On the Dash:
- U.S. EV sales have declined since federal tax credits ended, signaling slower demand for dealerships in North America.
- Europe remains a growth hotspot, with registrations up 36% year-to-date, showing the continued impact of national incentive programs.
- China’s EV market is plateauing, and reduced subsidies may affect global supply chains and consumer sentiment, influencing dealer planning.
Global EV sales grew in November at their slowest pace since February 2024 as demand plateaued in China and collapsed in North America following the expiration of U.S. tax credits, according to data released Friday.
Global EV registrations rose 6% to just under 2 million units in November, reaching 1.98 million vehicles, including battery-electric and plug-in hybrid models. The pace of growth slowed significantly compared with earlier in the year, reflecting increasing pressure on the global EV market.
China, the world’s largest EV market accounting for more than half of global sales, recorded a 3% year-over-year increase to more than 1.3 million vehicles, the weakest growth rate since February 2024. Reduced government subsidies late in the year are expected to weigh on consumer sentiment in the months ahead.
North America posted the sharpest decline. EV registrations fell 42% in November to just over 100,000 vehicles, following a similar drop in October after U.S. tax credits expired. Sales in the region are now down 1% so far this year, placing North America on track for its first annual decline since 2019.
Europe remained a bright spot. EV registrations climbed 36% to more than 400,000 vehicles, supported by national incentive programs. Sales in Europe are up by a third so far this year compared with the same period of 2024, according to Benchmark Mineral Intelligence.
EV registrations in the rest of the world rose 35% to almost 160,000 vehicles, reflecting continued adoption outside the major markets.
The slowdown comes as electric transport advocates continue to push for rapid adoption to curb carbon emissions, while automakers and governments reassess EV commitments amid slower-than-expected consumer uptake. Industry groups have warned that declining demand could threaten jobs and profit margins.
Policy uncertainty is adding to the pressure. In the U.S., President Donald Trump recently proposed cutting fuel economy standards finalized under the previous administration. In Europe, the European Union has delayed proposals that could weaken a planned 2035 ban on new CO2-emitting vehicles. In China, reduced subsidies are expected to further cool demand in the coming months.
Together, the trends highlight growing regional divergence in EV adoption and raise new questions about the pace of the global transition.
