Global EV Sales Hit Record Levels; China Leads the Surge

Electric vehicle adoption accelerated markedly in early 2025, driven by strong sales in China, which now accounts for nearly two-thirds of global EV purchases. With over 17 million EVs sold in 2024 and a projected 20 million+ for the current year, the market is entering a tipping point. Despite plateauing in Europe due to phased subsidies, demand in emerging economies surged—fueled by Chinese import penetration and growing government support.

Automakers and policymakers worldwide are being forced to pivot. Manufacturers outside China are ramping up production and reevaluating supply chains, yet still face headwinds in meeting stringent CO₂ standards. The U.S. is watching closely: federal tax incentives continue, but with uncertainty over their renewal.

For energy and commodity firms, the EV boom translates into shifting demand patterns—from gasoline to battery metals. Lithium, cobalt, and graphite producers are securing long-term contracts, while oil-dependent markets brace for demand disruption. The impact cascades to infrastructure planning, grid capacity, and downstream consumer industries.