In August 2024, despite a sharp drop in electric vehicle sales in Europe, global electric vehicle sales still increased by 20% year-on-year to 1.47 million units, driven by record high sales in China.

According to Reuters, on September 12, market research firm Rho Motion said that in August this year, despite a sharp drop in electric vehicle sales in Europe, global electric vehicle sales (including pure electric vehicles and plug-in hybrid vehicles) still increased by 20% year-on-year to 1.47 million vehicles, driven by record high electric vehicle sales in China.

From a regional perspective, Rho Motion data showed that in August this year, China’s electric vehicle sales increased by 42% to a record of more than 1 million vehicles; electric vehicle sales in the United States and Canada also increased slightly by 8% year-on-year to 160,000 vehicles. However, European electric vehicle sales fell by 33%, hitting the lowest monthly level since January 2023.

Rho Motion said that as of August this year, cumulative sales of electric vehicles in Europe fell by 4% year-on-year, among which German electric vehicle sales fell by 23% year-on-year after government subsidies were cut, dragging down overall electric vehicle sales in Europe. Under sales pressure, on September 4, the German government agreed to give companies up to 40% tax breaks on electric vehicle sales.

Rho Motion data manager Charles Lester said that in China, drivers receive more subsidies if they replace cars that pollute the environment, which helped drive the surge in electric vehicle sales in China in August. He added: “Seasonal car sales in China are also strong near the end of the year.” Charles Lester told Reuters that Rho Motion expects electric vehicle sales in China, the world’s largest electric vehicle market, to increase by a third this year from last year to 10.5 million, while electric vehicle sales in Europe this year will be roughly the same as last year’s 3.1 million.

But demand for electric vehicles, which surged in recent years, has cooled in recent months as consumers wait for more affordable electric models or opt for hybrid alternatives, prompting several automakers to scale back electrification plans.