According to a report from the International Energy Agency (IEA), the year 2023 witnessed a remarkable milestone in the automotive industry, with global sales of electric cars reaching approximately 14 million units. This means that nearly one in every five cars sold globally was electric.
The surge in electric car sales in 2023 marked a staggering 35 percent increase compared to 2022 and represented more than six times the sales volume recorded in 2019. Over the period from 2019 to 2023, the average annual growth rate in electric car sales stood at an impressive 60 percent.
Unsurprisingly, China maintained its position as the largest market for electric cars, with over 8 million electric vehicles sold in 2023, accounting for almost 60 percent of global sales. Consequently, more than one in every three cars sold in China last year was electric, showcasing the nation’s profound commitment to electric mobility. Despite the phasing out of purchase subsidies, electric car sales in China surged by approximately 35 percent in 2023.
Following closely behind, the European Union emerged as the second-largest electric car market, with around 2.4 million electric cars sold in 2023, constituting one in every four cars sold. This represented a notable 20 percent increase compared to the previous year.
Meanwhile, the United States maintained its position as the third-largest electric car market, with approximately 1.4 million electric cars sold in 2023, marking a significant increase of over 40 percent compared to 2022. Approximately one in every ten cars sold in the United States last year was electric.
In India, although electric car sales have been rapidly increasing in recent years, the country still holds a relatively small share of global electric car sales. Nonetheless, electric car sales in India witnessed a four-fold increase from 2021 to 2022 and a further 70 percent increase in 2023.
The cumulative sales of electric cars from 2019 to 2023 surpassed 35 million units globally, contributing significantly to the reduction in demand for fossil fuels and associated emissions. It is estimated that electric car deployment since 2019 has avoided around 60 million tonnes of CO2 emissions annually.
Despite electric cars representing nearly 20 percent of sales shares, they currently constitute only 3 percent of total cars on the road, reminiscent of sales shares about five years ago. However, as the turnover of vehicle stocks accelerates, emissions reductions from electric cars are expected to increase substantially.
Furthermore, the progress in electric mobility extends beyond cars, particularly evident in emerging markets and developing economies where the electrification of two- and three-wheelers, as well as city buses, is on the rise. The upcoming Global EV Outlook 2024 report promises to delve deeper into the market trends of electric vehicles across various road modes and their associated impacts on energy consumption and emissions. Additionally, accompanying online data and policy explorers will provide more comprehensive insights into the electric mobility landscape.
Baburajan Kizhakedath
