Global sales of electric vehicles, including both fully electric and plug-in hybrid vehicles, rose by 17.7% in January, to 1.3 million units, consultancy firm Rho Motion has said.
This marks the third consecutive month in which EV sales have slowed around the world, however, according to the data.
China, the world’s biggest EV market, reported a 11.8% increase in sales in January to around 700,000 vehicles, while Europe’s sales rose by 21%, to 250,000 vehicles. Sales in North America were up 22.1%, to around 130,000 vehicles.
With regard to specific European countries, Germany reported a 40% increase in EV sales in January, due to lower-than-usual sales in January 2024, while France saw sales decline 52%, due to the introduction of a new ‘weight tax’ on plug-in hybrids.
Smaller manufacturers
Separate data from Rho Motion, published this week, found that many smaller EV players ‘struggled’ during 2024, with some Chinese operators being squeezed from the market.
In China, the top 15 players in the EV segment now account for more than 90% of sales.
‘Consequently, this has led to many smaller brands being squeezed in market opportunities unable to compete on overall vehicle prices,’ Rho Motion noted. ‘Poor sales [are] leading to low revenues, ultimately rendering production facilities economically unviable. With the market dynamics shifting, only those who can scale or differentiate stand the chance of seeing strong success.’
Outside of China, however, several smaller EV players reported a strong 2024, with Lucid shifting more than 10,000 units for the first time, Turkey’s Togg reporting sales growth of 5.4% year-on-year, and Rivian seeing sales 3% up.
‘However, despite their growth, these automakers remain unprofitable, heavily reliant on debt and equity financing,’ Rho Motion added. ‘A significant drop in EV sales could prove catastrophic for these companies, given their current financial vulnerabilities.’ Read more here.
