Global EV sales growth slowest since Feb 2024 on China plateau, US policy changes

GLOBAL EV sales grew in November at the slowest rate since February 2024 as China plateaued, while the end of an EV tax credit scheme in the United States set North America on track for its first year of decline since 2019, data showed.

In Europe, registrations of electric vehicles, including battery-electric and plug-in hybrids, maintained strong growth thanks to national incentive programmes and are up by a third so far this year compared with the same period of 2024, consultancy Benchmark Mineral Intelligence (BMI) said on Friday.

Electric transport groups say a swift EV transition is necessary to curb planet-warming CO2 emissions, but carmakers and governments have backtracked on some green commitments due to slower-than-anticipated EV adoption, which auto lobby groups say threatens jobs and profit margins.

Global EV registrations, a proxy for sales, rose by 6 per cent to just under 2 million units in November, the data showed.

They were up by 3 per cent in China to more than 1.3 million, the lowest year-on-year increase since February 2024.

North American registrations fell by 42 per cent to just over 100,000 cars sold, following a similar drop in October at the end of US tax credits, and are down 1 per cent so far this year.

Europe and the rest of the world were up respectively by 36 per cent and 35 per cent to more than 400,000 and almost 160,000 registrations.

“For next year, we’re still expecting a decrease in US EV sales forecast ... The tax credit was so influential for the market,” BMI data manager Charles Lester said.

In a further push against electrification, US President Donald Trump last week proposed slashing fuel economy standards finalised by his predecessor.

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The European Union has delayed until next week the release of closely watched proposals for the auto sector that could also weaken a 2035 ban on new CO2-emitting cars.

In China, the world’s biggest car market accounting for more than half of global EV sales, reduced government subsidies near the end of the year are expected to dent consumer sentiment overall. REUTERS