Battery electric vehicles accounted for 18 per cent of all new car sales in 2025, up from 14 per cent in 2024.One in four cars sold globally in 2025 was electric, marking a record milestone for the electric vehicle industry, according to the International Council on Clean Transportation’s (ICCT) latest Global Electric Vehicle Market Monitor for light-duty vehicles.
The report on Thursday said global electric vehicle sales crossed 20 million units last year, with growth continuing across major markets despite regulatory and macroeconomic challenges.
China remained the largest electric vehicle market, with EVs accounting for 52 per cent of light-duty vehicle sales in 2025. The country also dominated global EV volumes, contributing 62 per cent of total light-duty EV sales and 71 per cent of global EV production.
“Despite a challenging year, the data speaks for itself, the EV transition continues with remarkable growth in nearly all markets,” said Ilma Fadhil, researcher and lead author of the report.
Europe maintained momentum even as governments introduced regulatory flexibility. Battery electric vehicles accounted for 18 per cent of all new car sales in 2025, up from 14 per cent in 2024.
Developing market takes the centre stage
The report highlighted that emerging markets are now accelerating EV adoption faster than several established regions. The 11 emerging markets analysed in the ICCT study collectively sold around one million electric cars in 2025, doubling their sales in a year.
Vietnam recorded a higher EV sales share than Europe by 10 percentage points, with EV penetration reaching 37 per cent compared to Europe’s 27 per cent. Thailand, Türkiye, Indonesia and Colombia also recorded EV uptake higher than the United States at 9 per cent, the report said.
Markets such as Indonesia, Malaysia and the Philippines more than doubled EV sales year-on-year, supported by increased domestic manufacturing, wider availability of affordable models and continued policy support.
“The growth in these emerging markets is a testament to how policy certainty can drive market success,” Fadhil said.
In contrast, the report said the US market largely stagnated due to policy weakening. The US share of global EV production declined from 7 per cent in 2024 to 5 per cent in 2025, as automakers delayed production and pulled back investments.
The ICCT report also noted a global trend of electric vehicles shifting towards larger models. The SUV and MPV segment expanded its share in every major market, including India, where larger models accounted for 80 per cent of total electric light-duty vehicle purchases.
India also recorded the sharpest rise in EV model availability, with the number of available models increasing to 47 in 2025 from 33 in 2024, the report added.
