The global electric vehicle (EV) market experienced a record-breaking year in 2024, with sales of battery electric vehicles (BEVs) and plug-in hybrids surging 25% to reach 17.1 million units, according to Rho Motion. December marked the fourth consecutive month of record sales, with over 1.9 million units sold globally, a 5% increase from November.
China led the charge, with EV sales soaring 40% to 11 million units, driven by significant government incentives and subsidies for EV manufacturers. North America also saw growth, with sales climbing 9% to 1.8 million units. This was supported by policy changes, including new plans from incoming U.S. President Donald Trump to reduce vehicle tax credits.
Europe, however, struggled to keep pace. Sales across the EU, the European Free Trade Association (EFTA), and the UK declined by 3% to 3 million units. The reduction of government tax breaks, particularly in Germany, contributed to the downturn. As a result, the UK surpassed Germany to become Europe’s largest BEV market last year.
Charles Lester, data manager at Rho Motion, highlighted the regional disparities in EV growth:
“After the record-breaking year in 2023 for EV sales, we entered 2024 with some optimism about the market despite headwinds. While overall the global market has boomed, growing by a quarter over the year, the regional disparities have also grown. Europe’s market has shrunk 3% and China’s has grown by 40%.”
He added:
“What is clear is that government carrots and sticks are working. In North America, the 9% growth can mostly be attributed to consumer subsidies and over in the UK, the ZEV mandate has highly incentivised manufacturers to push their low-emission cars. Meanwhile, the removal of subsidies in Germany had a devastating impact on the whole European market. If the US follows suit, we may see the same there.”
Corporate and fleet orders have also played a significant role in recent EV sales. UK telecom giant BT announced a large fleet order of 3,500 EVs, aiming to reach nearly 8,000 electric vehicles by 2026. Meanwhile, Amazon placed its largest-ever order of electric trucks, acquiring over 200 eActros 600 trucks from Mercedes-Benz Trucks for its European transport network.
Andreas Marschner, Vice President of Amazon Worldwide Operations Sustainability, stated:
“This order of more than 200 electric trucks underlines our commitment to being a leader in electrifying heavy goods transportation in Europe.”
