Expected to reach approximately 17 million in 2024, representing more than one in five of all cars sold globally. This marks another robust year for the EV market as it continues to gain a foothold across various regions.

In its Global EV Outlook 2024, the IEA notes that global sales of electric cars neared 14 million units last year, capturing an 18% market share, up from 14% in 2022. This reflects a 35% year-on-year growth, a notable increase from the mere tens of thousands sold annually a decade ago.

China is leading the charge, producing over half of all electric cars sold worldwide in 2023, despite accounting for just 10% of global internal combustion engine vehicle sales. The report forecasts that by 2024, EV market share could reach up to 45% in China, 25% in Europe, and over 11% in the United States. These figures are underpinned by factors such as competitive pricing, advancements in battery technology, and robust governmental policy support.

The adoption rate in emerging markets like Vietnam and Thailand is also on the rise, with electric vehicles making up approximately 15% and 10% of new car sales, respectively. The growing interest in electric two- and three-wheelers in regions like India and Southeast Asia is further aiding in emission reductions and improved air quality.

Despite concerns over volatile battery metal prices and the phase-out of purchase incentives in some areas, the investment outlook for the EV industry remains positive. Nearly USD 500 billion in investments for EV and battery manufacturing were announced between 2022 and 2023. Moreover, major automakers are setting ambitious electrification targets, poised to fuel future market growth.

The report emphasizes the crucial role of policy measures, including subsidies and incentives for EV production, in promoting market expansion and making electric cars more affordable. As the EV market matures, increased availability of used electric cars and enhancements in public charging infrastructure are expected to support the continued growth of electric mobility.

According to the IEA, electric vehicles are projected to make up half of all new car sales by 2035, highlighting a significant shift towards cleaner and more sustainable transportation options.