Electric vehicle (EV) sales continued to soar in 2024, with a new International Energy Agency (IEA) report predicting that electric cars will account for more than 40% of global car sales by 2030.
In its Global EV Outlook 2025, the IEA notes that global electric vehicle sales topped 17 million in 2024. This milestone pushed EVs past 20% of the global car market for the first time. Sales are expected to increase by 35% year-on-year in Q1 2025. They are anticipated to exceed 20 million this year. This would account for more than one in four new cars sold worldwide.
“Electric cars remain on a strong growth trajectory globally,” said Fatih Birol, IEA Executive Director. “By the end of this decade, more than two in five cars are expected to be electric vehicles. This shift will occur as EVs become increasingly affordable.”
CHINA LEADS THE CHARGE, EMERGING MARKETS FOLLOW
China continues to dominate the global EV market, accounting for nearly half of all new car sales in 2024. The country sold more than 11 million electric cars last year—matching total global EV sales from 2022.
Electric vehicle sales jumped by over 60% in emerging economies in Asia and Latin America. This confirms their position as new centers of EV growth. In contrast, Europe’s EV market plateaued, maintaining a 20% share as subsidy reductions took effect. The United States posted a 10% increase in EV sales. This brings electric cars to over 10% of all new car purchases.
AFFORDABILITY GROWS—BUT PRICE GAPS REMAIN
While global battery electric car prices fell in 2024 thanks to lower battery costs and rising competition, significant regional price disparities persist.
- In China, two-thirds of electric vehicles sold were cheaper than gasoline cars—without incentives.
- In Germany, EVs remained 20% more expensive, while in the U.S., the gap stood at 30%.
However, operating costs continue to favor electric cars. In Europe, even if oil prices drop to $40 a barrel, home-charged EVs still cost about half as much to run as gasoline-powered vehicles, according to the IEA.
CHINA BECOMES EV EXPORT POWERHOUSE
China’s role in the global electric vehicle supply chain deepened, with 1.25 million electric cars exported in 2024—many to emerging markets, driving price reductions globally. About 20% of all EVs sold were imported, underscoring rising global interdependence in the EV ecosystem.
ELECTRIC TRUCKS GAIN GROUND
The report highlights a fast-growing segment: electric trucks, whose global sales rose 80% in 2024. While they make up only 2% of truck sales, momentum is building—particularly in China, where some electric heavy-duty trucks now undercut diesel rivals in total cost of ownership.
LOOKING AHEAD: EV POLICY AND SUPPLY CHAINS IN FOCUS
The IEA’s report is accompanied by updates to two major data platforms. These are the Global EV Data Explorer and the Global EV Policy Explorer. They offer tools to track and analyze EV trends and policies across regions.
The agency is also preparing a special report on the future of the global auto industry, due this summer, which will delve into supply chain resilience and competitiveness in an electric vehicle-driven market.
Key Takeaways
- 20M+ electric cars expected to be sold globally in 2025.
- 40% global market share for EVs forecast by 2030.
- China leads with nearly half of 2024’s EV sales; emerging markets see 60%+ growth.
- Battery electric car prices declined, especially in China.
- Electric trucks now make up 2% of global truck sales after 80% growth in 2024.