Electric Vehicle Sales Growth Eases to 21% in July
Global electric vehicle sales grew 21 percent year-on-year in July, slowing down from a 25 percent growth rate in June.
LONDON: Global electric vehicle (EV) sales grew at their slowest rate since January, increasing by 21 percent year-on-year in July.
This marks a decrease from the 25 percent growth seen in June, according to market research firm Rho Motion's data.
The slowdown is primarily attributed to a reduction in plug-in hybrid sales in China, which accounts for more than half of global EV sales and includes both battery-electric vehicles and plug-in hybrids.
The world's largest car market, China, experienced a decline in overall car sales growth in July, with BYD, the leading EV manufacturer, recording its third consecutive monthly drop in registrations.
Despite this, the relatively muted slowdown in overall EV sales suggests that other markets are filling the gap.
European sales, for example, have benefited from incentives aimed at accelerating decarbonization efforts.
Global sales of battery-electric vehicles and plug-in hybrids reached 1.6 million units in July, as per Rho Motion's data.
In China, EV sales growth, which averaged 36 percent monthly in the first half, slowed to 12 percent in July.
This decrease is attributed to a pause in certain government subsidy schemes for EV and plug-in hybrid purchases.
Nonetheless, Chinese sales still reached approximately one million vehicles.
In contrast, European sales surged by 48 percent to around 390,000 units, while North American sales increased by 10 percent to more than 170,000.
Sales in the rest of the world saw a significant jump of 55 percent, reaching over 140,000 vehicles.
According to Charles Lester, data manager at Rho Motion, despite regional variations, the overall trend for EV adoption in 2025 remains strongly upward.
It is expected that Chinese car sales will return to strong growth from August as new funds become available for its subsidy schemes.
Additionally, a reduction in US tax credits for buying or leasing new EVs at the end of September may negatively impact demand in the United States.
This marks a decrease from the 25 percent growth seen in June, according to market research firm Rho Motion's data.
The slowdown is primarily attributed to a reduction in plug-in hybrid sales in China, which accounts for more than half of global EV sales and includes both battery-electric vehicles and plug-in hybrids.
The world's largest car market, China, experienced a decline in overall car sales growth in July, with BYD, the leading EV manufacturer, recording its third consecutive monthly drop in registrations.
Despite this, the relatively muted slowdown in overall EV sales suggests that other markets are filling the gap.
European sales, for example, have benefited from incentives aimed at accelerating decarbonization efforts.
Global sales of battery-electric vehicles and plug-in hybrids reached 1.6 million units in July, as per Rho Motion's data.
In China, EV sales growth, which averaged 36 percent monthly in the first half, slowed to 12 percent in July.
This decrease is attributed to a pause in certain government subsidy schemes for EV and plug-in hybrid purchases.
Nonetheless, Chinese sales still reached approximately one million vehicles.
In contrast, European sales surged by 48 percent to around 390,000 units, while North American sales increased by 10 percent to more than 170,000.
Sales in the rest of the world saw a significant jump of 55 percent, reaching over 140,000 vehicles.
According to Charles Lester, data manager at Rho Motion, despite regional variations, the overall trend for EV adoption in 2025 remains strongly upward.
It is expected that Chinese car sales will return to strong growth from August as new funds become available for its subsidy schemes.
Additionally, a reduction in US tax credits for buying or leasing new EVs at the end of September may negatively impact demand in the United States.
