Core Insights - Global sales of electric vehicles (EVs) and plug-in hybrids reached a record high in 2024, totaling 17.1 million units, despite challenges in the market [2][3] - The growth in EV sales was primarily driven by a 40% increase in China, where 11 million units were sold, supported by government incentives and a diverse product range from local manufacturers like BYD [3][4] - In contrast, Europe experienced a mixed performance with overall EV sales exceeding 3 million units but reflecting a 3% decline compared to 2023 due to the removal of subsidies in key markets [7][8] Global Sales Performance - Global electrified vehicle sales surged by 25% in 2024, although this was a slowdown from the 35% growth seen in 2023 [2] - Tesla, despite being the largest EV maker, faced its first annual decline in sales volumes, delivering just under 496,000 EVs in Q4 2024 [4][5] - BYD outperformed Tesla in Q4 2024 with approximately 595,000 all-electric vehicles delivered worldwide [4] Regional Insights China - China's EV market saw a remarkable 40% increase in sales, with local brands like BYD leading the charge [3][6] - BYD's extensive model offerings, exceeding 40, significantly contributed to its sales success [3] - The competitive landscape is intensifying, with local brands like NIO, XPeng, and Li Auto achieving over 30% year-over-year growth in deliveries [6] Europe - Europe faced a decline in EV sales, primarily due to the removal of subsidies, particularly in Germany [7] - The UK saw a nearly 20% increase in EV sales, driven by the Zero Emission Vehicle mandate [8] - Norway continued to excel, with over 90% of passenger vehicle sales being EVs by year-end [8] North America - North America experienced a steady 9% growth in the EV market, with 1.8 million units sold in 2024 [9] - Tesla maintained a 50% market share despite its sales decline, while legacy automakers like GM and Ford reported significant increases in their EV sales [10] Future Projections - In the U.S., one in four vehicles sold in 2025 is projected to be electrified, with pure electric cars making up about 10% of total sales [11] - China's EV and plug-in hybrid sales are expected to rise by around 24% in 2025, bolstered by government support [12] - Europe's EV market is anticipated to recover in 2025, supported by the EU's "Fit for 55" initiative [13] Market Trends - Global sales of gasoline-powered cars have been in long-term decline since peaking in 2017, with projections indicating that internal combustion engine vehicle sales will drop to 75% of total volume in the U.S. by 2025 [14] - The transition to EVs is becoming the new norm, driven by consumer demand and government incentives [15]
The EV Growth Story is Far From Over: 2024 Highlights and 2025 Outlook