Global Electric Vehicle Sales Surge by 29% in March 2025
In March 2025, global electric vehicle (EV) sales experienced a significant 29% increase, driven by impressive growth in key markets such as China and Europe, as reported by Rho Motion data. This surge in sales showcases the resilience of the EV market amidst trade tensions and shifting policies.
The total sales of battery-electric vehicles (BEVs) and plug-in hybrids (PHEVs) reached a milestone of 1.7 million units worldwide. China led the charge with a remarkable 36% increase in sales, nearly reaching 1 million electric vehicles. This growth was fueled by strong consumer demand and incentives in the region. Following closely behind, Europe saw a 24% rise in registrations, with countries like Germany, Italy, and Britain contributing significantly to the increase in BEV sales.
Charles Lester, data manager at Rho Motion, noted that “Emission targets and regulations played a crucial role in driving BEV sales in key European markets such as Germany, Italy, and Britain.”
On the other hand, the United States and Canada experienced a more modest 12% uptick in EV sales, reaching 0.2 million units, according to a report by Reuters. The growth in North America faced challenges, partly due to U.S. President Donald Trump’s policies on emissions standards and trade. The implementation of 25% tariffs on foreign auto imports by the U.S. could potentially impact global supply chains, raise prices, and lower sales in the country.
Elon Musk, the CEO of Tesla, addressed the potential impacts of tariffs on the company, highlighting that certain parts and components are challenging to source within the United States. This could lead to increased costs for foreign-sourced parts, ultimately affecting EV pricing.
There are concerns about China’s retaliatory tariffs, which could double the prices of U.S.-made Tesla Model S and Model X vehicles, according to Lester’s analysis. Additionally, the European Union and China are in discussions about implementing minimum pricing for Chinese EV imports to replace previous tariffs, aiming to stabilize trade relations.
Despite challenges in North America, other regions reported a 13% increase in EV sales, indicating steady but slower adoption of electric vehicles. The global demand for EVs remains robust, particularly in China and Europe, where policy support and market maturity continue to drive growth. As trade dynamics evolve, the EV sector faces both opportunities and hurdles in maintaining its upward trajectory.