The Global EV Outlook for 2024 predicts that one in five cars sold worldwide this year will be electric, with continued growth expected over the next decade. Global electric car sales are projected to reach around 17 million by the end of the year, with sales in China projected to account for about 45% of all car sales in the country. In the United States, roughly one in nine cars sold are expected to be electric, while in Europe electric cars are set to represent about one in four cars sold. This growth follows a record-breaking year in 2023, where global electric car sales soared by 35% to almost 14 million.
Investment in the electric vehicle supply chain, ongoing policy support, and declining prices of EVs and batteries are expected to drive significant changes in the industry in the coming years. Under current policy settings, it is projected that every other car sold globally will be electric by 2035. If countries meet their energy and climate pledges, two in three cars sold would be electric by 2035. This rapid uptake of electric vehicles is expected to reduce oil demand for road transport by around 12 million barrels per day, equivalent to the demand from road transport in China and Europe combined.
Manufacturers have made significant commitments to meet the increasing demand for EVs, with the capacity to produce batteries for EVs well positioned to keep up with rising demand. The affordability of electric cars will play a key role in the pace of the transition, with prices expected to decrease over time as market competition intensifies and battery technologies improve. Growing electric car exports from Chinese automakers, which accounted for more than half of all electric car sales in 2023, could further drive down purchase prices.
The availability of public charging infrastructure is essential for the continued growth of electric vehicles. The number of public charging points installed globally increased by 40% in 2023, with growth for fast chargers outpacing slower ones. However, to meet the level of electric vehicle deployment in line with government pledges, charging networks need to grow sixfold by 2035. Policy support and careful planning are crucial to ensure that increased demand for electricity from charging does not overload electricity grids.
The report highlights the need for ongoing investment in battery manufacturing and charging infrastructure to support the growing adoption of electric vehicles. This transition is expected to have major ramifications for both the auto industry and the energy sector. The Global EV Data Explorer and Global EV Policy Explorer are tools that allow users to interactively explore EV statistics, projections, and policy measures worldwide, providing valuable insights into the evolving landscape of electric vehicles on a global scale.
