2025 is shaping up to be a big year for electric vehicle (EV) sales, according to the Global EV Outlook 2025 report from the International Energy Agency (IEA). The report predicts that around one in four cars sold worldwide this year will be electric, despite some overall market uncertainties. IEA anticipates that over 20 million EVs will be sold globally in 2025, with the EV market share expected to surpass 40% of all car sales by the end of the decade.
In a statement, IEA Executive Director Fatih Birol highlighted the growth in EV sales, stating, “This year, we expect more than one in four cars sold worldwide to be electric, with growth accelerating in many emerging economies.” He also mentioned that by the end of the decade, the number is set to increase to more than two in five cars as EVs become more affordable.
China, in particular, is experiencing rapid growth in EV adoption, with nearly half of all cars sold in the country last year being electric. The country sold over 11 million EVs in 2024, surpassing the global sales of EVs in 2022. This rapid growth can be attributed to China’s EV-promoting policies and competitive pricing, making electric vehicles more accessible to the masses.
In the U.S., EV sales saw a 10% increase year-over-year in 2024, but the price of EVs remained higher than conventional fuel-powered vehicles in some areas. Uncertainty over tariffs implemented under the previous administration could potentially impact the growth of the EV market in the country. Despite this, EVs are considered a cost-effective option in the long run in many regions, with charging costs in Europe being lower compared to paying for gas, even if oil prices drop significantly.
Rho Motion has reported a continued increase in global EV purchases in 2025 compared to the previous year, with sales up 29% for the first four months of the year. Similarly, IEA found that EV sales increased by 35% globally from January to March 2025, despite volatility in some markets. Birol emphasized the strong growth trajectory of electric cars globally, stating, “Our data shows that, despite significant uncertainties, electric cars remain on a strong growth trajectory globally.”
In conclusion, 2025 is proving to be a pivotal year for the EV market, with significant growth expected in sales worldwide. The transition to electric vehicles is gaining momentum, driven by factors such as affordability, government policies, and environmental consciousness. With the continued advancement of EV technology and infrastructure, the future looks promising for the electric vehicle industry.
