EV Sales Surge Globally but Decline 1% in North America
URGENT UPDATE: Global electric vehicle (EV) sales have surged by 21% this year, yet North America faces a troubling decline of 1%, according to newly released data from Benchmark Mineral Intelligence. This stark contrast highlights significant challenges for the US market, which recorded 1.7 million EVs sold between January and November 2024, trailing far behind China’s staggering 11.6 million sales.
The downturn in North America is attributed to a combination of factors, including recent policy changes, tariffs, and the expiration of the $7,500 EV tax credit in September. These shifts have prompted alarm among US automaker executives, with Ford CEO Jim Farley predicting that EV market share in the US could plummet nearly 50% to around 5% in the near term.
This year has seen Tesla facing challenges across its key markets, but it has managed to weather the storm better than competitors. However, data from Cox Automotive indicates that it must act swiftly to avert its second consecutive year of declining sales. Other US EV manufacturers, including General Motors and Rivian, have also been impacted by slowing demand, leading to layoffs in recent months.
Meanwhile, the global EV landscape remains robust. China has reported an impressive 19% increase in total EV sales. Despite facing heightened competition from local startups, BYD, the largest EV manufacturer in China, achieved record exports in October, showcasing the resilience of the sector.
“Overall, EV demand remains resilient, supported by expanding model ranges and sustained policy incentives worldwide,” said Charles Lester, data manager for Rho Motion, the Benchmark subsidiary that prepared the report.
As the US market grapples with these challenges, the focus remains on what comes next. Will North America adapt to the shifting landscape, or will it continue to lag behind global counterparts? With the EV sector evolving rapidly, stakeholders will be watching closely for developments in policy and consumer demand.
Stay tuned for more updates as this story unfolds.
