By Alessandro Parodi
Dec 12 (Reuters) – Global sales of electric vehicles grew in November at the slowest pace since February 2024 as China stabilized, while the end of a U.S. electric vehicle tax credit plan put North America on track for its first year of decline since 2019, data showed.
In Europe, registrations of electric vehicles, including plug-in and battery hybrids, maintained strong growth thanks to national incentive programs and have increased by a third so far this year compared to the same period in 2024, consultancy Benchmark Mineral Intelligence (BMI) said on Friday.
WHY IT IS IMPORTANT
Electric transport groups say a rapid transition to electric vehicles is needed to curb planet-warming CO2 emissions, but carmakers and governments have backtracked on some green commitments due to slower-than-anticipated adoption of electric vehicles, which auto lobby groups say threatens jobs and profit margins.
IN NUMBERS
Global electric vehicle registrations, a proxy for sales, rose 6% to just under 2 million units in November, the data showed.
In China they rose 3% to more than 1.3 million, the lowest year-on-year increase since February 2024.
Registrations in North America fell 42% to just over 100,000 cars sold, following a similar drop in October as tax credits ended in the United States, and are down 1% so far this year.
Europe and the rest of the world increased respectively by 36% and 35%, to more than 400,000 and almost 160,000 registrations.
KEY QUOTE
“For next year, we still expect a decrease in the forecast for electric vehicle sales in the United States… The tax credit was very influential for the market,” said BMI data manager Charles Lester.
CONTEXT
In a new push against electrification, US President Donald Trump last week proposed slashing fuel economy standards finalized by his predecessor.
The European Union has delayed until next week the publication of closely watched proposals for the automotive sector that could also weaken the 2035 ban on new cars that emit CO2.
In China, the world’s largest auto market, which accounts for more than half of global electric vehicle sales, the reduction in government subsidies towards the end of the year is expected to affect overall consumer confidence.
(Reporting by Alessandro ‌Parodi in Gdansk, editing by Nia Williams)