Global EV sales rise by 18%, India witnesses 17.1% YOY growth

The global electric and plug-in hybrid vehicle market experienced a year on year growth of 18% in the sales data of January, citing a research by Rho Motion, Reuters reported on Wednesday. The growth came as a response to the booming European and the US market which for first time since last February has outspaced Chinese market.

With the implementation of CO2 emission goals in the European Union, the European auto market started off to a solid start this year. However, Rho Motion data manager Charles Lester said that the China's sales fell 43% month over month due to the Chinese New Year holidays.

Earlier, in response to promote EV adoption amid growing trade tensions and clowning auto market concerns, China, in January introduced its auto trade-in subsidies into 2025 as part of an expanded consumer trade-in scheme, the report added.

In the same month, Europe began additional discussions with auto industry executives, unions, and interest groups regarding CO2 emission targets.

According to Rho Motion statistics, sales of plug-in hybrids and fully electric cars (PHEVs) increased 17.7% year over year to 1.3 million in January, marking the third straight month of declining growth.

According to the Reuters, Sales in China reached 0.7 million automobiles during the month, an 11.8% year-over-year increase. Moreover, Europe recorded 0.25 million in sales, a 21% increase over the same month in 2024.

France witnessed a 52% decline in sales among the continent's major markets when a weight tax on PHEVs was implemented, while Germany saw a 40% gain, in part because of low sales in January 2024 after EV subsidies were abruptly discontinued, according to Rho Motion.

In January, EV sales increased 22.1% to 0.13 million in the US and Canada.

Sales increased by 50% in January in the rest of the world.

In comparison to December, global sales fell 35% on a monthly basis, with China experiencing a 43% decline.

Indian Market

In India, sales of electric vehicles (EVs) increased significantly as well marking a rise of 19.4% month over month and 17.1% year over year to reach 1,69,931 units, according to the India Brand Equity Foundation data. This expansion was observed in a number of segments, with two-wheelers and passenger vehicles driving the majority of the rise. Meanwhile, three-wheelers and commercial vehicles, comparatively grew more slowly. Following the re-instatement of subsidies, 80,546 electric cargo three-wheeler units were sold, stimulating the market significantly.