Press Release

The global electric vehicle market revenue surpassed US$ 418.2 billion in 2024 and is predicted to attain around US$ 72,798 billion by 2050, growing at a CAGR of 21.99% during the forecast period from 2025 to 2050.

Few areas in clean energy exhibit as much dynamism as the electric car market. Over the past few years, this sector has experienced remarkable growth characterized by a surge in sales, enhanced vehicle range, a broader availability of models, and significant performance improvements. As we look toward 2024, it is estimated that more than one in five new cars sold globally will be electric, a clear indication of the ongoing shift toward sustainable transportation.

The global demand for electric vehicles has skyrocketed, with sales reaching unprecedented levels in 2023. This upward trajectory shows no signs of slowing down as we move into 2024, with key markets continuing to demonstrate robust growth. Notably, China, which holds the title of the world’s largest electric vehicle market, registered an impressive 8.1 million new electric cars in 2023. This figure represents a remarkable 35% increase compared to 2022, highlighting the country's commitment to electric mobility.

Electric Vehicle Market Key Takeaways

• The electric vehicle market is poised for a significant leap forward, with projections estimating revenues to reach an impressive US$ 72,798 billion by 2050. This growth trajectory is underscored by a robust compound annual growth rate (CAGR) of 21.99% during the forecast period from 2025 to 2050.
• Battery Electric Vehicles (BEVs) have firmly established themselves as the dominant segment within the electric vehicle market, expected to surpass a substantial 52% market share by 2025. This growth is largely driven by significant advancements in battery technology.
• In terms of vehicle types, passenger cars continue to lead the electric vehicle market, maintaining a commanding market share of over 53% in 2025. This sustained dominance can be attributed to the expanding range of models available, improvements in vehicle performance, and a decrease in prices.
• When examining power output, the segment of electric vehicles with a power output between 100-250 kW has solidified its position in the market, holding over 41.8% market share in 2025. This power range has gained popularity due to its optimal balance between fast charging capabilities and the feasibility of existing charging infrastructure.
• In the realm of charging infrastructure, normal chargers, commonly referred to as Level 2 chargers, continue to dominate the landscape, accounting for over 87.5% of all charging points globally in 2025.

Asia Pacific Captures About Half of the Revenue Share

In 2024, the electric vehicle market in the Asia Pacific and Europe regions has demonstrated remarkable growth, showcasing an impressive trajectory that is set to reshape the automotive landscape. It is projected that approximately 17 million electric cars will be sold globally, with China leading the charge by accounting for around 10 million of these sales. 

This figure represents nearly 45% of all car sales in the country, a significant leap that highlights the rapid adoption of electric vehicles in this region. The swift transition towards EVs can be attributed in part to their increasing affordability; by 2023, over 60% of electric vehicles sold in China were priced lower than their conventional gasoline counterparts, making them an attractive option for consumers.

India's Electric Vehicle (EV) sector is also experiencing a surge, driven by a combination of government incentives, growing environmental awareness, and advancements in technology. The government has implemented initiatives such as the Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) scheme, which aims to significantly boost EV adoption across the country. These efforts are revolutionizing India's transportation landscape, steering it towards a more sustainable and innovative future. The push for electric mobility aligns with the global trend of reducing carbon emissions and promoting cleaner alternatives to traditional fuel sources.

In pursuit of these goals, India has set ambitious targets for the future of its electric vehicle market. By 2030, the country aims to elevate EV sales to 30% in private cars, 70% in commercial vehicles, 40% in buses, and a staggering 80% in two-wheelers and three-wheelers. This translates to an objective of 80 million electric vehicles on Indian roads by the end of the decade. 

Additionally, the government is committed to enhancing domestic production of EVs through the 'Make in India' initiative, which seeks to foster local manufacturing capabilities and reduce dependency on imports. This comprehensive approach not only aims to transform the transportation sector but also positions India as a key player in the global electric vehicle market.

Market Overview

The worldwide adoption of electric vehicles (EVs) has yielded significant environmental benefits, with estimates indicating a remarkable reduction of over 100 million tons of greenhouse gas (GHG) emissions across the globe. This positive impact on the environment reflects a growing awareness and commitment to sustainability among consumers and manufacturers alike. In just March alone, an impressive 1.5 million electric vehicles were purchased, showcasing a strong upward trend in this rapidly evolving industry. Such remarkable growth suggests that within this year, more than one-quarter (25%) of all cars sold worldwide will be electric vehicles, highlighting a transformative shift in consumer preferences and the automotive landscape.

Driving this market growth are the increasing levels of funding and investments from key players in the automotive sector. For instance, Ford had previously announced an ambitious plan to invest $11.5 billion in electrifying its vehicle lineup by 2022. Recently, the company revealed that it had increased its spending on driverless and electrified vehicles to bolster vehicle sales in light of ongoing lockdowns and changing market dynamics. 

Similarly, Mercedes-Benz confirmed its commitment to innovation by planning to release 25 new plug-in hybrid electric vehicles and fully electric cars by 2025. These strategic investments reflect the determination of major manufacturers to adapt to the evolving market and cater to an increasingly environmentally conscious consumer base.

The diverse product offerings from these companies have played a crucial role in attracting a wide range of customers. As automakers expand their electric vehicle lineups, they cater to various consumer preferences and needs, resulting in an expanding market for electric vehicles.

Market Growth Factors

Driver

Government Incentives and Policies for Electric Vehicles: Government incentives and policies play a crucial role in making electric vehicles (EVs) more affordable and attractive to consumers. These measures can significantly influence buyer behavior and bolster the overall growth of the EV market. 

Advancements in Battery Technology: Recent advancements in battery technology have significantly enhanced the performance, range, and charging speed of electric vehicles. These improvements are paramount in addressing consumer concerns and facilitating wider adoption of EVs. 

Restraint

High Initial Purchase Cost of Electric Vehicles: One of the most significant challenges facing the electric vehicle (EV) market is the high initial purchase cost associated with electric vehicles compared to traditional gasoline-powered vehicles. Many potential buyers are deterred by the higher upfront costs of EVs, even though they may save money on fuel and maintenance over time. This initial price barrier can lead consumers to opt for more affordable gasoline vehicles, limiting the number of EVs on the road.

Insufficient Charging Infrastructure: Another critical factor that may restrain the growth of the electric vehicle market is the insufficient charging infrastructure, particularly along roadways and in rural areas. Many potential EV buyers experience range anxiety and the fear of running out of battery power before reaching a charging station. The lack of sufficient charging infrastructure exacerbates this concern, making consumers hesitant to transition from gasoline-powered vehicles to electric ones.

Top Trends

Declining EV Prices and Market Opportunities: The decline in electric vehicle (EV) prices is primarily driven by competitive pricing strategies among manufacturers and significant technological advancements. As production costs decrease and economies of scale are realized, automakers are able to offer their EVs at more accessible price points. 

Integration of Autonomous Driving Features: The integration of autonomous driving features in new electric vehicle models presents another significant opportunity for the electric vehicle market. As technology evolves, the incorporation of advanced driver-assistance systems (ADAS) and fully autonomous capabilities is becoming more prevalent.

Recent Developments

• In March 2025, ZAPL, the parent company of Lohia Auto, launched Youdha as part of a strategic transformation aimed at entering the mass-market electric vehicle segment, while continuing to position Lohia Auto as its premium brand offering.
• In March 2025, Tata Motors, a pioneer in sustainable mobility, in collaboration with DIMO, the authority in automotive excellence for over 85 years and the sole authorized distributor for Tata Motors in Sri Lanka, introduced a new range of passenger vehicles. The launch featured Internal Combustion Engine (ICE) vehicles and Electric Vehicles (EV), including Tata's successful SUVs: the Tata Punch, Tata Nexon, and Tata Curvv. Additionally, Tata Motors launched its popular electric hatchback, the Tiago.ev, to promote electrification in Sri Lanka.
• In March 2025, Omega Seiki Pvt. Ltd., a leading electric vehicle manufacturer, partnered with Clean Electric, a clean energy innovator, to launch the Omega Seiki NRG. This electric passenger three-wheeler, priced at Rs 3.55 lakh (ex-showroom), aims to transform India’s transportation landscape with its impressive range of 300 km on a single charge.
• In March 2025, Leapmotor, a Chinese electric vehicle maker, began selling two electric vehicle models at Stellantis dealerships in Britain through its joint venture with the world’s No. 4 automaker.

Global Electric Vehicle Market Key Players:

• Tesla Motors
• BMW Group
• Nissan Motor Corporation
• Toyota Motor Corporation
• Volkswagen AG
• General Motors
• Daimler AG
• Energica Motor Company S.p.A.
• BYD Company Motors
• Ford Motor Company
• Zhejiang Geely Holding Group
• Tata Motors Limited
• Mahindra & Mahindra Limited
• MG Motor India
• Olectra Greentech Ltd.
• JBM Auto Limited
• Other Prominent Players

Market Segmentation:

By Type:

• Battery electric vehicle (BEV)
• Fuel cell electric vehicle (FCEV)
• Plug-in hybrid electric vehicle (PHEV)
• Hybrid electric vehicle (HEV)

By Vehicle Type:

• Commercial Vehicle
• Passenger Car
• Two & Three Wheelers

By Charger:

• Normal
• Fast

By Power Output:

• Less than 100 KW
• 100-250 KW
• Above 250 KW

By Geography

• North America
• Europe
• Asia Pacific
• South America
• Middle East & Africa (MEA)