According to the International Energy Agency’s report titled Global Electric Vehicle Outlook 2025, released on May 14, despite uncertainties in the global economy, the electric vehicle (EV) market continues to experience robust growth. It is projected that by 2025, global electric vehicle sales will exceed 20 million, accounting for over 25% of total new car sales.
The report indicates that in 2024, global electric vehicle sales are expected to reach 17 million, representing a year-on-year growth of approximately 25%, and for the first time, these sales will account for more than 20% of the global automotive market. In the first quarter of 2025, global electric vehicle sales have seen a 35% increase compared to the previous year.
The Chinese market continues to lead the charge, with electric vehicle sales surpassing 11 million in 2024, making up nearly 50% of the country’s new car sales. As 2025 begins, the growth momentum in the Chinese market remains strong. Data released by the China Association of Automobile Manufacturers reveals that in the first quarter of 2025, production and sales of new energy vehicles in China reached 3.182 million and 3.075 million, respectively, marking significant year-on-year increases of 50.4% and 47.1%. The market share of new energy vehicles within total new car sales has reached 41.2%.
This impressive data is supported by strong policy backing for the new energy vehicle industry. Zhan Junhao, a partner at Fuzhou Gongsunce Public Relations Consulting Co., stated in an interview that the implementation of purchase subsidy policies has reduced the cost of buying vehicles for consumers. Additionally, tax incentives have further alleviated the financial burden on buyers, stimulating market enthusiasm. License plate policies have also provided a ‘green channel’ for electric vehicles in urban areas, addressing the challenges consumers face in obtaining license plates.
A well-structured industrial chain is another crucial factor in maintaining China’s lead in the electric vehicle market. From the mining and supply of battery raw materials to battery research and production, and finally to the manufacturing and sale of complete vehicles, China has established a complete and efficient industrial chain. This not only lowers production costs and enhances efficiency but also strengthens China’s capacity for independent innovation in electric vehicle technology.
As the penetration rate of new energy vehicles continues to rise, traditional automakers are accelerating their electrification transformation. Many established car manufacturers are collaborating with technology companies to co-develop new energy vehicle technologies and enhance product intelligence. Furthermore, traditional firms are increasing their investments in infrastructure development, such as charging stations, to provide consumers with more convenient charging services. This shift not only enhances the competitiveness of these manufacturers but also drives the entire automotive industry toward a more environmentally friendly and intelligent future.
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