africa, especially in Egypt and Morocco, but they still account for less than 1% of all automobile sales.
75% of the growth in EV sales in these non-Chinese regions in 2024 was attributable to Chinese EV imports.
Obstacles to a broader EV transition
Due in part to the elimination of purchase subsidies, EV sales in Europe have somewhat stabilised.
Regulatory goals and infrastructure development, however, are still very high.
EVs still account for 20–25% of sales of new cars. It is anticipated that new CO₂ rules that go into force in 2025 would revitalise demand.
When it comes to EV infrastructure and legislation, nations like the UK, Norway, and Denmark continue to lead.
The region is headed towards a target of around 60% EV sales by 2030 as a result of the European Union and the UK shortly requiring increasing percentages of zero-emission vehicle sales.
By 2030, nearly one in three automobiles in China and nearly one in five in the US and EU are expected to be electric, according to current policy settings alone, says Fatih.
“This change will have significant effects on the energy sector as well as the automotive industry.”
However, affordability remains a problem.
BEVs are still 20–30% more expensive than their gasoline-powered counterparts in both Europe and the US.
Even while battery prices are declining, many drivers with lesser incomes still find the cost difference to be too great.
Access to charging is another issue.
Rural regions and urban apartments without private charging stations continue to lag behind in terms of infrastructural development.
Trade and supply difficulties are also a concern.
Costs and availability may be impacted by trade regulations, fluctuating material prices, and tariffs on Chinese EVs.
The IEA has also expressed concerns about PHEVs’ actual emissions.
Their environmental benefit may be far less than test results indicate if they are not charged on a regular basis.
Despite these obstacles, by 2030, electric vehicles are expected to reduce the world’s oil use by almost five million barrels per day, with China accounting for half of those reductions.