Global electric vehicle sales surge, North America lags behind
Global electric vehicle sales are set to rise 25% in the first eight months of 2025, but in North America the increase is just 6%.
According to Rho Motion data, global electric vehicle sales will reach 12.5 million units from January to August 2025, up 25% from the same period in 2024. This figure includes both pure electric vehicles (BEVs) and plug-in hybrid vehicles (PHEVs).
Europe saw an impressive 31% increase, or 2.6 million vehicles. Some of the leading countries were Germany (up 45%), Italy (up 41%) and Spain (up 2%). However, in France, sales fell 6% compared to last year.
China leads but growth slows
China remains the world’s largest market, with 7.6 million electric vehicles sold in the first eight months of the year. However, growth slowed in July and August compared with the strong growth in the same period in 2024, when the Chinese government launched a trade-in subsidy package.
BYD, China's largest electric car maker, is also facing difficulties as profits fall and has had to lower its 2025 sales target to 4.6 million vehicles, 900,000 vehicles lower than the original plan.
North America: Modest growth
In North America, electric vehicle sales rose just 6% in the first eight months of the year, to about 1.3 million units. August saw higher sales as Americans rushed to buy cars to take advantage of the IRS 30D tax incentive, which expires at the end of September.
The market is sluggish due to the Trump administration's restrictive electric vehicle policies, including cutting tax credits for businesses, stopping penalties for automakers that do not meet emissions standards and withdrawing funding for charging infrastructure.
Despite strong growth in the European market, Tesla has not benefited. Its sales in the region fell by 40% in July, despite rivals such as Renault and Stellantis launching many new electric models.
Outlook: Europe and China maintain upward momentum
“Global electric vehicle sales hit a record 12.5 million in eight months, with Europe continuing to grow thanks to emissions policies, while China has slowed down after a strong period of support last year,” said Charles Lester, data expert at Rho Motion.**
Despite slowing growth in North America, global trends show that electric vehicles are still an increasingly popular choice, and supportive policies in Europe and huge demand in China will continue to play a leading role.
