Global EV sales up 69% y/y in Jan, down 26% vs Dec - Rho Motion
Global electric vehicle sales in January increased by 69% compared to the previous year, but saw a decline of 26% compared to December, according to market research firm Rho Motion.
Impact of subsidy cuts and tighter rules
Rho Motion reported that the decrease in EV sales in January compared to December can be attributed to subsidy cuts and tighter rules in Germany and France. Germany eliminated subsidies, while France tightened the requirements for subsidies. As a result, EV sales in these countries fell by around 50%.
However, Rho Motion emphasized that new CO2 limits set by the European Union for 2025 will encourage automakers to enhance their offerings of battery electric vehicles (BEVs) and hybrid models throughout this year.
Regional variations in sales
The United States and Canada experienced a 41% increase in EV sales in January compared to the previous year, while sales in China nearly doubled. In the European Union, European Free Trade Association (EFTA), and the United Kingdom, sales rose by 29%.
However, compared to December, sales in China decreased by 26% ahead of the Chinese New Year. Sales were also down by 32% in Europe and 14% in the United States and Canada.
The rise of plug-in hybrids
General Motors (GM) recently announced that it would introduce plug-in hybrid vehicles in North America, signaling a change in strategy. This shift is a response to the rising demand for hybrid vehicles due to high prices of electric vehicles (EVs) and challenges in recharging infrastructure.
Rho Motion explained that the potential re-emergence of plug-in hybrids in the United States and Canada is a significant development in the EV market.
