Sales of electric and plug-in hybrid cars climbed 23% around the world last month, reaching 1.9 million vehicles, according to new figures from market research firm Rho Motion released Wednesday.
European buyers pushed the numbers higher with increased purchases in Germany, France and the United Kingdom. Meanwhile, China continues to dominate the worldwide market, making up more than half of all electric vehicle sales globally. The data covers both battery-powered cars and plug-in hybrids.
The pricing gap between electric and gas-powered cars varies significantly by region, explained Charles Lester, who manages data at Rho Motion as mentioned in a Reuters report. Chinese buyers face much smaller price differences compared to shoppers in Europe or North America.
North American EV sales decline after tax credit ends
Sales in North America fell sharply, dropping 41% after hitting record levels in August and September. The decline came after a $7,500 tax credit ran out, Lester noted. EVs in the United States still cost considerably more than similar gas-powered models, which led to major drops in October sales at leading automakers.
Breaking down the October numbers by region, Chinese buyers purchased roughly 1.3 million electric vehicles. European sales increased 36% to 372,786 vehicles. North American buyers purchased 100,370 vehicles, down 41% from the previous period. Other markets around the world saw sales rise 37% to 141,368 vehicles.
Europe expected to maintain momentum
Looking ahead, Lester said European markets show promise for the remainder of the year. “In Europe, the overall year-to-date growth figure remains relatively high and we’re expecting strong sales towards the end of the year,” he said.
He predicted continued momentum in China through year-end. “Chinese automotive market is expected to show strong growth in November and December, helped by pull forward effect as the country is moving from a full purchase tax exemption to just a 50% exemption on NEVs,” Lester explained.
BYD overtakes Tesla in UK market
In the United Kingdom specifically, Chinese manufacturer BYD Co. has surged past Tesla Inc. The UK automotive trade group reported Wednesday that BYD registered nearly seven times more new cars than the American company last month.
Through the first ten months of this year, BYD’s sales in the UK have jumped more than sixfold to 39,103 vehicles. Tesla’s sales, by comparison, have declined 4.5% to 35,455 vehicles.
The shift marks a dramatic turnaround. Last year, BYD registered just 8,788 cars in the United Kingdom, where Tesla outsold the Chinese manufacturer by almost 6-to-1. The UK market overtook Germany last year to become Europe’s largest market for fully electric vehicles.
The United Kingdom now represents BYD’s largest market outside its home country of China. Tesla faces mounting challenges across European markets due to stronger competition and negative sentiment toward company owner Elon Musk.
Sharpen your strategy with mentorship + daily ideas - 30 days free access to our trading program
