Decline in registrations and rise in Electric Vehicle sales
The number of new plug-in hybrid and battery-electric passenger car registrations in the EU increased significantly in recent years, rising from roughly 3% of total registrations in 2019 to 19% in 2021, already exceeding the EU target for 2025. This increase may be mostly ascribed to national and municipal legislation, as well as the mandated CO2 emissions target of 95 grammes per kilometre (g/km), which went into force in 2020. However, the market share has remained unchanged in the first half of 2022, in part because of continued supply problems and expiring government subsidies.
China’s electric car industry began to take off immediately after the EU and has now overtaken the EU market share, rising to 24% by mid-2022, up from just 5% in 2019. National pilot programmes, incentives, and regulations, particularly the new energy vehicle (NEV) mandate for auto manufacturers, have been the main factors driving the development in China.
In contrast, the American market is still receptive to electric vehicles. The U.S. market share still has a long way to go, with an ambitious objective of 50% by 2030. However, the region stood out for having the largest growth rate in the first half of 2022, hitting 7%, three times higher than in 2020, thanks to recent advancements in the infrastructure for charging EVs and tax benefits for EV sales
Source: European vehicle market statistics | The ICCT
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