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Global Electric Car Sales Surge 27% as China Leads the Charge

Global Electric Car Sales Surge 27% as China Leads the Charge
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The global shift toward electric mobility accelerated in 2025, with sales of electric cars climbing 27% year-on-year to over 10 million units by July.

China continues to dominate the market, while Europe shows mixed growth and the US faces challenges due to shrinking incentives.

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The global shift toward electric mobility accelerated in 2025, with sales of electric cars climbing 27% year-on-year to over 10 million units by July.

China continues to dominate the market, while Europe shows mixed growth and the US faces challenges due to shrinking incentives.

Worldwide EV Sales Hit 10.7 Million

From January to July 2025, global electric car sales reached 10.7 million units, up 27% compared to the same period in 2024. July alone saw 1.6 million EVs sold worldwide.

China Maintains Market Dominance

China accounted for 60% of all battery electric vehicle (BEV) sales globally, selling 6.5 million EVs so far this year—a 30% increase over 2024.

Price Wars and Incentives Boost Chinese Market

Despite month-to-month fluctuations, China’s EV sales have been fueled by fierce competition among local manufacturers and government-backed purchase incentives. A new incentive round is expected in October.

Plug-In Hybrids Lag Behind in China

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While plug-in hybrid electric vehicles (PHEVs) grew 14% in China during 2025, BEVs still dominate the market. PHEV sales fell 10% in July compared to the same month last year.

US Faces Slow Growth Amid Policy Changes

In North America, EV sales grew just 2% to one million units. Planned cuts to federal purchase incentives under the Inflation Reduction Act are expected to slow adoption further.

Tariffs Push Automakers Toward Combustion Models

Donald Trump’s tariff policies have led some manufacturers to focus more on petrol and diesel cars to maintain profitability.

Europe’s Mixed Performance

The UK and Germany posted strong EV sales growth of 43% and 32%, respectively, while France saw an 11% decline, prompting the government to relaunch an EV leasing scheme for low-income households.

Southern Europe Ramps Up Adoption

Spain’s EV sales surged 83.8% so far this year, while Italy recorded a 40% increase and narrowed the gap with larger markets.

Rest of the World Shows Strong Gains

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Beyond the major markets, EV sales in other regions reached 900,000 units in the first seven months of 2025, a 42% increase year-on-year.

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